Chinese Culture, Organizational Behavior, and International Business Management

By Ilan Alon | Go to book overview

13

The Effect of Property Rights on International Joint Ventures in China

Peter Ping Li and Tung-lung Steven Chang

INTRODUCTION

Much research has been done into the operation and performance of international joint ventures in China, or Sino-foreign joint ventures (SFJVs) (e.g., Beamish, 1993; Campbell, 1988; Luo, 1997; Osland and Cavusgil, 1996; Pan, 1996; Shan, 1991; Yan and Gray, 1994), but there is virtually no study on the possible effect of property rights of Chinese partners on the strategy and performance of SFJVs. The extant research on SFJVs is largely confined to the state sector, but the non-state sector, including private and collective firms, is playing an increasingly important role in China's economy as well as the most critical role in China's economic reforms. Further, there is little work on the effect of SFJVs on the economic reforms in China, particularly their effect on the reform of China's state-owned enterprises (SOEs), such as ownership restructuring of SOEs via the mode of the international joint venture (Li, 1997). We need to expand the research on SFJVs

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