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Productivity performance in Chinese business groups: the positive and negative impacts of business group affiliation

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  • Dylan Sutherland
  • Lutao Ning
  • Sam Beatson

Abstract

This paper considers evidence on business group productivity performance in China. It also carries out a detailed investigation into China's 50 largest groups to see if pyramidal groups are forming. As such, we further explore what can be considered as some of the positive and negative attributes of Chinese groups. We show that although improvements in productivity have taken place, some Chinese business groups are also taking the first steps towards developing pyramidal structures. This could have important implications for longer-term productivity growth in China's business groups.

Suggested Citation

  • Dylan Sutherland & Lutao Ning & Sam Beatson, 2011. "Productivity performance in Chinese business groups: the positive and negative impacts of business group affiliation," Journal of Chinese Economic and Business Studies, Taylor & Francis Journals, vol. 9(2), pages 163-180.
    • Handle: RePEc:taf:jocebs:v:9:y:2011:i:2:p:163-180
    DOI: 10.1080/14765284.2011.568685
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    References listed on IDEAS

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    1. Daphne Yiu & Garry D. Bruton & Yuan Lu, 2005. "Understanding Business Group Performance in an Emerging Economy: Acquiring Resources and Capabilities in Order to Prosper," Journal of Management Studies, Wiley Blackwell, vol. 42(1), pages 183-206, January.
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    5. Tarun Khanna & Yishay Yafeh, 2007. "Business Groups in Emerging Markets: Paragons or Parasites?," Journal of Economic Literature, American Economic Association, vol. 45(2), pages 331-372, June.
    6. Qiao Liu, 2006. "Corporate Governance in China: Current Practices, Economic Effects and Institutional Determinants," CESifo Economic Studies, CESifo Group, vol. 52(2), pages 415-453, June.
    7. Barry Naughton, 2007. "The Chinese Economy: Transitions and Growth," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262640643, April.
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