China's economic system reform and market economy were put forward at the Third Plenary Session of 1978. However, the reform of state-owned enterprises was in 1998, when a large number of state-owned enterprises were forced to close down due to lack of competitiveness, and a large number of laid-off workers appeared in the country at that time. Nowadays, the number of state-owned enterprises has fallen sharply, but according to the proportion of their industries, state-owned enterprises still account for a certain proportion. Larger state-owned enterprises, such as PetroChina, Sinopec, China Telecom and China Mobile, are among the top 500 enterprises in the world.

Personally, I think this economic phenomenon appeared in the early stage of the establishment of the economic system. As the so-called big fish eat small fish, small enterprises are constantly annexed by large enterprises, thus forming the monopoly of oil king, telecom king and catering king in the market. Once there is market monopoly in the free economic market, it will be impossible to form a competitive mechanism and lead to a vicious circle.

Industry monopoly also appeared in the United States in the 1920s. In order to maintain market competition, the government forced some monopoly enterprises to split up. However, China's economic problems have their particularity. Almost all monopoly enterprises in our country are state-controlled, and the chairman is employed by the state. It not only creates huge profits for the country every year, but also is an important part of national stability and government macro-control.

With the development of market economy in China, global economic integration has taken shape. The monopoly enterprises in China will be reformed sooner or later. However, under the current market background, the existing economic system and economic layout are most conducive to the rapid development of China's national economy.