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Research on the Organizational Evolution of the Contemporary Chinese Family Business

Author: LiuNan
Tutor: WangZhongXian
School: Northwest University of Science and Technology
Course: Agricultural Economics and Management
Keywords: Chinese family business Organizational change Corporatization Cluster
CLC: F276.5
Type: PhD thesis
Year: 2008
Downloads: 768
Quote: 1
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Abstract


A remarkable characteristic of economics is the maturing of the family business in the present-day from a planed economic system to a market economic system in China. Much researche indicates that the sustained and rapid development of the family business is one of the important drives ensuring the economy’s sustained increase in China. At present,the classical framework characterized by ownership and control is mainly adopted by the family business in the start up and maturing phases in China. Researches into development and evolution of the classical family business shows the imminent problems with the socialist market economic system as it is established and perfected.The topic of the dissertation is to study the organizational evolution of family business during the economic transition in China,discuss the affecting factors of the organizational evolution of family business,so as to supply the theoretic support for the transformation of modern enterprise and networking to prompt family business in China,and then propose the policies and advice to ensure the healthy development of the family business in China. The researches are as follows:Firstly,the development and evolution of family business during the economic transition in China are analyzed including:①The history of development,main types and the basic characteristics of development and evolution of the family business during the economic transition in China are analyzed. The development of the family business undergoing three phases,including three main types and the family business mainly adopting a classic framework characterized by ownership and control are elucidated. But the transformation of modern enterprise and networking during the economic transition are emerging in some family businesses.②The history analysis of the family business during the economic transition and the comparison of the family business with that in the developed market economy country (US)are made,and some problems on family business,including competition deficiency and a restricted innovation system are elucidated. Besides,the basic affecting factors of the organizational evolutionof the family business during the economic transition,including the external market,social trust,institution,technology and management capability within the family business are elucidated. Secondly,the basic affecting factors of the organizational evolution of the family busines during the economic transition are analyzed.①Based on the path of the corporate institution,the effects of politics and legal institutions,external market (including the labor market,product market and capital market)and social capital (including trust and entrepreneur networking)are analyzed. The labor market emphasizing particularly the role of professional managers market in employing managers and realizing the separation of ownership and control is analyzed. The product market emphasizing particularly the effect of institutional barriers to entry is analyzed. The capital market emphasizing particularly the effect of the family business going public is analyzed. The social capital emphasizing particularly the effects of trust and entrepreneur network is analyzed.②Based on the path of networking,the effects of trust,entrepreneur networking and specialization division on the evolution of organization of the family business network are analyzed.Thirdly,DL groups and Liushi low-voltage component enterprise clusters in Wenzhou are analyzed,which makes the study more concrete and verifies the theoretical problems.Fourthly,based on the underdeveloped external market,social trust and the internal governance,some policies and advice ensuring the healthy development of the family business during the economic transition in China are proposed. The contents of the policies and advice cover standardizing government conduct,establishing and consummating the external market (including the labor market,product market and capital market),social trust and internal governance (including the mechanism of choice,inspiration and restriction on managers,and entrepreneurship cultivation),and implementing the networking (especially clustering)strategy on the family business in China.

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CLC: > Economic > Economic planning and management > Enterprise economy > A variety of enterprise and economic > The private sector
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