Proceedings of the 2nd International Conference on Education, Management and Social Science

Decentralization and Vertical Control in China’s Government Controlled Firms

Authors
Yanfeng Jiang
Corresponding Author
Yanfeng Jiang
Available Online August 2014.
DOI
https://doi.org/10.2991/icemss-14.2014.3How to use a DOI?
Keywords
China’s government controlled firms, decentralization, vertical control.
Abstract
China’s government controlled firms face two conflict tasks: For one thing, government should credibly delegate efficiency to firms to make them competitive. For the other, the government also needs to control the firms to achieve their political goals. We suggest one way in which the China’s government solves this conflict tasks by building pyramidal business groups in which they delegate authority while simultaneously creating vertical correlations to maintain control. Further, we theorize that higher levels of government are more likely to pursue this strategy. Results of quantitative analysis of China’s government controlled business groups generally support our expectations.
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Proceedings
2nd International Conference on Education, Management and Social Science (ICEMSS 2014)
Part of series
Advances in Social Science, Education and Humanities Research
Publication Date
August 2014
ISBN
978-94-62520-30-1
ISSN
2352-5398
DOI
https://doi.org/10.2991/icemss-14.2014.3How to use a DOI?
Open Access
This is an open access article distributed under the CC BY-NC license.

Cite this article

TY  - CONF
AU  - Yanfeng Jiang
PY  - 2014/08
DA  - 2014/08
TI  - Decentralization and Vertical Control in China’s Government Controlled Firms
BT  - 2nd International Conference on Education, Management and Social Science (ICEMSS 2014)
PB  - Atlantis Press
SN  - 2352-5398
UR  - https://doi.org/10.2991/icemss-14.2014.3
DO  - https://doi.org/10.2991/icemss-14.2014.3
ID  - Jiang2014/08
ER  -