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ID number:767790
Evaluation:
Published: 07.04.2003.
Language: English
Level: Secondary school
Literature: n/a
References: Not used
Extract

1. Definition of State Owned Enterprise.
State Owned Enterprises (SOEs) can be defined as nationalized corporations which are publicly owned by the state or government and usually exist in communist countries. In our case example, Anshan Iron and Steel Corporation in China, is the oldest and largest industrial base in the northeast Liaoning Province, had been losing money over the past couple of years after failing to get through the nationwide reform run in state-owned enterprises.
2. Anshan Iron and Steel Corporation
With China economic reforms to establish an open market and government's aim to make SOEs financially independent, Anshan was pressurized to perform by improving its business systems and operational efficiencies and reducing cost.
Anshan was able to extricate itself from its unprofitable status through technological innovation and increasing their efficiency of its management process. This was done through its collaboration with UEC Technologies LLC (a subsidiary of United States Steel Corp). Anshan replaced its open-hearth furnaces with technically advanced converters and introduced the hot-rolling production line, resulting in reduced costs and better quality steel.

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