Stakes, stakeholders and urban governance: a theoretical framework for the Chinese city

Abstract

ABSTRACTA taxonomy of stakes and stakeholders in urban governance is presented in this paper. In addition to property interests, business interests, political interests and the state, special attention is paid to ordinary people’s general interests in the city. It depends on a person’s indigeneity, the degree of his being an indigenous person or insider to the city. General interest is usually not revealed because urban governance is more distant from the person than his daily work and life, but its revelation could be ignited in an explosive way by particular events on some occasions. This is called the flash preference problem, which has important implications to urban governance. Both social control and civil society can be regarded as possible solutions to the problem. Built on the taxonomy of stakes and stakeholders, a theoretical framework for urban governance in China includes growing property interests and business interests that have formed growth coalition with local government. Social control remains important but difficult because street office and residents’ committee are expected to strengthen social control while they are gradually being marginalized in neighborhood governance. The case of grid management not only demonstrates the dilemma of social control in China but also hints at the ultimate importance of democracy and civil society to urban governance.