With China’s accession to the World Trade Organization, many industries have undergone structural changes along with the implementation of reform. Meanwhile, democratic politics and market economy have been variable for China, and social resources are reallocated through social gambling and its institutions transition. This is a process of Chinese institutional transition, which was pushed by government. As result of this, Chinese television industries also encountered a bottleneck, which was the lack of a rationalized industrial structure and institutional arrangements. When countries such as the USA have deregulated media industries while China has limited open economic regulation of media coupled with strengthened political control over media. Also, referring the method of consolidation, western countries embrace “an invisible hand”, while in China it has been pushed by governments, and has been a bureaucratic-led process, so all of the steps like organizational structure, human resources allocation, etc. have been fulfilled under the order of governments and therefore media groups possess the primary nature of political bureaucratic organizations. It is impossible to establish a cross-regional, cross-media conglomerate because of current political and economic powers structures in China. As the research of media industry, the foreign countries emphasize how the adjustment of government’s functions, industry concentration, and convergence affect the mass media, while we are still ambiguous to the actuality and direction of the television industry. With the purpose of ensuring the long-term development of the television industry rooted in social market economy, we have to keep adjusting our strategies to face the possible attacks of globalization and construct large Chinese media conglomerates that can resist the likely incursions of transnational media corporations. The paper has tried to find the regulations of television media at a transition period. It set the television media into a background of social development and economic situation. In course of writing, the paper gave a detailed investigation to CCTV, Beijing Radio Station etc. So the selected questions could be practical and operational. However, it could help us to figure out some problems in management and practice like policy adjustment, system transition, and conglomeration. The paper consists six chapters. The first chapter gives the background of Chinese market economy transition between China and international political, economic and cultural powers. This is the respective to examine the institutional changing process of Chinese television transition. And the following is the background of Chinese television industry, which examines the forces that led to the recent restructuring of the Chinese media system. Chapter one also laid emphasis on the history and actuality of the media industry in western countries, which offer a comparative background to Chinese media industry. Anyway, this part is a research on the current developing situation of the international media industry. Meanwhile, the first part gives an environment of the competition by different mass media such as television, radio, newspaper, magazine, and Internet. On the basis of this point, it analyses the audience, products, and media system at the same time. It demonstrates that the current developing situation is the result of complex forces. The second chapter examines the political power that lies in the institutional transition of Chinese television industry. This process may be termed as institution change, which was pushed by government. So this part especially paid attention to the character of the political power and the role of the government in the transition of Chinese television industry. The third chapter describes the difficulties in Chinese Television Industry, which was the lack of a rationalized industrial structure and institutional arrangements, therefore Chinese media industries have experienced a recession, and the growth of the advertising revenues stagnated and even decreased in other media. The last three chapters examines the forces that have led to the transition and restructuring of the Chinese media system. It is more dynamic to analyze Chinese media restructuring in the process of Chinese institutional transition and social evolution.