Business Commons^™

China-Based Industrial Espionage, Joel Savary

Student Scholar Symposium Abstracts and Posters

On Oct 8, 2014 China has surpassed the United States as the world’s largest economy in terms of Purchasing Power Parity (PPP)” (IMF). My paper explores one of the instances of unlawful business practices that have contributed to China’s new world position. China based espionage undercuts American businesses and U.S. foreign policy directly, causing catastrophic economic implications for America, its businesses, and its allies. The U.S. government is grappling with the means and methods China uses to disseminate information stolen from U.S. businesses to support China based industries. Due to the lack of transparency in China, it has been difficult …

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

Gary Tian

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.

Does Banks' Dual Holding Affect Bank Lending And Firms' Investment Decisions? Evidence From China, Xiaofei Pan, Gary Tian

Gary Tian

This study investigates the effect of banks' dual holding on bank lending and firms' investment decisions using a sample of listed firms in China. We find that dual holding leads to easier access to bank loans, a result that is more pronounced for non-state-owned enterprises (non-SOEs) than SOEs. We also find that dual holding distorts banks' lending decisions and harms the investment efficiency for SOEs, while resulting in optimal lending decisions and enhanced investment efficiency for non-SOEs. For non-SOEs, further analysis suggests that optimal lending decisions and efficient investment can be achieved for firms with higher ownership concentration, and firms …

The Chinese Health Care System: An Analysis Of The Current And Emerging Health Care Needs, Karen Giuliano, Courtney Droms

Courtney Hatch

This paper presents an overview of the health care system, current and anticipated health care challenges, and the potential for medical technology to address the health care needs of the People’s Republic of China. The implications of these topics for the modification of current strategies or development of new technologies to address the current and emerging health care needs in China will be reviewed in order to assess the industry’s current plans for expansion of their operations to the health care market in the People’s Republic of China.

Rethinking Cross-Border Talent Management: The Emerging Markets Perspective, Tejpavan Gandhok, Richard Raymond Smith

Research Collection Lee Kong Chian School Of Business

A closer look at the relatively little understood issue of how and why emerging market MNCs manage their senior talent for international growth leads us to question the conventional wisdom on talent management practices.

Deeper Into China, Usu Jon M. Huntsman School Of Business

Jon M. Huntsman School of Business News Collection

The Huntsman School of Business and the Northwest University for Nationalities (NWUN), based in Lanzhou, China, announced an academic partnership to offer an undergraduate degree in International Economics. This is the fourth such partnership for the Huntsman School, which now counts over 900 students in China enrolled in a bachelor’s degree program in International Economics.

Exploring Cooperation Among The Brics: Organizational Implications Of Growing Brazil-China Business Relations, Jeffrey A. Kappen

Doctoral Dissertations

The early 21st century has witnessed the beginnings of change in the dominant patterns of global trade. For instance, the nations known as the BRICS (Brazil, Russia, India, China, and South Africa) have intensified the coordination of their economic, political and social agendas, including increased trade among their own firms. To date, however, scholarship in organization studies has yet to examine the theoretical and empirical implications for international management of these integrative processes. Intending to close some of this gap, the dissertation explores the formation of new transnational business relationships between firms of two BRICS members, Brazil and China. Building …

Technology Transfer Into China: Preparing For A New Era, Arnoud De Meyer

Arnoud DE MEYER

Currently, there are three forces creating a more favourable background for western multinational companies to do new business in China by transferring new technology. First, growing overcapacity means China requires not traditional turnkey factories, but instead, technology which leads to innovation and improvement. Second, a changing attitude by all levels of Chinese government to demanding state-of-the-art technology including software instead of previous generation technology, and to technology management and commercial implementation more. Third, intellectual property rights are becoming better respected. The author makes suggestions to best manage technology transfer into China, with this changed background. Based on six case studies …

Technology Strategy And China's Technology Capacity Building, Arnoud De Meyer

Arnoud DE MEYER

China has the potential to become a major source of innovation for the world. The scientific investment is in place and rapidly growing. But in order to reap the benefits of this investment its organisations will have to become better at managing innovation. One of the key elements of innovation management is the determination and implementation of a sound technology strategy. The purpose of this paper is to offer a framework and a detailed overview of what it entails to develop and implement a technology strategy. The paper emphasizes the alignment of the strategy with the organisational competencies and the …

Effects Of Cultural Ethnicity, Firm Size, And Firm Age On Senior Executives’ Trust In Their Overseas Business Partners: Evidence From China, Crystal X. Jiang, Roy Y. J. Chua, Masaaki Kotabe, Janet Y. Murray

Roy Chua

We investigate trust relationships between senior business executives and their overseas partners. Drawing on the similarity-attraction paradigm, social categorization theory, and the distinction between cognition- and affect-based trust, we argue that executives trust their overseas partners differently, depending on the partners’ cultural ethnicity. In a field survey of 108 Chinese senior executives, we found that these executives have higher affect-based trust in overseas partners of the same cultural ethnicity as themselves; cognition-based trust is associated with affect-based trust differently when overseas partners are of the same or different cultural ethnicity. We also examine the role of relative firm size and …

Cross-Border Mergers And Acquisitions In China: A Test Of The Free Cash Flow Hypothesis, Yane Chandera, Lukas Setia Atmaja

The Indonesian Capital Market Review

This research investigates whether Chinese cross-border investments have positive impact on shareholders wealth and whether the amount of bidders’ free cash flow influences the shareholder returns resulted from the acquisitions. The sample is based on 77 top Chinese cross-border investments during the years 2005-2009 with each deal value of minimum US$100 million. The assessments of acquisition abnormal returns are based on the event study methodology (Brown & Warner, 1985). Cross-sectional regression analysis is used to determine the bidding firms factors which significantly affect the returns. Factors are examined using OLS with White’s heteroscedasticity-corrected standard errors, since the assumption of homoscedasticity …

An Empirical Study On Use Of Social Media In The Hotel Industry In China: A Study Of Customers’ Preferences And Attitudes, Ruolin Wang, Tianyue Chen

MBA Student Scholarship

With the development of the technology, business corporations start to use social media to promote their businesses. This study focuses on the preferences and attitudes of travelers’ in China with the relationship between usage of social media (based on WeChat and Sina Weibo) with the option of hotel choice in the hospitality industry. There are two instruments used in this study: (1) sending out online surveys and (2) scheduled interviews with people who are working in the hotel industry. From our survey data (N=245) were participants who completed questionnaires located all over China. However, the results of the study indicate …

Can Brazilian Firms Survive The Chinese Challenge: Effects Of Globalization On Markets, Strategies, And Performance, Syed H. Akhter, Paulo Fernando Pinto Barcellos

Syed H. Akhter

Purpose – The purpose of this paper is to apply the structure-conduct-performance theory and the strategic fit concept to examine the effects of globalization on markets, strategies, and performance of business-to-consumer firms in Brazil. Design/methodology/approach – The paper takes a qualitative approach to answer the research questions. Top decision makers such as president, chief executive officer, chairman of the board, vice president, and director of the companies were interviewed. The elite approach to in-depth interviewing was followed to obtain reliable information from the decision makers. Findings – Findings indicate that globalization and especially the entry of Chinese firms significantly changed …

Socially Responsible Foreign Direct Investment: A Challenge To Tncs In Emerging Markets, Xiaowen Tian, Moxi Song, Ran Tian

Xiaowen Tian

A widening gap between the rich and the poor is found in most, if not all, emerging market countries that have recently opened up to FDI and is threatening the sustainability of economic progress in these countries. The study finds strong evidence that FDI contributes to the widening gap between rich and poor regions through negative productivity spillovers in the largest emerging market of China, and provides some theoretical explanations. The study discusses implications of the findings for transnational corporations in making socially responsible investment and for emerging market countries in attracting foreign investors to poor regions.

Evolution Of Food Quality Demand In The Food Service Industry In China: The Case Of Duck, Rachel Alison Carnegie

Open Access Theses

Booming economic growth and rising consumer incomes have impacted food preferences and purchasing behavior in China. At the same time, several internationally publicized food safety incidents, particularly in the animal husbandry sector, have heightened awareness of and concern for food safety and quality in meat and dairy. Rising quality demand and safety concerns have been studied at length in the food retail sector, but also appear to be important in the food service industry. This research uses data from a survey of duck restaurant managers and consumers in Beijing, Shanghai, Chengdu, and Guangzhou to determine preferences and willingness to pay …

Refocusing The Lens: Singapore's Private Enterprises In China, Caroline Yeoh, Wilfred Pow Ngee How, Ye Zhang

Caroline Yeoh

In recent years, financial and political instabilities have cooled economic growth in many regions. Even in this context, however, areas of strong growth remain; none, arguably, more prominent than ever-developing and increasingly affluent China, which is today a vastly different environment than even several years ago. More than ever, a wealth of opportunity subsists in this ancient land – and businesses must be able to adapt and seize these opportunities. Thus we turn towards Singapore private enterprise in China, to study once more the efficacy of the city-state's internationalization strategies in the context of the private enterprises which must eventually …

Transformational Leadership In China: The Role Of Trust And Harmony, Wai Kwan (Elaine) Lau

Wai Kwan (Elaine) Lau

Transformational leadership attracted a significant amount of scholarly attention in the past few decades. This study is designed to develop an effective transformational leadership model that works in the Chinese context. A model is proposed to clarify the mediating effects of trust and harmony on the relationship between transformational leadership and its effectiveness. The model provides a new perspective on leadership in the Chinese context that is ignored in the Western leadership literature. It also offers a clearer understanding of how best transformational leadership practice combines with traditional Chinese wisdom to do a better job in accounting for the leader-follower …

Eyes On Casino Gaming In China: Residents' Attitudes Toward Casino Gaming Development In Sanya City, A Pre-Casino Establishment Analysis, Omar Moufakkir, Dallen Timothy

UNLV Gaming Research & Review Journal

While Macau offers world class casinos, casino gaming is not legalized in Mainland China. Current media reports, however, indicate a growing interest by the Chinese government in establishing casinos in the Hainan Province. This study assesses the perceptions of residents about potential gaming development in their community. Resident attitude surveys have been used by planners and policymakers in order to gain local support for tourism projects and initiatives. A series of hypotheses were tested. In particular, the study evaluates the difference in perception between tourism workers and non-tourism workers, residents who live in the city center where the casino development …

Multinational R&D In China: Differentiation And Integration Of Global R&D Networks, Jian Wang, Zheng Liang, Lan Xue

Jian Wang

1,101 Graduates, Usu Jon M. Huntsman School Of Business, Klydi Heywood

Jon M. Huntsman School of Business News Collection

The Huntsman School of Business graduated 1,101 students with 676 at the undergraduate commencement ceremony in Logan on May 5, and 284 earning graduate degrees. The Huntsman Program in China graduated 141 of the undergraduate students.

Does Control-Ownership Divergence Impair Market Liquidity In An Emerging Market? Evidence From China, Xiaojun Chu, Qigui Liu, Gary Tian

Qigui Liu

This paper examines how institutional characteristics of emerging economies influence the effect of control-ownership divergence on market liquidity. We find that the divergence is negatively associated with liquidity and that this negative relationship is more pronounced in firms with more severe agency problems and information asymmetry. We argue that in an emerging market, the negative effect of the divergence on liquidity is worsened by state ownership and poorer shareholder protection, both of which result in more severe agency conflicts; we also find, however, that this effect is alleviated by the NTS reform, which aligns the interest of different shareholders.

Dynamic Linkages Among Financial Markets In The Greater China Region: A Multivariate Asymmetric Approach, Kin-Yip Ho, Zhaoyong Zhang

Zhaoyong Zhang

This study examines the volatility dynamics of the Greater China stock markets by employing a multivariate framework that incorporates the features of asymmetries, persistence and time-varying correlations. The multivariate framework with these features will contribute to a better understanding of the interdependence and integration among the stock markets in the Greater China region. Our results confirm the existence of volatility persistence and asymmetries, and there is some evidence of a common degree of persistence ('co-persistence') among the markets. It is also found that the Mainland Chinese markets are actually less volatile than the Taiwan and Hong Kong stock exchanges in …

New Estimates Of The Equilibrium Exchange Rate: The Case For The Chinese Renminbi, Kiyotaka Sato, Junko Shimizu, Nagendra Shrestha, Zhaoyong Zhang

Zhaoyong Zhang

We estimate the nominal equilibrium exchange rate (EER) of the Chinese renminbi (RMB) vis-à-vis the US dollar from 1995 to 2009. While most of the recent empirical studies on the EER employ a cross-country analysis, country-specific factors, especially supply-side real factors, are not fully taken into consideration in estimating the EER. To better reflect China's processing exports in the context of growing intra-regional trade in Asia, we incorporate in the empirical analysis the source-country breakdown data on import prices and input coefficients of intermediate inputs by constructing an annual new International input-output (IIO) table for the period from 1995 to …

An Oreo With Chinese Characteristics, Srinivas K. Reddy

Research Collection Lee Kong Chian School Of Business

In late 2005, Shawn Warren, head of biscuits, Asia Pacific for Kraft, was in desperate need of a quick turnaround strategy. Oreo, after nearly 10 years in the China market was facing the imminent disaster of being completely pulled from the shelves. Local retail channels, along with company headquarters near Chicago, had finally grown impatient of the iconic product's lacklustre sales. When Warren described the turnaround in March 2012, he said, "The first step to solving a problem is to admit you have one. We are committed to have this brand and put resources behind it."

Causes And Consequences Of Corporate Asset Exchanges By Listed Companies In China, Fang Lou, Jiwei Wang, Hongqi Yuan

Research Collection School Of Accountancy

China's listed companies often exchange corporate assets with their parent companies. We find that listed companies that have been incompletely restructured from former state-owned enterprises and in sound financial condition tend to exchange higher quality assets for lower quality assets (i.e., tunneling). However, when there is a need to avoid reporting a loss and to raise additional capital, listed companies tend to exchange lower quality assets for higher quality assets (i.e., propping). We also find that the market reacts indifferently to asset exchange announcements. Finally, we find asset exchanges motivated by a tunneling (propping) incentive to be associated with poorer …

Impacts Of China’S Foreign Direct Investment In Sub-Saharan Africa, Jian Zhang, Ilan Alon, Yanan Chen

Faculty Publications

This paper examines the impacts of foreign direct investment, as well as China’s FDI on GDP growth of Sub-Saharan African countries from a macroeconomic perspective. By using the data from 44 Sub-Saharan African countries from 2003-2010, our GMM results show that neither China’s FDI nor FDI net inflow in SSA has significant effect on economic growth of SSA countries. The possible explanations about the insignificant results include crowding out effect of China’s FDI on domestic investment, the declining in outward FDI in traditional sectors and rising in service sector which ignored in the current model, and the types of sectors …

Chemical And Anode Manufacturing Company, Daniel R. Sterkenburg

Business Administration Faculty Publications

No abstract provided.

Business As Mission In And From China: Bam Think Tank China Regional Group Report, Tony Yeung, Linda Ching, Michael Lam, James Chak, Sara S., Daniel R. Sterkenburg

2014 Author Recognition Bibliography

No abstract provided.

Glory Tent, Now Closed, Daniel R. Sterkenburg

Business Administration Faculty Publications

No abstract provided.

Electronics Manufacturing, Now Bankrupted, Daniel R. Sterkenburg

Business Administration Faculty Publications

No abstract provided.