China Telecom is one of the largest fixed communication operators in the world. Founded in 2002, the predecessor was China Telecom Group Company. In the domestic communication market, China Telecom ranks third in market share, second only to China Mobile and China Unicom. By definition, China Telecom is obviously a state-owned enterprise, because all its shares are controlled by SASAC. In addition, China Telecom is still within the scope of enterprises supervised by SASAC, and its operation and management are still under the control of the state.

In addition, the management mechanism of China Telecom also pays attention to the protection of state-owned assets and the implementation of national strategy. In the management of the company, the triple governance structure system and equity incentive mechanism are adopted to ensure the development and benefit maximization of the enterprise. At the same time, China Telecom also actively responded to the strategic layout of the country to develop a new economy and new format, and accelerated its development through digital transformation.

The difference between state-owned enterprises and central enterprises

1. State-owned enterprises: enterprises established by the state as the main investor. In the past, according to the system classification, it belonged to the central ministries and commissions and was called central enterprises. Local enterprises are also called collective enterprises. The investors of this enterprise are not state finance, but a specific group, such as factory-run collectives set up by large factories, enterprises set up by street self-raised funds to resettle surplus personnel and village collectives.

From the perspective of affiliation, central enterprises are managed by state ministries, provincial and municipal enterprises (state-owned) are managed by provincial and municipal industrial bureaus, and collective enterprises are managed by organizers. In China, according to the use of state-owned assets, they can be divided into operating assets and non-operating assets. According to the management authority of the government, operating assets can be divided into central enterprises and local enterprises.

2. Central enterprises: Central enterprises in a broad sense include three categories: first, enterprises managed by the State-owned Assets Supervision and Administration Commission of the State Council are divided into enterprises that provide public goods such as military industry and telecommunications according to their economic functions; Providing natural monopoly products such as oil; Provide competitive products, such as general industry, construction and trade.

Second, the enterprises managed by CBRC, CIRC and CSRC belong to the financial industry. Third, enterprises managed by other departments or social organizations in the State Council belong to tobacco, gold, railway passenger and freight transportation, ports, airports, radio and television, cultural publishing and other industries.

Reference to the above content: Baidu Encyclopedia-China Telecom Group Co., Ltd.