This research constructs the theoretical framework through documentary analysis; it utilizes the approach of ¡§state and society relations¡¨ on the micro-level of the comparative politics, supplemented with the concept of ¡§corporatism¡¨. This research includes ¡§in-depth interview¡¨ and ¡§case study¡¨ to aim at examining two issues. While the Chinese government has been the central power, the enterprises are the key players in the businesses of modern China. When the private sector has prospered vigorously, the government faced increasing pressure from economic system reform. This indicates that the power of government will shift to the industry and trade association. This research finds that the trade association, deriving from ¡§top down¡¨ model, which can gain more self-Governance, is the successful case of transformation. Its character is that it neither seeks for power from the government during the transformation nor interest from the private sector, but, instead, serves for social welfare and receives more credibility from the public and better organizing autonomy. Since the south patrolling of Deng Xiaoping in 1992, the socialist market economy has been the goal China pursues. In 1998, the ninth session national representatives passed Decision of the structural reform of the State Council plan, and it pointed out ¡§establish a government administrative system with the Chinese characteristics and suitable to the socialist market economic system¡¨. In October 2003, the Third Plenary Session of the 16th Central Committee of the Communist Party of China passed Decision of the Central Committee of the Communist Party of China on Some Issues concerning the Improvement of the Socialist Market Economy . Obviously, in addition to the concept of open policy of the trade market, the policy on decentralization of governmental structural reform is in place. Those changes push the market mechanism to expand gradually, and accelerate the transformation of trade association. It makes the influence of trade association on industrial policy making grow. Particularly, Guangdong Province's economy opened early and also led the development of trade association. This research found that the system and development of trade association in Guangdong Province has exceeded that of the central government. ¡§Guangdong Food Profession Union¡¨ is one of the best examples. This research analyzes the development of food industry of both China and the Guangdong Province, in order to explain the relations among government, the business (market) and the society. Second, to analyze the development of trade association's of China and Guangdong Province to explain the formation of civil society. Third, using the case of ¡§Guangdong Food Profession Union¡¨ to study on its philosophy, institution and interest setting in order to map out the interaction among ¡§Guangdong Food Profession Union (GFPU)¡¨, government and business. Finally, it induces the relations among state, the market, the civil society. This research not only points out the similarities and differences between the study case and the general situation in China, but also classifies three kinds of trade association and within which the trade association of successful transformation might be called ¡§NGO with the Chinese characteristic¡¨. In brief, the social scope of trade association derived from ¡§top down¡¨ model, will de unavoidably deprived by the government. In the social scope formed by the trade association of successful transformation, the administrative authority is (Economic and Trade Commission) no longer in charge of them, but the ideology of Chinese Communist Party still exists. It was the ¡§civil society with the Chinese characteristic.¡¨