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    28 October 2016, Volume 28 Issue 10 Previous Issue    Next Issue

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    Comments on the Work of Oliver Hart and Bengt Holmström——Nobel Prize Winners in Economic Sciences in 2016
    Yan Yan, Liu Yi
    2016, 28 (10):  3-10. 
    Abstract ( 268 )   PDF (1073KB) ( 750 )  

    The Sverige Riksbank Prize in Economic Sciences in Memory of Alfred Nobel 2016 was awarded jointly to economists Oliver Hart and Bengt Holmström for their contributions to contract theory. We review Hart's contributions to incomplete contracts and Holmström's contributions to complete contracts. Building up the optimal incentive contracts and choosing the suitable allocation of property rights can help safeguard the social division of labor cooperation and thus promote the development of economy. This paper summarizes the academic contributions of Oliver Hart and Bengt Holmström in contract theory, and introduces the contributions of contract theory for the development of our society.

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    Establishment and Simulation Study of System Dynamic Model on Sustainable Development of Water-Energy-Food Nexus in Beijing
    Li Guijun, Li Yulong, Jia Xiaojing, Du Lei, Huang Daohan
    2016, 28 (10):  11-26. 
    Abstract ( 527 )   PDF (3048KB) ( 2361 )  

    Resources and environment are important basis for human survival and development. Beijing, as the political and cultural center, is seriously short of natural resources, and depends exceptionally heavily on imports from other provinces. Therefore, the city is facing tougher challenges with resource needs rising steadily. This paper sets up a complex system of interconnections among water, energy and food. A W-E-F Nexus causal network is established after collecting influence factors. This paper realizes the simulation of regional W-E-F development trends, and carries out a sensitivity analysis based on system dynamics model. According to the simulation results, total consumption of water is expected to rise to 3.84 billion tons in Beijing by 2020. Energy supplies will tail off to below 26 million tons standard coal equivalent (SCE), primary energy is seeking continuous, incremental improvements, where the proportion of cleaner fuels is boosting, such as geothermal energy. Total consumption of energy will reduce gradually to 68.65 million tons SCE by 2020, of which more than 62 percent will be imported from other provinces. Total consumption of food is expected to rise to 7.3 million tons and after the short adjustment periods from 2014 to 2016, yield per unit area will increase continuously to more than 7.8 thousand kilograms by 2020 and degree of self-sufficiency will return to 20 percent. Meanwhile, policies and measures based on energy system will improve sustainable development ability fundamentally, and prove to be critical factors promoting regional development in Beijing. There will be larger and deeper influences when control measures are taken through social and economic means, saying non-resource factors, compared with direct resource regulations.

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    Sovereign Wealth Funds Forecasting Scale and Their Impact on International Financial Market
    Ma Fang, Chen Weizhong
    2016, 28 (10):  27-38. 
    Abstract ( 245 )   PDF (2239KB) ( 946 )  

    In recent ten years, sovereign wealth funds (SWFs) develop rapidly, and the scale of SWFs enlarges promptly. At present, SWFs have become one of the important institutional investors in international financial market, and have more and more impact on global financial market. It has aroused attention from the governments of many countries and scholars. By scenario analysis, the paper forecasts the future scale of SWFs, and discusses the impact of SWFs on the global financial market and its stability through revised Barro model, including SWFs risk preference having impact on asset price, equity risk premium and the price-earning ratio of financial market. The results reveal that the boom of SWFs is beneficial to global financial market stability, and the impact of SWFs on the asset price of the global financial market is not obvious. The Chinese government can consider enlarging the asset size of its SWF in order to support the Belt and Road Initiative better.

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    Environment, Life Expectancy and Economic Development: The Optimal Environmental Tax
    Liao Pu, Zheng Sujin
    2016, 28 (10):  39-49. 
    Abstract ( 226 )   PDF (1190KB) ( 1016 )  

    China suffers double pressure from environmental protection and economic development. Environmental policies that take economic development into consideration are very important. Introducing the relationship between environment and life expectancy into the endogenous mortality two-period overlapping generation model, we build an endogenous economics model with environment and life expectancy. Solving the model, we obtain the economic growth path considering the environmental tax, with which the optimal environmental tax is further discussed. Employing the data in China, the simulations show that:there is an optimal environmental tax which maximizes the steady output. Besides, the implementation of environmental tax system will lead to economic recession in the short term. Our novelty is that we take the relationship between environment and life expectancy into consideration when studying environmental tax, and solving an optimal environmental tax which gives consideration to both environmental protection and economic development.

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    Testing the Risk-return Relationship under Intertemporal Behavioral Asset Pricing
    Liu Xiangdong, Du Chunling, Wang Feng, Liu Cheng
    2016, 28 (10):  50-57. 
    Abstract ( 226 )   PDF (1072KB) ( 1073 )  

    It is a basic inference of capital asset pricing model (CAPM) that there is a positive relationship between systemic risk and yield, but some empirical studies proved that the relations are not significantly positive, which may result from using historical returns as unbiased estimates of the expected yield. According to intertemporal capital asset pricing model (ICAPM), this paper carries out an empirical test by using the ratio of stock's returns and price (E/P ratio) as a proxy for the expected yield, and testifies the positive correlation in Chinese stock market. On this basis, considering the impact of investors' heterogeneous belief on the relationship between risk and return, the traders are divided into three categories in accordance with investment characteristic in the framework of behavioral asset pricing. The empirical results again show that there exist both a significantly positive relation between risk and return and three kinds of heterogeneous traders, which provide new evidence for behavioral financial theories.

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    National Innovation-oriented Cities' Dynamic Evolution of Innovation Capability-Based on the Research in Technological Achievements Index
    Xu Zhi, Chen Liyu
    2016, 28 (10):  58-66. 
    Abstract ( 235 )   PDF (1421KB) ( 808 )  

    Based on Technology Achievement Index established by UNDP in 2011, this paper measures the Technology Achievement Index of China's 21 national innovative cities during 2001-2011, and analyzes its changing distribution characteristics and final steady distribution state by using kernel density estimation and Markov chain analysis methods. Results show that the Technology Achievement Index of China's 21 national innovative cities continually grow, but the gap between cities is expanding, especially after 2006. In long term, the evolution path of Technology Achievement Index of China'ss 21 national innovative cities is relatively flat:the probability for cities at a low level to achieve substantive development is low; the final steady-state distribution will be weakening poles and strengthening middle group. For the high level group, the key to its development is to shape the innovation environment and to enhance dominant position for enterprise innovation; for the low level group, the key to its development is to form and improve regional innovation center through policy guidance.

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    Lockup Expiration of Chinese Non-tradable Shares, Capital Investment and Private Benefits of Control: Evidence from the Split Share Structure Reform of China's Listed Companies
    Wu Dongmei, Zhuang Xintian
    2016, 28 (10):  67-78. 
    Abstract ( 233 )   PDF (1131KB) ( 764 )  

    Based on the theory of capital investment results in private benefits of control (PBC), and combined with our current emerging and transitional market background, this paper empirically studied effects on different capital investments to PBC by using data of Chinese listed companies which controlling rights diverted in A stock markets of Shanghai and Shenzhen from 2001 to 2013. The results of empirical study show that:1.the PBC after lockup expiration is higher than the before one; 2. the PBC is positively related with capital investment level. With lockup expiration of Chinese non-tradable shares, the positive relationship is getting weakened; 3 equity investments are positive relativity with the PBC as well. When the non-tradable shares are locked up, the private benefits of control is more sensitive with level of share rights investment; 4.controlling shareholders' capital investment decision motivated by self-interest can harm minority investors, And this behavior hasn't been essentially changed because of completion of China's shareholder structure reform. Finally,the conclusions of this paper give some policy implications to government and minority investors.

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    The Calculation on Technological Progress Pace and Contribution Rate to Japonica Rice Production in China——Based on the Panel Data of 12 Provinces during 1985-2013
    Wang Chengjun, Lv Xiaohong, Fei Ximin, Liu Xiaojing
    2016, 28 (10):  79-88. 
    Abstract ( 187 )   PDF (1113KB) ( 866 )  

    Food is the first necessity of mankind. Technological progress is an important means to ensure the increase of food production, quality improvement and security. In order to investigate the important role of technological progress in food production in China, this paper analyzes the technological progress pace and contribution rate to japonica rice production based on the provincial panel data of 12 provinces from 1985 to 2013. The paper adopts the improved multi-element level CES production function. The results show that the technological progress pace is 0.44% and its contribution to japonica rice production in China from 1985 to 2013 reaches 33.13%. Related agricultural policies made by the government based on specific conditions in different periods have a major influence on the technological progress pace and its contribution to japonica rice production. Since the eastern, central and western regions of China are quite different from each other in natural and socio-economic environment, their respective technological progress pace and its contribution to japonica rice production are also significantly different in space. Finally, this paper puts forward some policy recommendations for promoting the japonica rice production.

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    Analysis on Inter-regional Differences of Carbon Emissions and Loss and Profit Deviation in China
    Sun Hui, Liu Yuanyuan
    2016, 28 (10):  89-96. 
    Abstract ( 261 )   PDF (1322KB) ( 844 )  

    In this paper, China's 30 provinces and autonomous regions are classified into resource-based regions and non-resource-based regions from the industrial perspective. The inter-regional differences in carbon emissions are calculated by the classical methods of inequality measure. The loss and profit deviation of carbon emissions in resource-based regions is measured through economic coefficient and ecological damage coefficient. More research references for equitable development of the region could be provided. The results show that CO2 emissions per capita and CO2 emissions intensity in the resource-based regions are higher than that in the non-resource-based regions and the average value in the whole nation, but the GDP per capita is low in the resource-based regions. Furthermore, China's regional distribution of CO2 emissions is more inequal than that of income. Carbon emission differences also exist in internal resource-based rationales. In addition, the loss and profit deviation coefficient of resource-based regions is about 0.2, which indicates that there is a serious deviation from the loss and profit of carbon emissions in the region. The conclusions confirm the phenomenon of regional inequalities of carbon emission. The national government should take full account of regional differences in carbon emissions to ensure the sustainable development of resource-based regions. Meanwhile, the economic development of resource-based regions needs upgrading.

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    Research on the Impact of Accounting Information Quality on the Value Effects of Innovation
    Han Meini, Wang Fusheng
    2016, 28 (10):  97-110. 
    Abstract ( 228 )   PDF (1137KB) ( 849 )  

    Using A-share listed companies from 2001 to 2013 as sample, this paper analyses the value effects of innovation from the aspects of productive value, financial value and market value, and studies the impact of accounting information quality on the value effects of innovation. The results show that innovation significantly increases productive value, financial value and market value; and that high accounting information quality significantly improves the positive impact of innovation on productive value, financial value and market value. Further research shows that, both in state-owned enterprises and non-state-owned enterprises, innovation significantly shows positive value effects, and high accounting information quality significantly improves the positive value effects of innovation. However, compared to non-state-owned enterprises, the positive value effects of innovation are lower in state-owned enterprises, and the positive impact of high accounting information quality on the value effects of innovation are lower in state-owned enterprises.

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    Research on the Relationship between Strong/Weak Ties and Radical Innovation: The Mediating Effect of Absorptive Capacity and Moderating Effect of Environmental Dynamism
    Wang Yongjian, Xie Weihong, Wang Tianhui, Cheng Minghui
    2016, 28 (10):  111-122. 
    Abstract ( 265 )   PDF (1167KB) ( 1568 )  

    Strong ties and weak ties are both important social capital of enterprises. The significance of weak ties to radical innovation has been widely recognized, but the significance of strong ties to radical innovation remains controversial. Taking absorptive capacity as the mediating variable and environmental dynamism as the moderating variable, this paper studies the relationship between strong/weak ties and radical innovation based on the sample data from 130 enterprises of strategic emerging industries in Guangdong Province. The results show that:strong ties and weak ties both have a significant positive effect on radical innovation, and further analysis finds that the impact of weak ties on radical innovation is more significant than strong ties. Strong ties and weak ties both have a significant positive effect on the absorptive capacity, and strong ties has a full mediating impact on radical innovation through absorptive capacity and weak ties has a partial mediating impact on radical innovation through absorptive capacity. Environmental dynamism has no moderating effect on the relationship between strong ties and radical innovation, but has a positive moderating effect on the relationship between weak ties and radical innovation.

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    Analysis of the Factors that Influence Online Reviews Helpfulness: Based on the Regulating Effect of Product Type
    Zhang Yanhui, Li Zongwei
    2016, 28 (10):  123-132. 
    Abstract ( 412 )   PDF (1254KB) ( 2233 )  

    Online reviews become important on consumers' shopping decision. On the basis of the reviews feature, this paper collectsTaobao's mass information. By large sample analysis, we find that the reviewer's credit rating, the length of the text, upload pictures, additional reviews and seller's reply have positive effect on the helpfulness of online reviews. Credit rating, moderate or poor reviews, additional reviews, seller's reply have more important effect on the helpfulness of online reviews in experience goods. Upload pictures have more important effect on the helpfulness of online reviews in search goods.

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    Research on Passengers' Experience and Willingness to Take High-speed Train: The Experience Management Perspective
    Fan Chunmei, Li Huaqiang, Jia Jianmin
    2016, 28 (10):  133-140. 
    Abstract ( 235 )   PDF (1136KB) ( 1343 )  

    Using experience management theory, this paper examines the effect of running status of high-speed train on passengers' experience and their willingness to take high-speed train again in the future. Studies find that first, the running status involving noise, vibration and lack of stability increase passengers' perceived risk, having a negative effect on passengers' mood, comfort level, sense of trust, and perceived speed; second, high perceived speed increases passengers' perceived risk, and then decreases their willingness to take high-speed train; third, feelings of comfort and trust improve passengers' satisfaction and enhance their willingness to take high-speed train. This study develops a theoretical model of passengers' experience and their willingness to take high-speed train. This paper extends the application of experience management theory in the field of high-speed train, deepens the understanding of passengers' mind and behavior, and further gives suggestions on improving passengers' experience and retaining passengers for railway departments.

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    The Impact of Promotion Price on the Valuation of Offer Price: The Moderating Effect of Product Involvement
    Zhang Feng, Zou Peng, Yu Bo
    2016, 28 (10):  141-152. 
    Abstract ( 359 )   PDF (1270KB) ( 1050 )  

    Conditional promotion offers a product for free or for a low, discounted price along with a required purchase. Value-discounting theory suggests that the extent to which consumers infer that the cost of the free product is low, their willingness to pay for it as a stand-alone product is likely to be low once the promotion is retracted. Based on anchoring theory and selective accessibility theory, however, we claim that how promotion price impacts the valuation of offer price depends on the extent of product involvement. The authors examine the impact of price information and the product involvement on the valuation of offer price by field experiment conducted at a store chain. The results show that, for low involve product, the product on promotion price is used as a natural anchor for value estimation. However, when the product is highly involved, consumers are less likely to consider the value of the product and are influenced by anchors such as the price of the focal purchase. Neither free offer nore low price devalue the offered.

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    The Double-edged Sword of Cross-cutting Identity of Senior Executives and Its Effect on the Growth of Non-SOEs
    Tao Houyong, Li Ling
    2016, 28 (10):  153-168. 
    Abstract ( 213 )   PDF (1296KB) ( 1001 )  

    In this paper, we make an empirical study of the relationship between the cross-cutting identity of senior executives and the growth of non-SOEs based on the sample of listed companies in China. The results show that the scope of cross-cutting identity has significantly negative impact on the value of non-SOEs, while the levelof cross-cutting identity is positive. The cross-cutting identity of senior executives is like a double-edged sword. But after moderators being put into model, the double-side effect of the cross-cutting identity disappears. Structural uncertainty and competitive intensity play significantly positive, moderating roles between the cross-cutting identity and the growth of non-SOEs. Under the environment of structural uncertainty and competitive intensity, the cross-cutting identity of senior executives can improve the effectiveness of the R&D strategy, enhance the relationship between the R&D strategy and the growth of non-SOEs, but will damage the effectiveness of the advertising strategy and reduce the relationship between the advertising strategy and the growth of non-SOEs. The cross-cutting identity of senior executives shows its double sides again.

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    On Property Right of Human Capital Assessment: Theory and Application
    Guo Dan, Yang Ruolin, Li Rong, Cao Xia
    2016, 28 (10):  169-180. 
    Abstract ( 171 )   PDF (1429KB) ( 671 )  

    There is a logic relationship between the human capital property right and the organization assessment. The human capital property right assessment, which contains post value evaluation and employee behavior evaluation for the realization form, examines the employees' implementation effect of enterprise's human capital right to measure the human capital value. The BP neural network applied in the human capital property right assessment fits the characteristics of human capital property right in relativity, dynamics and the combination of monetary and non-monetary. And it can modularize the complex internal process of each related influence factors in the human capital property right assessment model, making the theory of human capital property right assessment more feasible.

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    Effect of Transactive Memory on Software Outsourcing Project Performance Moderated by Project Complexity and Team Social Identity
    Qu Gang, Bao Xiaona, Peng Shulin
    2016, 28 (10):  181-192. 
    Abstract ( 210 )   PDF (1198KB) ( 810 )  

    The purpose of this paper is to study effective knowledge-based collaboration in software outsourcing team. This paper introduces the transactive memory systems, social identity and project complexity to analyze their interactive effect on project performance. Results show that social identity and transactive memory systems have positive effect on performance, and social identity and dynamic complexity play negative moderating role in the relationship between transactive memory systems and project performance. This study reveals the relationships of transactive memory systems and project performance under the characteristics of software outsourcing team relationship-social identity and task characteristics-project complexity. The results provide theoretical and practical implications for future researches of software outsourcing knowledge integration.

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    The Influence of Perceived Organizational Support from Employing Units to Dispatched Employees' Turnover Intention——Moderated Mediating Effect
    Liu Yumin, Li Guangping
    2016, 28 (10):  193-201. 
    Abstract ( 272 )   PDF (1123KB) ( 1361 )  

    For reducing the turnover rate of dispatched employees, this paper analyzes the relationship between the employing units' perceived organizational support felt by dispatched employees and their turnover intention via hierarchical regression, and discusses the mediation function of organizational identification in it as well as the moderating effect in this mediation, with a sample of 302 dispatched employees in service position. According to the study, perceived organizational support from employing units has a significantly negative influence on the dispatched employees' turnover intention, and the organizational support plays a full mediating function while surface acting has a significant moderating effect on the mediating function. For the dispatched employees who have a high-level surface acting or adopt this strategy, the organizational support has less negative impact on their turnover intention. The study has certain enlightenment significance for the employing units to achieve higher level work performance through improving the relationship between the employing units and dispatched employees.

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    Analysis of Cross-border Mergers and Acquisitions Based on Social Network Method
    Dong Jichang, Jiao Danxiao, Sun Xilong
    2016, 28 (10):  202-213. 
    Abstract ( 266 )   PDF (1947KB) ( 1213 )  

    With the economic globalization and the deepening of national industrial integration, cross-borderM&As have become an important way of global resources allocation and direct foreign investment. The cross-border M&As construct a complicated network and the traditional research methods cannot describe the development and the periodic variation characteristics. So we divide the cross-border M&A into three periods——the rapid development, the shock adjustment and continued stability, with the social network method we find that cross-border M&As have the following characteristics:1) the cross-border M&A has a "center-half edge-edge" topological structure characteristic; 2) the distribution of weighted degrees show that the network of cross-border M&As is scale-free network with the typical Richman's Club features; 3) the weighted degree distribution ratio of typical countries reflects nation economic stage and power, active purchasing strategy is a necessary condition to be the central part of cross-border M&A. The transaction time is long and the transaction efficiency is low on average in a developing country. We put forward three policy suggestions:1) Strengthen scientific and technological innovation to improve the economic strength of China; 2) Simplify the approval process of cross-border M&A and improve administration efficiency; 3) Expand the policy of opening to the outside world and encouraging the cross-border capital.

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    An Empirical Research on Project Portfolio Success and Its Influencing Factors in Chinese Context
    Jiao Yuanyuan, Liu Yaguang, Xiong Jianfang, Shen Zhifeng
    2016, 28 (10):  214-228. 
    Abstract ( 191 )   PDF (1279KB) ( 783 )  

    The paper verifies four measurement dimension for project portfolio success and tests the hypothesis concerning critical success factors on the basis of the paper reading and data analysis, because existing researches lack of focus on measurement and factors of project portfolio success in China. The main findings are as follows:(1) Project portfolio success is composed of average project success, strategic fit, synergies and portfolio balance. Moreover, the four dimensions are closely correlated and depend on each other. (2) All factors impose a deep effect on project portfolio success except decision making of single project management. In addition, this paper discusses its main contribution to project portfolio management research, and offers some implications of these findings for both further researches and management practices.

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    Measure Method of Enterprise Management Efficiency Based on EAHP and D-S Evidence Theory
    Ren Jing
    2016, 28 (10):  229-238. 
    Abstract ( 188 )   PDF (1125KB) ( 660 )  

    Measuring of enterprise management efficiency is the objective requirement of the development in the knowledge economy, but also it is an important mean to promote rational use of enterprise's resources and to strengthen enterprise management. Based on the analysis of different measuring models, a multi-layer complex measuring model of enterprise management efficiency is established. Firstly, the subjective and objective weights of management efficiency index are determined using extension AHP theory. Then the product vector of the index weights and index samples as evidence, the management efficiency is determined using D-S evidence fusion method. The experical results show that the method is reliability and feasibility. The method can provide global foundation for enterprise management decision.

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    Products Quality Control Strategy of Distribution Channel with Duopoly Retailers
    Zhu Lilong
    2016, 28 (10):  239-249. 
    Abstract ( 222 )   PDF (1423KB) ( 853 )  

    Based on four-stage Stackelberg dynamic game analysis, this paper constructs products quality control model of distribution channel with duopoly retailers, analyzes different parameter variables' effect on the making of product quality control strategy in traditional retail channel and mixed channel, and studies how to make product quality control strategy when the supplier adopts decentralized decision and centralized decision. Through the model analysis, we demonstrate that supplier's product quality level will increase with the increasing of retailers' adding value service level, and it will decrease with the increasing of customer's demand price elasticity; the retail price, wholesale price, customer demands and supplier's expected profits will increase and retailers' expected profits will decrease with the increasing of added value service level; when supplier makes centralized decision in traditional retail channel, the products quality level is in proportion to the sum of duopoly retailers' added value service level, when supplier makes centralized decision in mixed channel, the products quality level will be higher than when only electronic direct channel exists and lower than when traditional retail channel exists, and then it will arouse customer's potential demands, the market demands will be the maximum and thus eliminate the double marginalization effect. Finally, we conduct a numerical example which indicates a direction in practice for further specific application.

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    An Analysis on Business Model Transitions: Case Study of TCL Corporation
    Wei Yunjie, Xu Dawei, Yang Yifan, Hu Yi, Qiao Han, Wang Shouyang
    2016, 28 (10):  250-258. 
    Abstract ( 360 )   PDF (2440KB) ( 2365 )  

    With the integration of the global economy and the rapid development of information technology, the competition among manufacturing enterprises has risen form the products and the technology to the business models. TCL Corporation experienced three business model transitions, namely property right reform, international merger and acquisition and Internet+. A case study of TCL Corporation is made with the business model canvas to analyze the three business model transitions. Some management insights are presented for the enterprises in the related industries.

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    Social Media Content Marketing Strategy of Consumer Electronics Brands——Content Analysis of Lenovo, Huawei, HTC and Samsung's Brand Sites on WeChat
    Fu Huifen, Lai Yuanwei
    2016, 28 (10):  259-272. 
    Abstract ( 909 )   PDF (1272KB) ( 2671 )  

    By summarizing and comparing MECCAS (Means-end Conceptualization of the Components of Advertising Strategy) model, Social Currency theory and Use & Gratification theory, this study develops a theoretical framework to explore content marketing strategy of consumer electronics brands like Lenovo, Huawei, HTC and Samsung. By analyzing qualitative data with Atlas.ti 7 and ROSTCM 6, this study examines five components of content——product, entertainment, social interaction, brand interaction and information about self-actualization, which are included in brand social media content marketing strategy. The results indicate product and social interaction content have greater impact on communication effect than self-actualization content. Social media strategic capability influences the relationship between content strategy and social currency.

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