Abstract: The SOEs reformis the core link of economic system reform in China,and has earned massive atten ion in academic community.However,the current researches just focus on its certain specific aspect,ignoring the systematic characteristic which is the basic characteristic of SOEs reform.Considering the characteristics of China's economic transformation period and using the Cournot model,this article builds up the systematic framework to analyze the SOEs reform,some important effective factors such as ownership structure,corporate governance and social security covered in this framework.The relations between the ownership forms and the corresponding corporate governance superiority level,the social security level and the output,revenue and profit of the SOE and the social welfare are discussed.Based on these analyses,this article reaches some positive conclusions Finally,this article compares the conclusions with those of the former researches to emphasize the advantages in this kind of systematic research.

Key words: SOE's reform, system model, ownership structure, corporate governance, social security