Business Commons^™

An Evaluation Of American Companies That Outsource Manufacturing To China: Decision-Making And Performance, Michael Kenyon Favreau

Theses and Dissertations

The topic of outsourcing ranks at the top of business issues for a wide variety of companies (Wery, 2004; Ezrati, 2004). The majority of American companies believe that offshore-related matters rank as the most strategic decisions that management is expected to make in the next 12 months (Wery, 2004). “Outsourcing in China can help many companies save money, but it can be very frustrating if not done right" (Ting, 2004). The perceived benefits of outsourcing production to China are tremendously enticing, but a lack of understanding of the total costs involved lures many companies into outsourcing when it is not …

A Qualitative Study Of Selected Quality Knowledge And Practices In Guangdong Province, China, Tyler R. Thomas

Theses and Dissertations

The manufacturing industry has become very competitive in today's global market environment. Many US companies are faced with the choice of keeping their manufacturing domestic or looking to low cost off-shore countries to take advantage of the labor costs differences. To gain an understanding of the state of manufacturing in China, a major focus in the manufacturing world today, this thesis was undertaken. This thesis presents the findings of research conducted in Guangdong Province, China in June - July, 2005. This research addressed customer focus, leadership and general manufacturing and quality knowledge and practices of small, medium and large sized …

Business Output And Business Experience: Evidence From China's Nongovernmental Businesses, Liangjun Su

Research Collection School Of Economics

We study the application of the Solow growth model in China's non-governmental businesses and propose a reasonable modification for it. Our analysis indicates that business experience is closely tied to the output of China's non-governmental businesses. Our major findings include: (1) the business experience has little overall impact on the elasticity of output with respect to labour; (2) the business experience has a large impact on the elasticity of output with respect to capital and the elasticity increases as the business experience increases; (3) the adjusted Solow residual that reflects technological progress exhibits a negative relationship with the business experience, …

Competing Or Accommodating?: An Empirical Test Of Chinese Conflict Management Styles., Zhenzhong Ma

Odette School of Business Publications

Researchers have been investigating the distinctness of Chinese conflict management styles, yet have to provide solid evidence for such differences. This study provides support for this issue by using multiple negotiation simulations to illustrate how Chinese people conflicts and how their preferred conflict management styles affect their negotiation behaviour and outcomes in business negotiation. Results show that compromising and competing, instead of accommodating, are two preferred methods for conflict resolution in China. Managerial implications are then discussed, which concludes this paper.

Analysis Of Competitive And Cooperative Technology Strategies Of Electronics Firms In The Greater China Region, Chung-Shing Lee, Kuei-Hsien Niu, Jonathan C. Ho

Journal of International Technology and Information Management

This paper integrates several theoretical perspectives to discuss the attributes of successful implementing strategic alliances and supply chain management strategies in high-technology industries. A multiple- case study of Taiwanese and Chinese electronics industries is presented to demonstrate how and why different firms apply different technology strategies in alliances and supply chain formations. Due to intense global competition, technological integration, and product life-cycle time compression, Taiwanese and Chinese high-technology firms are suggested to formulate and implement a coherent technology strategy to enhance their global competitiveness. By applying an integrated framework based on major theoretical perspectives studying the formulation and implementation of …

Two Essays On Lead-Lag Patterns Between Trading Volume And Stock Return In China Stock Markets, Xiaotian Zhu

Theses and Dissertations in Business Administration

This dissertation systematically investigate the lead-lag relations between the trading volume and stock return patterns in China A share and B share markets through two streams of behavioral postulations. In the first part, we summarize all the potential lead-lag patterns between trading volume and stock returns and link them to the corresponding behavioral explanations. In particular, Lee and Swaminathan's (2000) Momentum Life Cycle theory best explains the strong negative relations between lagged trading volume and subsequent return in China A share market. The strong positive relations between lagged market return and subsequent trading volume found in both China's B share …

If The Shoe Fits: Wenzhou Aike Shoes Company, Ltd., B. Jiang, Patrick Murphy

Patrick J. Murphy

This case study addresses critical aspects of the strategic management decision to be made by Wenzhou Aike Shoes Company, Ltd., a Chinese multinational shoe manufacturer. The specific focus is on Aike’s operations in Elche, Spain. Over a period of several years, upheaval stemming from a multitude of Chinese new entrants to Elche’s revered shoemaking industry reached a flashpoint. The Chinese new entrants run operations significantly differently than the local Elche businesses in terms of daily practices, production, imitation, price competition, and supply chain management. All of these aspects derive from deep cultural differences and are highlighted in the case. Several …

World Wrestling Entertainment: Achieving Continued Growth And Market Penetration Through International Expansion, Joshua Shuart, Peter A. Maresco

WCBT Faculty Publications

World Wrestling Entertainment (WWE) is best known for its promotion of professional wrestling as sports entertainment. Today, World Wrestling Entertainment is an integrated media and entertainment company principally engaged in the development, production, and marketing of television programming, pay-per-view programming, and live events, and the licensing and sale of branded consumer products featuring the highly successful World Wrestling entertainment brand. As the WWE brand continues to grow, a strategic decision has been made to place a greater emphasis on the expansion of the WWE brand globally. This paper will present an overview of WWE from its beginnings as the WWWF …

Growing Chinese Trade With Africa And Democratization Process In Africa, Mario Udo Stumm

Seton Hall University Dissertations and Theses (ETDs)

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What Makes And What Does Not Make A Real Option? A Study Of International Joint Ventures, Ilya Cuypers, Xavier Martin

Research Collection Lee Kong Chian School Of Business

This paper examines the boundaries of real options logic, with an application to joint ventures (JVs). We distinguish between forms of uncertainty that are resolved endogenously and those that are resolved exogenously, and theorize that only exogenous uncertainty will have the impact predicted by real options theory on a foreign investor's choice of how large an equity share to take in a JV. We theorize that macroeconomic and institutional variables generate exogenous uncertainty whereas, by contrast, cultural distance and choices pertaining to corporate scope and product or process development activities involve endogenous sources of uncertainty that investors can both assess …

Regional Headquarters Schemes By China’S Ministry Of Commerce And The Shanghai Municipal Government: Differences, Limitations, And Possible Combinations, Benjamin Kroymann

The University of New Hampshire Law Review

[Excerpt] "As large multinational companies (“MNCs”) are continuously extending their Chinese market presence, many are considering moving their Asian-Pacific Headquarters to China. In an attempt to attract MNCs’ Regional Headquarters to Mainland China, the Chinese central government is not only faced with competition from regional hubs, such as Singapore and Hong Kong, but also from internal rivals, such as the Shanghai and Beijing municipal governments.

This article analyzes recently passed regulations on the establishment of Regional Headquarters by MNCs in China at the national and the municipal level. The focus will be on Shanghai’s set of regulations, issued in 2002 …

An Examination Of Major Chinese Auto Manufacturing Firms Between 1956-2000: From A Global Supply Chain Perspective, Kun Liao, Paul Hong

All Faculty Scholarship for the College of Business

In 2005, the Chinese auto production output has surpassed France and became the world’s fourth largest Auto manufacturing country (just behind US, Japan and Germany) in terms of auto-related manufacturing output. The phenomenal growth of Chinese auto manufacturing, however, received relatively little research attention.

This paper examines major Chinese auto-manufacturing firms between 1956-2000. The paper is organized as follows: (1)we will first review the history of Chinese auto-manufacturing since 1955 when the first automobile plant was ever built in China. We will briefly review issues related to the growth patterns, issues and management practices during the past 50 years; (2) …

Disproportionate Ownership Structure And Ipo Long-Run Performance Of Non-Soes In China, Xiaoming Wang, Jerry Cao, Jinghua Tang, Gary Gang Tian

Research Collection Lee Kong Chian School Of Business

This paper examines the relationship between ownership structures and IPO long-run performance of non-SOEs in China. Although non-SOEs underperform the market in general after IPO but the poor performance is mainly caused by the IPOs with ownership control wedge. Non-SOEs with one share one vote structure outperform those with control-ownership wedge by 30% for three years post-IPO performance in adjusted buy-and-hold returns. Non-SOEs with control-ownership wedge have higher frequency of undertaking value-destroying related party transactions. These findings suggest that non-SOEs need to improve corporate governance such as disproportionate ownership structure to better safeguard the interest of long-run shareholders.

Why Are The First Day Returns Of China’S Ipos So High?, S. Ma

Faculty of Commerce - Papers (Archive)

We investigate the causes of the high first day returns of Chinese firms making an initial public offering (IPO) of A-shares from 1991 to 2003 on Shanghai and Shenzhen stock exchanges. Our results show an average underpricing of 175.21 percent. We argue that the IPO underpricing is an interaction of ex-market underpricing and on-market overpricing. The high first day returns of China’s IPOs are most likely generated from on-market overpricing. Government intervention, market speculation, special ownership structure, strategy of proceeds maximization and risk concerns are the main drivers of the high first day returns. However, the high first day returns …

Some Perspectives On China's Role In The East Asian Economies, Tang Zongming, Van Hoa Tran

Faculty of Commerce - Papers (Archive)

No abstract provided.

Modelling The Impact Of China's Wto Membership On Its Investment And Growth: A New Flexible Keynesian Approach, Van Hoa Tran

Faculty of Commerce - Papers (Archive)

The standard theories of economics, international finance, transnational corporations, and within the accouting framework of the United Nations System of National Accounts (SNA93) or earlier stipulate that investment plays a crucial role in influencing microenconomic activity, national ouput growth and economic development.

Impact Of Economic Policy Reform And Regional And Global Shocks On Trade And Growth In East Asia: Econometric Evidence For China, Van Hoa Tran

Faculty of Commerce - Papers (Archive)

The paper introduces the generalised gravity theory (Tran Van Hoa 2004) to construct a simply flexible simultaneous-equation econometric model of growth and trade of China and its five major trading countries or blocs (Japan, ASEAN-6, the European Union, the US, and Austrralia).

The Harmonization Of Chinese Accounting Standards With International Accounting Standards: An Empirical Evaluation, Songlan Peng

Theses and Dissertations

Using China as the case of a developing country, this study empirically evaluates whether the efforts made by China since the early 1990s to harmonize their domestic standards with IAS have been successful. Four research questions are addressed and eight hypotheses are developed to investigate the current level of harmonization and whether the extent of harmonization improves with the issuance of the most recent Chinese GAAP. Chinese 1992 GAAP, 1998 GAAP, and 2001 GAAP are reviewed and compared with IAS to evaluate de jure harmonization of Chinese GAAP with IAS (that is, harmonization in standards). Firms that issue both A …

Entrepreneurial Hunger—Shall We Try Chinese?, Joseph E. Levangie

New England Journal of Entrepreneurship

Many entrepreneurs are able to manage their businesses within relatively contained and familiar geographical and cultural circles. With a world economy shrinking every day amid a flood of digital information, today’s entrepreneur is increasingly confronted with opportunities to consider new ways to secure vendors and recruit customers. Many unfamiliar possibilities emerge. Should the entrepreneur venture beyond “comfortable” surroundings to consider international connections? Specifically, what about China? How practical is this fetching business temptation of larger markets and lower-cost subcontractors? What are the social, trade, financial, and political issues? Should a “China strategy” be a true entrepreneurial offensive, or rather a …

Acceptance Of Wireless Internet Via Mobile Technology In China, June Lu, Chang Liu, Chun-Sheng Yu, James E. Yao

Journal of International Technology and Information Management

This study explores factors associated with the acceptance of Wireless Internet via Mobile Technology (WIMT) in China. The results indicate that the acceptance of WIMT is related to the factors of perceived usefulness, perceived ease of use, social influences, wireless trust environment, and facilitating conditions. It provides diagnostic insight into how different factors influence user intention to accept WIMT in China, and thus help business develop strategy to prompt WIMT communications and mobile commerce there.

Regionalisation And Singapore's Transborder Industrialisation: A New Perspective On Suzhou Industrial Park, Xun Cai, Lu Gao, Caroline Yeoh

Research Collection Lee Kong Chian School Of Business

The dynamics of international economic competition have prompted governments to re-examine accustomed policies, and search for alternative strategies, in order to re-position their economies for the future. This paper takes a look at Singapore’s search for a competitive positioning in the global marketplace, and focuses on the city-state’s much-publicized, and controversial, flagship project in China, viz, the Suzhou Industrial Park (SIP). This strategic initiative is premised on the perceptions that Singapore’s positive reputation with multinational corporations, and ‘guanxi’ (or connections) with regional governments, will give the regional sites a strategic advantage in the competition for foreign investments. Earlier studies have …

A Cross-Cultural Comparison Of U.S. And Chinese Website Customers, Eleanor T. Loiacono, Huiping Lin

Journal of International Technology and Information Management

Website quality has been given much attention as of late. In particular the factors that impact a consumer’s perception of website quality is of great interest. This paper takes a currently validated measure of business-to-consumer website quality (WebQualTM) and applies it to Chinese Web users in order to study the cross-cultural differences and similarities of U.S. and Chinese customers. Several cultural differences between U.S. and Chinese customers are revealed.

Features Of Born-Global Processing Plants Under The Global Economy, Helen G. Zhao, Vistor H.Y. Lo, Domenic Sculli

Journal of International Technology and Information Management

A Born-Global Processing Plant (BGPP) is the formation of a new manufacturing plant specifically for the world-wide outsourcing industry and is a unique product of the global economy. The concept of a Born-Global entity has been mainly associated with high-tech industries and high-tech products. In this paper we extend the term BGPP to cover the concept of Born-Global to mature/low-tech and labor intensive processing plants that produce many of the traditional manufactured products. Such processing plants form the backbone of Southern China’s economic development. The conventional view regards a BGPP as playing a minor role in a traditional multinational enterprise …

Goal Interdependence And Leader-Member Relationship For Cross-Cultural Leadership In Foreign Ventures In China, Yi Feng, Nancy Chen

Theses & Dissertations

This study empirically examines the impact of goal interdependence and leader-member relationship on cross-cultural leadership in joint ventures in China. Its two research questions are how to facilitate leader-member relationships between foreign managers and Chinese employees in joint ventures in China, and how foreign managers and Chinese employees can develop cooperative goals in Chinese contexts.

Four hypotheses were generated. Hypothesis 1 examined the effects of leader-member relationship between foreign managers and Chinese employees on cross-cultural leadership. Hypothesis 2 studied the impacts of different goal interdependence on the leader-member relationship between foreign managers and Chinese employees. Hypothesis 3 and 4 investigated …

Production Research In China, S. Chaudhry, S. Feng, H. Li, H. Sui, J. L. Zhang, Z Zhang, Li Xu

Information Technology & Decision Sciences Faculty Publications

(First paragraph) China is the world’s largest emerging economy. In recent years, China has moved to an increasingly market-oriented economy that opens to international trade and investment. At the same time, the popularity of China as a manufacturing base, assembling goods for sale worldwide is growing. In addition to global manufacturers who have built their own plants in China, many manufacturing companies are outsourcing production to Chinese subcontractors and branding the products with their own logos. In today’s China, production research is becoming more and more important; advanced production research becomes an important enabler to make its manufacturing industry competitive. …

The Role Of Communicative Creativity In Starting Regional Trade Relationships With China: An Action Research Practitioner Case Study, David W. Maguire

Theses: Doctorates and Masters

The Action Research project studies the role of information management and knowledge generation in establishing overseas political and trade activity to assist regional development in Australia. It is the work of a researcher whose background in information management ranges across more than 30 years working in the newspaper and regional economic development industries. It applies a hybrid term called “communicative creativity” – distilled from Wieman’s (1963) Doctrine of Creative Interchange and Habermas’s (1984) Theory of Communicative Action – to the researcher’s professional practice of facilitating the development of two entities – the economic development organization and its method of facilitating …

Law And Investment In China: The Legal And Business Environments After Wto Accession, Vai Lo, Xiaowen Tian

Xiaowen Tian

The Chinese market is appealing, but the Chinese legal system is very complicated. A basic understanding of Chinese law is absolutely crucial for companies investing in this fast-growing and potentially huge market. Since China is moving toward a socialist market economy and is increasingly integrated into the world market, some aspects of China's commercial law are different from, while others are moving into line with, those of mature market economies.

This book provides an introduction to the Chinese legal system, focusing on laws and regulations on foreign direct investment and highlights recent government policies and measures undertaken to intensify economics …

Interactions Among China-Related Stocks: Evidence From A Causality Test With A New Procedure, Gary Gang Tian, Guang Hua Wan

Faculty of Commerce - Papers (Archive)

The purpose of this study is to investigate a causal relationship among five different indices of shares issued by Chinese firms, A-, B- and H-shares listed in China and Hong Kong. This paper re-examines the interactions among these China-related stocks using daily time series data by constructing a vector autoregresion (VAR) model. A new Granger no-causality testing procedure developed by Toda and Yamamoto (1995) was applied to test the causality link among these five stock indices. The results emerging from our research indicate that there are "closed" relations within A-share (as well as within B-share) between Shanghai and Shenzhen markets …

Does Underwriter Reputation Affect The Performance Of Ipo Stocks?, Chunchi Wu, Sheen Liu, Junbo Wang

Research Collection Lee Kong Chian School Of Business

In this paper we examine the relationship between performance of the Chinese IPO firms and the reputation of investment bankers underwriting their stocks. Similar to previous studies on well-developed stock markets, we find that the initial return on the first day of trading is strongly positive for Chinese IPO stocks due to underpricing. This initial return is negatively related to the underwriter's reputation, suggesting that the better the reputation of the underwriter, the less underpricing and hence, the lower the initial return of the IPO stock. Extending the analysis to a ten-day window after the first trading day, we find …

Communication And Management In A Traditional Chinese/Thai Poultry Company, Nattakan Rasatapana

Theses Digitization Project

In Thailand a Chinese poultry company employs a traditional Chinese management style which is a didactic syle of leadership. While the company has dramatically grown in the last twenty years, the management structure has not changed to accomodate the organization's growth. The company is experiencing increased turnover and high absenteeism. The purpose of this study is to identify the threats and weaknesses facing the company in terms of decision making, job descriptions, and communication and management structure.