Transaction Price Between the Different Property Structure Railway Companies Under the Stakeholders’ Perspectives

Abstract

This article studies the trading price between the joint venture railway companies and the state-owned railway companies in the commission transport from the stakeholders’ perspective. After analysis of the interests of the stakeholders in the transaction price, it firstly draws the conclusion that under the commissioned transport mode, the main stakeholders include government, China Railway Corporation, state-owned railway company, joint-venture Railway Company and its social shareholders. The principle for determining the transaction price is necessary to ensure the agent of its cost to get compensation, the principal of achieving a modest profit, especially the social shareholders. The study will provide support for the smooth introduction of social capital into China Railway and the development of joint venture railway companies.