Chinese Business Enterprise Research Articles

Cross-Border E-Commerce and Urban Entrepreneurial Vitality—A Quasi-Natural Experiment Evidence from China

Cross-border e-commerce, as a new form of trade driven by digital technology, provides an opportunity to enhance the entrepreneurial vitality of cities. With the help of the comprehensive pilot area for cross-border e-commerce, also called a “quasi-natural” experiment, and using 2010–2020 panel data and Chinese business enterprise registration data for 278 cities in China, this paper examined the impact of cross-border e-commerce on enterprise vitality. The study found that the pilot policy in the comprehensive pilot area promoted the entrepreneurial vitality to increase by about 13.3%, and it remained stable after a series of tests. The heterogeneity analysis shows that the pilot policies in the comprehensive pilot areas have a stronger effect on the promotion of enterprise vitality in the eastern and western regions. At the same time, the pilot policy has expanded the scope of enterprise subjects and plays a more prominent enterprise incentive effect in small and medium-sized cities, cities with low innovation, and small and medium-sized registered enterprises. In addition, the pilot policy stimulates the entrepreneurial vitality of the service industry, but has no significant impact on agriculture and manufacturing. In terms of the influence mechanism, the comprehensive pilot area mainly affects the entrepreneurial vitality by means of optimizing the business environment, reducing the entry cost, promoting the synergistic agglomeration of manufacturing and producer services, and stimulating market demand. The further spatial spillover effect found that the comprehensive pilot area not only improves the entrepreneurial vitality of the pilot cities, but also radiates the enterprise development of neighboring and surrounding cities with similar economic development.

Terms of Address in the Chinese Business Enterprise

This study examines terms of address currently used by employees of Chinese business enterprises. The authors find that a speaker’s address selections are related significantly to the gender of the speaker, the location of the enterprise in Eastern or Western China, and the ownership type of the enterprise; that is, whether the enterprise is state-owned or privately owned. The authors develop hypotheses to explain the social origins of these observations. It is also observed that the semantics of address in the enterprise persist across changes in underlying terminology and are resilient with respect to mandated speech. In examining this subject of persistence, the authors find that the term ‘ gē/jiě ’ (brother/sister) has replaced the term ‘ tongzhi ’ (comrade) as the primary means of expressing solidarity within the business enterprise. The authors consider the question of whether address choices can be predicted based on externally observable situations or whether such choices require knowledge of the speaker’s motivations, which are not externally observable. It is concluded that address is most predictable in situations where power is salient and less predictable in other situations.

Exploring the Extent and Impediments of Knowledge Sharing in Chinese Business Enterprise

This study explores the extent and impediments of knowledge sharing in Chinese firms because they are becoming dominant entities in the global economy, yet limited research exists on this important aspect of their operations. Survey data are obtained from experienced managers of 164 Chinese firms from a wide range of industries, sizes, and ownership types. The responses indicate that knowledge sharing is not open and complete in Chinese firms. Similar to findings from developed economies in the West, a large number of factors impede knowledge sharing in Chinese firms. These range from Chinese cultural values—which had been identified as being important by prior China-based studies—to attributes of the firm (e.g., incentive system, communication channels, organizational culture), as well as those of knowledge holders and potential recipients (e.g., judgment ability, organizational commitment). Implications of these findings for practice and research are discussed.

HOW DO THE REWARD APPROACHES AFFECT EMPLOYEES' INNOVATIVE BEHAVIORS? -- AN EMPIRICAL STUDY IN CHINESE ENTERPRISES.

The article reports on research which was conducted in an effort to examine the impact that extrinsic and intrinsic rewards approaches had on innovative behavior practices of employees who worked in Chinese business enterprises. Researchers issued surveys to employees who worked in several Chinese cities. They found that tangible extrinsic rewards are necessary conditions to encourage employee's innovative behaviors; however, the over amount of extrinsic rewards could depress this behavior by eroding their self-motivation. They also concluded that series of intrinsic reward approaches have a more stable effect on promoting innovative behavior and that extrinsic and intrinsic rewards have an interference interaction effect on innovative behavior.

Family Resemblances: The Family Controlled Company in Asia

Perhaps the most notable characteristics of overseas Chinese business enterprises, large and small, is the use of the family controlled company. A question which has been asked, quite legitimately, is whether Asian businesses should have a new and unique form of business vehicle, better suited to family controlled companies. The conclusion of this article is that the family controlled company is the rule in most of the world. Across jurisdictions its characteristics are remarkably similar. Accordingly, legal devices prevalent in many western jurisdictions, especially those addressing dispute resolution, could be adopted to Asian uses.

The globalising Chinese business enterprise: the role of strategic fit

To achieve full performance potential in becoming a global business competitor, enterprises in transitioning economies, particularly Chinese business enterprises, must identify and rectify deficiencies in their resources and capabilities. Too often, prescriptive advice on globalisation requirements is given that is too narrowly focused on accommodating the full range and interactive effects of multiple action responses needed. We offer an approach that is useful for considering the range of options for Chinese firms through the lens of multiple response levels, ambient factors, the individual level, the intraorganisational level and the interorganisational level. We argue that the approach allows the identification of deficient resources and capabilities which, upon being remedied, must pass another hurdle of analysis, that of inspecting their potential for misalignment or poor strategic fit. While the approach is especially well-suited to China, the concept may also be suitable for other transitioning environments.

The adequacy of information for managerial decision-making in China's business enterprises: an exploratory study

This study explores how well Chinese business enterprises are satisfying managers' information needs in decision-making. A survey of managers was conducted in 72 firms from the Wuhan area, encompassing a variety of industries, sizes and strategies. The managers identified a wide range of information as being important, including financial, non-financial, and internally and externally focused measures. Overall, they were quite positive about the information items on a number of attributes, including their current availability, timeliness, accuracy, and ability to guide action. But the managers also saw many directions for improvement and expect a range of obstacles to their attainment.

Towards Understanding the Current State of Auditing Practices in China: Client Acceptance Decisions, Structuring of Audit Approaches, and the Stringency of Imposed Reporting Standards

This study explores factors potentially related to the ability of Chinese audit firms to ensure a high level of integrity in Chinese business enterprises' financial reporting. Its scope of investigation encompasses how Chinese audit firms evaluate potential clients, how they structure the audit process and to what extent the audit procedures are different from the international audit practices. It also considers the effects of a wide range of factors on auditors' risk assessment and the stringency of the reporting standards to which they hold clients. These factors include those suggested as important by extant research, as well as unique characteristics of the Chinese setting (e.g., the importance of interpersonal relationships (guanxi) and most listed companies' origins as state-owned-enterprises). The major difficulties encountered by Chinese auditors in the course of an audit also are explored. Structured interviews and questionnaire surveys are used to solicit quantitative and open-ended responses to the above questions from 102 auditors at partner and manager levels of Big 4 and large and medium-sized domestic audit firms.

Parks M. Coble. Chinese Capitalists in Japan's New Order: The Occupied Lower Yangzi, 1937–1945. Berkeley: University of California Press, 2003. xiii + 296 pp. ISBN 0-520-23268-2, $60.00.

Parks M. Coble. Chinese Capitalists in Japan's New Order: The Occupied Lower Yangzi, 1937–1945. Berkeley: University of California Press, 2003. xiii + 296 pp. ISBN 0-520-23268-2, $60.00. - Volume 4 Issue 4

Chinese capitalists in Japan's new order: the occupied lower Yangzi, 1937-1945

In this probing and original study, Parks M. Coble examines the devastating impact of Japan's invasion and occupation of the lower Yangzi on China's emerging modern business community. Arguing that the war gravely weakened Chinese capitalists, Coble demonstrates that in occupied areas the activities of businessmen were closer to collaboration than to heroic resistance. He shows how the war left an important imprint on the structure and culture of Chinese business enterprise by encouraging those traits that had allowed it to survive in uncertain and dangerous times. Although historical memory emphasizes the entrepreneurs who followed the Nationalists armies to the interior, most Chinese businessmen remained in the lower Yangzi area. If they wished to retain any ownership of their enterprises, they were forced to collaborate with the Japanese and the Wang Jingwei regime in Nanjing. Characteristics of business in the decades prior to the war, including a preference for family firms and reluctance to become public corporations, distrust of government, opaqueness of business practices, and reliance of personal connections (guanxi) were critical to the survival of enterprises during the war and were reinforced by the war experience. Through consideration of the broader implications of the many responses to this complex era, Chinese Capitalists in Japan's New Order makes a substantial contribution to larger discussions of the dynamics of World War II and of Chinese business culture.

Do traditional values still exist in modern Chinese societies?

The stellar economic performance of the Asia-Pacific region in the 90s led many scholars to credit Confucianism as the impetus for it provided the cultural background conducive for entrepreneurs of this region to excel. Some even believed that a “Confucian Revival” is at hand and have proposed the 21st century to be the “Confucian Century”. Although the causes of economic growth and success are complex and likely to vary from one country to another, the significance of culture has been emphasized. Hicks and Redding (1983) commented, “as there are well over a hundred developing countries, the almost perfect correlation between Chinese heritage and economic success could hardly be due to chance.” Another study by Gordon Redding (1990) on the spirit of Chinese capitalism suggested a strong link between Confucian values and modern overseas Chinese business enterprises. However, when the same region triggered a global economic crisis a few years ago, fingers were also pointed at Confucianism, naming it as the culprit behind the downfall of Chinese entrepreneurship. Further, people often loosely refer to Confucianism or Asian Values when analyzing factors relevant to the economy and social matters. They do so without first synthesizing the system of thought upon which they base their claims, thereby weakening their arguments. Moreover, studies on Chinese values are certainly insufficient if not misconstrued by scholars with no Chinese background. How then does Confucianism influence Asian countries? Do Chinese values still exist in modern Chinese societies? Using quantificational tools to support our thesis, this comparative study attempts to investigate whether Confucianism or traditional Chinese values still played an important role in shaping the mind and attitude of modern Chinese in Singapore and China.

China's Leap into the Information Age: Innovation and Organization in the Computer Industry

From the Publisher: This book provides the first in-depth analysis of how four innovative Chinese electronics enterprises - the Stone Group, the Legend Computer Group, the Founder Group, and the China Great Wall Computer Group-transformed the Chinese computer industry over the past decade. It explains how indigenous Chinese business enterprises that grew up during the era of economic reform gained the high-technology capabilities and modern marketing know-how to compete domestically and internationally with powerful foreign multinationals.

Chinese Business Enterprise: Critical Perspectives on Business and Management.

Chinese Business Enterprise: Critical Perspectives on Business and Management.

Testing the Effects of Vertical and Horizontal Collectivism

Based on a review of the individualism-collectivism literature, a vertical dimension of collectivism is distinguished from a horizontal dimension. The vertical dimension concerns the relationship between the individual and the collective, and often includes subordination of the individual's goals to those of the collective. The horizontal dimension concerns the relationship of the individual to other individuals, and often includes conceptions of equality. A study of attitudes toward reforms to the egalitarian reward system in Chinese business enterprises found that vertical collectivists were supportive of the reform whereas horizontal collectivists were resistant to it. The study provides preliminary evidence for the validity and the usefulness of distinguishing individualism-collectivism on the vertical and the horizontal dimensions.

Technical Decision Making in Chinese Enterprises

This article presents the results of a survey which examined the technical decision making in state-owned Chinese business enterprises. The survey presented an analysis of enterprise demographic data which revealed a substantial legacy of central planning and affirmed the existence of more favored state enterprises. The survey also reaffirmed the rationality of Chinese management within the overall context of a centrally planned system and illustrated how different rationalities exist among economic systems

PROFESSORS' PAY IN CHINA

Beijing, April 7—The director of a research institute here made a novel proposal the other day: he suggested that full professors receive the same salary as waitresses at the nearby Shangri-La Hotel. There is little chance that the Government will approve the proposal, which would involve huge pay increases for the professors. But his idea underscores the humble circumstances of teachers in China, contributing to what is widely perceived today as a crisis in education. A professor in China averages $39.50 a month, a bit less than the average for employees in Chinese business enterprises, and much less than taxi drivers or waitresses at international hotels.

The management of Chinese small-business enterprises in Malaysia

This paper traces the development of Chinese business enterprises in Malaysia, a multiracial country where the Chinese comprise 30 per cent of the population. Most of the Chinese enterprises are very small. Reference is made to the sixteen “Principles of Good Business Practices” which originated from ancient China. It is argued that the strengths of the small Chinese organization such as strong family ties, sharing and pooling of resources, efficient use of manpower, practice of thrift, use of low gearing, flexibility of operations, etc., may become weaknesses if the business expands. ThePok Chow or labour contracting system, and the role of the Chinese business associations and guilds are also discussed. Since the promulgation of the new economic policy in 1970, there is greater urgency for Chinese enterprises to modernise, so as to adapt to changes in Malaysia.