Abstract:
Non-profit-oriented corporate social enterprises already exist in the ranks of Chinese companies, but there is no place for them in China’s company law. The reason is that the current company law takes traditional commercial companies as the target object and does not include social enterprises in its normative vision. The profit-making and not-for-profit legal person system constructed by
the Civil Code limits the nature of a company within the scope of profit-making legal person, resulting in a certain degree of legal system conflict. In order to promote high-quality development, social enterprises need to use corporate framework and market mechanism to achieve social goals; it is necessary to interpret the meaning of relevant provisions of the Civil Code. The amendment of company law should also get rid of the mistaken thinking that the company is only for profit and must abide by the principle of maximizing shareholders' interests. Corporate social enterprises should be incorporated into corporate law and corresponding social purpose realization mechanisms should by enhancing the inclusiveness of existing corporate laws and regulations, formulating special chapter or clauses, to provide appropriate organizational law guarantee for the high-quality development of social purpose company.