Although general meeting is the highest authority in a company, most of the general shareholders concern about their interests in the payment of dividends and the stock prices which affect them much, they do not care about the company's plans and policies, development strategies, which results in the relationship between general shareholders' and the company become loosely. Shareholders in general meeting make principle decision. They set the company's direction, business scale and profit-sharing and other major issues.
The real decision-making role to lead the company goes to the board of directors, which in other words, is the highest business executive bodies and is responsible for the company's major business management issues.
Foreign-invested limited liability company has a board, they can appoint executive director(s); generally, the number of members is 3 to 13.
"Company Law" Article 47: Board of Directors / Executive Directors report to the company’s shareholders and can exercise the following powers:-
1. to convene a shareholders' meeting, and report on its work to the shareholders;
2. to executed the resolutions of shareholders ;
3. to determine the company's business plans and investment programs ;
4. to formulate the company 's annual financial budget and final accounts ;
5. to formulate the company 's profit distribution plans and loss recovery plans ;
6. to formulation the increase or decrease of registered capital and the issuance
of corporate bonds ;
7. to formulation of the merger, division, dissolution or change of form of the Company ;
8. to decide on the internal management structure ;
9. to decide on the appointment or dismissal of managers and their remuneration and
nomination of the manager, decided to appoint or dismiss vice Managers, financial
officers and their remuneration ;
10. to formulate the Company 's basic management system ;
11. other powers specified in the Articles of Association.