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Domestic publicly-owned enterprises are mainly in deficit in Taiwan, even though the most significant company－Taiwan Power Company. The most important goal for publicly－owned enterprise is to improve the country economic development. So they operated just in coordination with the government’s policies but not for making a profit.
After finishing gradational tasks, It leads these publicly-owned enterprise to be less adaptable to external circumstances and less alert to managing performance than general private enterprises, hence, the publicly－owned enterprises are on the way to deficit generally. Therefore, investigation the JR’s mode to provide some suggestions for solving the problems publicly－owned enterprises have in Taiwan is the goal of this dissertation.
This research discovered that:
1. A lack of adaptability leads JR to a deficit and a long-term liabilities accumulation. Nevertheless, after it has been running by locals, it did promote the adaptability.
2. It is not easy to solve the long-term liabilities. Leaving the problem aside, and making a new start after running by the locals, implementing management on private enterprises are the ways Japanese government deal with.
3. The majority of former employees were well arranged to retire or transfer to another job, just only few of them were filed. Consequently, it has decreased the dispute between labor and capital effectively.
4. The government still holds the majority of shares and always provides assistance to JR.
In conclusion, although private enterprises cannot solve all the problems that publicly－owned business have, they can promote the adaptabilities to the circumstances. In addition, the problems of debts and lack of managing performance can be solved separately. Reforming the essence of publicly－owned enterprises first, then seeking for an appropriate ways to deal with the debts problem. There is no fixed mode for private enterprises, however, they can adopt the ways that are suitable for their characters. The government should take responsibilities for counseling and assistance after the business is running by the locals. Same as transport enterprise, Taiwan Railway, Taiwan Motor Transport Company can investigate and derive the advantages from the JR’s mode to be the reference materials when they do reform their essence.
Key Words: environmental change, organizational reformation, privatization, Japan Railway, publicly－owned enterprise
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