Management Review

Can Alumni Relationship Bring Information Premium to Fund Managers?——An Empirical Study Based on China’s Capital Market

Fang Fang, Cao Yulian, Zhu Ran

2022, 34 (4): 3-18.

Abstract ( 249 )

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This paper explores the internal link between the information premium and the alumni relationship. The study finds that the alumni relationship between listed companies’ executives and fund managers can bring information premium, as evidenced by the extra return that fund managers obtain by investing in their alumni’s business. Further research shows that information premium only exists in stock investment where the alumni relationship is with core executives of listed companies, and the information premium is less significant in the rapidly marketizing areas with less government intervention and a sound regulatory environment. At the same time, the improvement of corporate governance within listed companies does not have a significant impact on the information premium of alumni relationship. This study helps to understand the mechanism and influencing factors of the alumni relationship premium in a more comprehensive way, and provides a reference for the formulation of China’s securities regulatory policies. It is also shown that the reform of the external governance environment of enterprises over recent years in China has not only helped enterprises to grow healthily, but also contributed to the healthy and stable development of China’s capital market.

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Pressure on Local Environmental Protection, State Ownership and Bank Credit Allocation——An Empirical Study Based on City Commercial Banks in China

Zhou Yana, Wu Lidong, Wang Kai

2022, 34 (4): 19-33.

Abstract ( 152 )

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This paper uses China’s city commercial banks’ operating data from 2008 to 2015 as sample to explore the impact of government intervention on the allocation of bank credit funds in the context of the transformation of the government performance evaluation system. The results show that the pressure on local environmental protection can compel city commercial banks to grant loans for environmental proection, and the proportion of local government ownership can positively moderate the relationship between the pressure and the loan granting. The government environmental performance evaluation system strengthens the impact of local environmental pressure on bank environmental lending. There is no evidence that the pressure of economic growth will affect the role of local government intervention in promoting bank environmental loans. Further analysis shows that the impact of local environmental protection pressure only exists in banks with high government intervention, which is related to the fact that environmental loans cannot increase the economic performance of city commercial banks. This paper provides evidence of how local governments affect the allocation of bank credit funds under the environmental performance evaluation system, and shows that the environmental performance evaluation system has begun to play a role.

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Management Institutions, Space Types and the Performance of Functional District： An Empirical Analysis Based on Panel Data of National Level Science and Technology Industrial Park between 2008 and 2017

Kuang Zhensheng, Lai Sizhen

2022, 34 (4): 34-43.

Abstract ( 177 )

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The conflicts of economic functional districts and administrative districts are troubling China’s high-quality development. Scholars have conducted many qualitative and theoretical studies in this regard, but few of them are from the quantitative perspective. Starting from the unique allocation function of administrative division system in China, this paper analyzes the spatial and management relationships between functional districts and administrative districts, then raises several hypotheses and tests them by panel data of 52 National Level Science and Technology Industrial Parks (NLSTIP) between 2008 and 2017. The results reveal that unified management institutions could promote the performance of firms in NLSTIP. However, no consistent onclusion can be drawn from the practise of setting a functional district across several administrative districts. In addition, the influence of property, innovation and government on the efficiency of firms has spatial heterogeneity.

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Analysis of the Determinants of China’s Employment Growth Based on DPN Model

Zhang Yu, Yang Cuihong

2022, 34 (4): 44-51,61.

Abstract ( 214 )

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Studying the main influencing factors of employment growth in China, as a constructive attempt for future employment expansion, has important practical significance. This paper decomposes the determinants of employment into increased labor productivity factor, technological progress factor, and economic growth factor, using non-competitive input-output table reflecting processing trade and structural decomposition techniques. An empirical study is carried out based on 2002-2007 and 2007-2012 input-output tables. In addition, we raise some policy suggestions which ensure the employment rate during economic structure transformation and upgrading. The results show that, economic growth is the driving force of employment growth in various industries, whereas increased labor productivity hinders employment growth. Technological progress will promote the tertiary industry employment, but exert pressure on the secondary industry employment. Among the factors of economic growth, consumption and capital formation mainly promote D employment and export promotes P employment. Optimizing and upgrading consumption structure, investment structure and export structure effectively stimulates the tertiary industry employment, but decreases the secondary industry employment. Hence, structural unemployment in traditional manufacturing sectors should be prevented as consumption structure, investment structure and export structure get optimized.

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Does the “Loose” Policy of Stock Index Futures Improve the Pricing Efficiency of the Stock Market?

Yang Lin, Yang Yaru

2022, 34 (4): 52-61.

Abstract ( 135 )

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Based on the data of China’s A-share market from January 2016 to March 2019, this paper makes a combined use of DID and multi-period DID methods to comparatively analyze, by testing the effect of overall, perioidc and monthly policies, the short-term and long-term pricing efficiency of stock market under the “deregulating” policy of stock index futures. The results show that, since the duration of the positive impact in the later period is significantly shorter than the negative impact in the earlier period, the “deregulating” policy of stock index futures presents a negative impact on the pricing efficiency of stock market in the overall sample interval, but as time goes by, the impact turns gradually from negative to possitive until the pricing efficiency keeps stably upward.

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The Heterogeneity of Family Control, Institutional Void and Corporate Innovation

Chen Deqiu, Lin Chengjie, Xu Ting

2022, 34 (4): 62-79.

Abstract ( 250 )

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Over the past more than 40 years, Chinese family firms have experienced external institutional evolution, internal changes and significnat growth. In this process, heterogeneity has gradually characterized family control. In order to explore how they will innovate under differnt family control modes, we divide, from the perspective of control heterogeneity, family firm control into three types: equity control, strategic control and full control. This paper explores and investigates the different influences of control heterogeneity on corporate innovation activities. The research findings are as follows. Compared with equity-controlled and strategically controlled family firms, fully controlled family firms are more likely to carry out innovation activities. Compared with equity-controlled family firms, strategically controlled family firms are more likely to carry out innovation activities. The influence of full family control on corporate innovation is more significant in regions with large institutional voids. The smaller the institution voids in regions, the smaller the gap between family managers and professional managers. Narrowing the institutional voids may reduce family control and improve the degree of family professionalism. Additional analysis shows that full control can promote corporate innovation by alleviating two kinds of agency problems and improving the level of corporate risk-taking. Breaking through the previous analysis and research framework of family involvement, this paper analyzes different types of control in family firms, which not only deepens the research about the influence of family involvement on corporate behavior, but also provides a new research perspective for family firm governance. In addition, based on the institutional void characteristics of China’s transitional economy, we investigate the innovative activities in family firm of different control types, which supplement the literature on family firm innovation and reveal the “black box” of family firm innovation.

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Are Actions More Powerful than Words?—— User Interaction and Continuous Contribution of User Idea Updates in Open Innovation Community

Ji Haiying, Qi Guijie, Liang Yikai

2022, 34 (4): 80-89.

Abstract ( 201 )

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The continuous updating on the basis of original ideas is a benign driving force for the improvement of the creative quality of enterprise open innovation community (OIC), and it is also one of the key factors determining the success of OIC. Although there have been different perspectives on internal and external motivations, users, inter-user and community environments to explore the impact on the continuous contribution behavior of community users, the research on the continuous contribution behavior of user idea update is ignored. Therefore, this study introduces the classification of online community user interaction in the field of consumer behavior － opinion-based interaction and action-based interaction, to explore the impact of different types of interaction behavior on the continued contribution of user idea updates and analysis of the role path. The study finds that both opinion-based interactions and action-based interactions have a significant impact on user idea updates. The user’s innovation experience positively regulates the influence of opinion-based interaction on user idea updates, and reversely regulates the effect of action-based interaction on user idea updates. A qualitative comparison analysis is used to discover three kinds of causal configurations that affect user’s idea updates, which further verifies the empirical results. The final result shows that opinion-based interactions is the core existence in the main path of promoting high idea updates of users. “Voice” is more effective than “action” in promoting continuous contributions of users’ idea updates.

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Research on the Relationship between Innovation Network Position and Inbound Open Innovation Practice: The Moderating Effect of Technology Grouping

He Binyuan, Li Li, Lv Yibo, Zhu Yuqing

2022, 34 (4): 90-102.

Abstract ( 141 )

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Enterprises’ planning and governance over their innovation network position could improve their inbound open innovation practice effectively. Meantime, technology grouping generated with the developing evolution of industrial technology have become a vital environmental character for enterprises to consider in planning and governing innovation network. Therefore, to discuss the relationship between innovation network position and inbound open innovation practice considering the moderating effect of technology grouping has great importance for both research and practice. This paper chooses Virtual Reality & Augmented Reality, 3D print, Hybrid electric vehicle and Unmanned aerial vehicle as research object and introduces industrial technology concentration ratio as a criterion to divide the development of industrial technology to explore the impact of innovation network position and technology grouping on inbound open innovation by conducting patent citation network analysis and hierarchical regression analysis with patent data of main enterprises in these four emerging industries during 1997~2017. The findings are as follows. The industry technology develops in such three distinct stages as initial stage, growing stage and stable stage, which are all accompanied by technology grouping. The centrality and connectivity of enterprises in innovation network positively affect their inbound open innovation; Technology grouping has a positive moderating effect on the relationship between network position and inbound open innovation. This paper points out that entering into an actively interactive technology grouping by initiative and prospective technology forecast, development and application is beneficial for enterprises to practise inbound open innovation.

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Effects of Managerial Ties on the Choice of EBMI-ETI Fit Mode in Traditional Resource-based Enterprises from the Perspective of Ecological Innovation

Zhang Meili, Yao Xilong, Guo Shujuan

2022, 34 (4): 103-118.

Abstract ( 154 )

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Drawing on a sample of 239 traditional resource-based enterprises from Shanxi Province of China, based on the division of the different types of fit mode about ecologically business model innovation (EBMI) and ecologically technological innovation (ETI) as well as the quantification of them by constructing the fit measurement model, we investigate the effects of managerial ties on the fit mode of ETI and EBMI under the moderation of transitional policies. Results from empirical research show that there are significant differences in the impact of different managerial ties on the different EBMI-ETI fit mode selection, and the difference of different effect is more significant under the moderation of transitional policies. That is, under the impact of higher transitional policies, enterprises with stronger intra-industry ties are inclined to choose the efficiency-oriented EBMI-ETI fit mode; Enterprises with stronger extra-industry ties are more inclined to choose the effect-oriented EBMI-ETI fit mode; However, enterprises with stronger intra-extra industry ties together are more likely to choose efficiency-effect balanced EBMI-ETI fit mode; Moreover, compared with single type of ties, complementary (interactive) intra-extra ties are better able to bring about efficiency-effect balanced EBMI-ETI fit activities. Faced with the requirements of the transitional policies, our research provides certain practical reference for enterprises to choose an EBMI-ETI fit mode that can promote their successful transformation by optimizing and balancing managerial ties, and finally result in a balanced synergistic growth of both ecological benefits and economic benefits.

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Research on the Impact of User Intervention on Service Innovation Performance of Equipment Manufacturing Enterprises ——The Mediating Effect of Knowledge Co-Creation and the Moderating Effect of Network Ability

Zhou Lingyue, Qi Liangqun, Xu Yingying

2022, 34 (4): 119-130.

Abstract ( 125 )

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Users are important participants and collaborators of service innovation. Based on the previous researches on the relationship between user behavior and service innovation performance, this study introduces the user intervention into the research framework of the factors affecting the service innovation performance of equipment manufacturers. With knowledge co-creation as mediator and network capability as moderator, structural equation model, hierarchical regressions and bootstrapping method are employed to explore the mechanism of how user intervention influences service innovation performance. The study finds that, firstly, user intervention has a significant positive impact on the service innovation performance of equipment manufacturing enterprises. Secondly, both alliance-based knowledge co-creation and embedded knowledge co-creation positively mediate the relationship between user intervention and service innovation performance, but their mediating mechanism are different. Thirdly, network capability has a positive moderating effect between user intervention and service innovation performance, and also enhances the mediating effects of alliance-based knowledge co-creation, that is, there exists a moderated mediation. The conclusion provides a practical basis for service innovation of equipment manufacturers.

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Network Community Learning Effect: Theoretical Mechanism and Empirical Test

Liu Zhengchi, Li Wenjing, Huang Yawen

2022, 34 (4): 131-139,161.

Abstract ( 243 )

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Under the Internet environment, consumers gradually shift from traditional individual decision-making to group sharing and collaboration, and the online community has become an important source of information for their observational learning. Considering its gradual and phased characteristics, this paper constructs the theoretical framework of network community learning from three levels: “group recognition”, “member participation” and “viewpoint distribution”. Secondly, web crawlers are used to capture interactive data of online communities, and machine learning algorithms are used to analyze and process unstructured data. Finally, the dynamic panel econometric model is established based on the system moment estimation method. It is found that “group recognition”, “member participation” and “viewpoint distribution” all have positive effects on the community learning effect in the network community, while “member participation” and “viewpoint distribution” have progressive positive moderating effects on the above effects. This paper attempts to open the “black box” of community learning mechanism and provide micro theoretical support for the burgeoning community economic development.

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Effects of Multi-dimension Information Technology Alignment on Organizational Agility: An Empirical Study

Hu Hao, Wang Nianxin, Ge Shilun

2022, 34 (4): 140-152.

Abstract ( 306 )

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The paradox between Information Technology (IT) alignment and agility has been a focus of academic debate. In order to explore whether IT alignment enhances or impedes agility, this paper divides IT alignment into intellectual alignment and social alignment, builds the research model of intellectual alignment, social alignment, organizational agility, environmental dynamism and firm performance, and examines impacts of intellectual alignment and social alignment on agility and the moderating effects of environmental dynamism. Data analysis and model estimation are performed on matched-pair survey of 429 Chinese shipbuilding enterprises by using structural equation model. The results show that intellectual alignment has no impact on agility, while social alignment positively affects agility. Environmental dynamism negatively moderates the relationship between intellectual alignment and agility, but has no moderating impact on the social alignment and agility. At the same time, agility fully mediates the influence of social alignment on firm performance. The above results provide a theoretical explanation for the paradoxical relationship between IT alignment and organizational agility, and also provide practical guidelines for firms to promote agility and ultimately improve performance.

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Demand Information Sharing in the Dual-channel Supply Chain with Reference Price Effect

Shi Chunlai, Liao Zhitong, Jiang Yushi

2022, 34 (4): 153-161.

Abstract ( 184 )

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The non-reference price effect model is used as the benchmark model to explore the impact of the reference price effect on the choice of retailer information sharing strategies in the dual-channel supply chain. The study finds that retailer has no incentives to share demand information with manufacturers when the reference price effect is not considered, which is consistent with the traditional wisdoms. When the reference price effect is considered, the retailer may share demand information with the manufacturer in the dual-channel supply chain. In particular, if the competition between the channels is weak and the reference price effect is large, the retailer has an incentive to share demand information with the manufacturer; otherwise, the retailer still has no incentive to share demand information with the manufacturer. In addition, no matter whether the reference price effect is considered or not, the profit of the manufacturer increases as soon as it obtains demand information from the retailer.

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The Influences of Social Comparison on Productive Consumption: Based on the Perspective of Compensatory Consumption Perspective

Pan Ding, Xie Han, Liu Ziying, Yang Defeng

2022, 34 (4): 162-172.

Abstract ( 289 )

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The motivation for productive consumption is often seen as a pursuit of a higher sense of experience, uniqueness and product quality, but psychological needs are equally critical to consumers. Productive consumption can bring about intrinsic perception of competence, while social comparisons that are ubiquitous in daily life can make people feel inadequate and failed. From the perspective of compensatory consumption, the threat of the sense of capacity brought about by social comparison can be made up by productive consumption. This study demonstrates the influence of social comparison on productive consumption and its internal influence mechanism through three experiments. Compared with the downward comparison, the upward comparison will result in a lack of control and lead to a higher preference for productive consumption. The influence of the upward comparison on the sense of control will be moderated by self-affirmation. The influence of sense of control on productive consumption preference is also moderated by perceived production difficulty.

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Research on the Underlying Mechanisms of Ethical Leadership from the Perspective of Needs Satisfaction

Yan Ming, Li Shengwen, Wang Haibo, Ma Yuexian

2022, 34 (4): 173-184,193.

Abstract ( 320 )

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Researches on the effect of ethical leadership from the social learning perspective and the social exchange perspective often lead to similar or identical findings though the two perspectives have different research logics. Based on self-determination theory, this study proposes a more fundamental explanatory mechanism between the two perspectives, namely, needs satisfaction. Our analysis based on 272 dyads of supervisor-subordinate data shows that the more ethically leaders behave, the better their subordinates’ basic needs are satisfied, and such satisfaction will translate to better task performance and more proactive and creative behaviors. Meanwhile, by improving subordinates’ needs satisfaction in this way, ethical leaders can also stimulate their subordinates ’ ethical learning and social exchange. Clarifying the essence of ethical leadership, our findings not only enhance the consistency of theoretical explanations in the field of ethical leadership but also broaden the theoretical development of ethical leadership and provide guidance for enterprises to manage their businesses.

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How does Psychological Ownership Affect the Willingness of the Entrepreneurial Team Members to Share Knowledge? ——A Multi-level Empirical Study

Liang Yan, Zhao Chenhui

2022, 34 (4): 185-193.

Abstract ( 263 )

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Based on the sample data of 173 Chinese entrepreneurial teams, this paper uses the multi-layer structural equation model (MSEM) to study the influence of individual psychological ownership and collective psychological ownership on the willingness of entrepreneurial team members to share knowledge from the relevant theories of social psychology. The results show that collective psychological ownership and individual psychological ownership have a significant positive effect on the trust between the members of the entrepreneurial team, and the collective psychological ownership can positively influence the willingness of knowledge sharing in the member team through the intermediary role of the entrepreneurial team members’ trust, and negatively affect the willingness of members to share knowledge outside the team. The individual psychological ownership can only positively influence the willingness of knowledge sharing in the member team through the intermediary role of trust among the members of the entrepreneurial team, and the influence on the willingness of knowledge sharing outside the team is not significant. This study further clarifies the relationship between the two levels of psychological ownership on the in-team knowledge sharing and off-team knowledge sharing, expands the theory of psychological ownership and provides theoretical guidance for the entrepreneurial team to deal with the knowledge sharing of members.

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Leader Humor and Employee Proactive Behavior: The Mediating Role of Thriving at Work and the Moderating Role of Political Skill

Jiang Ping, Zhang Lihua

2022, 34 (4): 194-203.

Abstract ( 457 )

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Previous research suggests that leader plays a pivotal role in enhancing employee proactive behavior, yet we have little understanding of whether and how leader humor enhances employee proactive behavior. Based on the Conservation of Resources Theory (COR), we set out to shed light on the relationship between leader humor and employee proactive behavior. Specifically, we take account of both thriving at work, a personal resource, and employee’s political skill, a key resource, to uncover whether all employees benefit equally from leader humor (a contextual resource). In detail, we argue that the positive effect of leader humor on employee proactive behavior is mediated by thriving at work, and that employee’s political skill constitutes a boundary condition of this process. Our moderated mediation model is tested with 3 waves of data from 335 employees and their direct supervisors in 59 teams. The results support our hypotheses and reveal that thriving at work mediates the link between leader humor and increased employee proactive behavior. As predicted, we also find that employee’s political skill amplifies the mediated relationship between leader humor and employee proactive behavior via thriving at work.

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The More, the Better? Study on the Curvilinear Relationship between Participative Leadership and Employee Creativity

Li Yi, Zhang Man, Li Na, Wei Feng

2022, 34 (4): 204-214.

Abstract ( 302 )

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Based on the theory of resource conservation, this study examines the inverse U-shaped relationship between participative leadership and employee innovation performance. This paper also tests the momentary mediation effect of speak-up behavior and the moderation effect of perceived organizational valuing of creativity. Dyad survey data from 260 workers and their supervisors in 2 hi-tech enterprises in the Yangtze River Delta of China reveals that there is an inverse U-shaped relationship between participative leadership and employee creativity and this relationship is momentarily mediated by speak-up behavior. Specifically, when employees perceived organizational valuing of creativity is high, the inverse U-shaped relationship between participative leadership and employee creativity are more pronounced. Finally, the present study discusses the theoretical and practical implications.

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The “Cost” of “Good” Leader: The Negative Influence of Inclusivity on Leaders’ Recovery Experience and Its Internal Mechanism

Yu Weina, Wang Zhanhao, Xue Xian, Chen Qianqian, Li Dongdong

2022, 34 (4): 215-225.

Abstract ( 205 )

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In this paper 106 leaders are empirically studied by the work diary survey method. The following hypotheses are verified: 1) leaders’ inclusivity has a negative impact on recovery experience; 2) Role overload / emotional exhaustion mediates the relationship between leaders’ inclusivity and recovery experience, and plays a chain mediating effect between leaders’ inclusivity and recovery experience; 3) The chain mediating effect is moderated by leaders’ openness to experience: when leaders’ openness to experience is stronger, the relationship between leaders’ inclusivity and role overload is noticeably weaker, while the chain mediating effect between leaders’ inclusivity and recovery experience through role overload and emotional exhaustion is weaker as well. 4) The chain mediating effect is moderated by perceived spousal support: when perceived spousal support is stronger, the relationship between emotional exhaustion and recovery experience is noticeably weaker, while the chain mediating effect between leaders’ inclusivity and recovery experience through role overload and emotional exhaustion is weaker.

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Research on the Relationship between Human Resource Systems Differentiation and Employee Job Performance

Zhang Junwei, Zhang Yajun, Cui Ligang, Lu Lu

2022, 34 (4): 226-237.

Abstract ( 261 )

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Research has revealed substantial variance in employees’ perception of human resource (HR) systems. However, few of the existing studies have explored how HR systems differentiation affects employee outcomes. This study uses social comparison theory to examine the indirect effect of team relationship conflict, and the moderating role of procedural justice climate in the relationships between HR systems differentiation and employee task performance and citizenship performance. We test the research hypotheses with matched field data collected from 250 employees and 48 department supervisors. The results show that HR systems differentiation positively predicts team relationship conflict. Furthermore, HR systems differentiation indirectly affects employee task performance and citizenship performance via team relationship conflict. Moreover, procedural justice climate moderates the effect of HR systems differentiation on team relationship conflict. To be specific, the association is positive in groups with low procedural justice climate, but non-significant when procedural justice climate is high. Finally, procedural justice climate attenuates the indirect effects of HR systems differentiation on employee task performance and citizenship performance through team relationship conflict.

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Research on the Influence of the Consistency of Double Aspiration Losses on Strategic Change under Dynamic Environment

Chen Weihong, Zhong Xi, Lan Hailin, Xu Lang

2022, 34 (4): 238-250.

Abstract ( 243 )

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Based on the experience data of Chinese A-share listed companies in 2007-2017, this paper applies quadratic polynomial regression and response surface analysis techniques to discuss the impacts on strategic change of the consistency or inconsistency between historical aspiration loss and social aspiration loss as well as the adjusting role of environmental uncertainty. This study finds: as the historical aspiration loss-social aspiration loss grows more and more consistent, the degree of strategic change implemented by enterprises becomes higher and higher; in the case of consistency, compared with a smaller level of aspiration loss, enterprises make deeper strategic change facing a larger level of expectation gap; in the case of inconsistency, compared to big historical aspiration lo ss-small social aspiration loss, enterprises make deeper strategic change facing small historical aspiration loss-big social aspiration loss. It’s discovered after a further examination of the regulatory role of environmental uncertainty: compared with environments with low uncertainties, in environments with high uncertainties the positive driving effect that consistency between historical and social aspiration loss has on the extent of strategic change will be weakened; in the case of consistency, compared with environments with low uncertainties, in environments with high uncertainties the positive driving effect that aspiration loss has on the extent of strategic change will be weakened; in the case of inconsistency, compared with environments with low uncertainties, in environments with high uncertainties the differences in the extent of strategic change will be expanded in the two scenarios of big historical aspiration loss-small social aspiration loss and small historical aspiration loss-big social aspiration loss. This study offers a new perspective for understanding the influence consistency or inconsistency in company decisions has on strategic decisions of a company. Meanwhile, it deepens the understanding of literature on companies’ strategic response behavior in the case of aspiration loss.

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Dynamic Relationship between Contract Governance, Trust and Project Management Performance: Integrated Analysis of the Whole Process about Construction Project

Yan Ling, Zhang Sirui, Zheng Tong

2022, 34 (4): 251-264.

Abstract ( 190 )

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In the complicated and changing environment of construction project, project governance mainly depends on the integration of contract governance and relationship governance with trust as the core element. However, most of the existing researches about the integration governance mechanism focus on static combination or use external factors to explain the dynamic relationship between them, with little quantitative researches into the integration governance mechanism in the time dimension. In view of this, this study divides contract governance into pre-contract design and post-contract performance, which correspond respectively to initial trust and continuous trust. Based on the analysis of the existing literature, hypotheses of the relationship among contract governance, initial trust, continuous trust and project management performance are put forward and the conceptual model is constructed. The partial least squares method is used to analyze 183 collected questionnaires. The results show that: in the contracting stage, contract governance can effectively improve project management performance, and the clarity and adaptability of contract terms are complementary to initial trust; in the contract performance stage, continuous trust can effectively improve project management performance, and the rigor of contract performance and continuous trust have a substitutive relationship. These findings deepen the research on the dynamic mechanism of integrated governance, and provide theoretical basis for managers to choose right governance mechanism in different stages of construction project.

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Tax Aggressiveness and Audit Pricing: Nonlinearity Perspective

Liu Xiaoxia, Li Minghui, Liu Hang

2022, 34 (4): 265-278.

Abstract ( 168 )

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Using the data of A-share listed companies, this paper explores the effect of tax aggressiveness on audit pricing (proxied by audit fee ratio). The results show that tax aggressiveness is positively related with audit pricing only when tax aggressiveness is at a high level. When tax aggressiveness is at a low level, however, there is a significant negative relationship between tax aggressiveness and audit pricing. Such results demonstrate that when a company is at a low level of tax avoidance, auditor would not regard the increased tax aggressiveness as a sign of risk, but as a possitive effort to increase shareholders ’ wealth. Further tests show that ownership by institutional investors, internal-control quality and analyst coverage can alleviate the positive relationship between tax aggressiveness and audit pricing when the tax aggressiveness is at a high level. When the tax aggressiveness is at low level, however, the above factors do not play a significant mediating role. This paper helps understand the auditor’s response to client’s tax avoidance behavior and the double-sidedness of corporate tax avoidance.

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Does Executive Integrity Restrain Major Shareholders’ Tunneling?——Empirical Evidence from Chinese State-owned Listed Companies

Zhou Zejiang, Lei Ling, Wang Biaohua

2022, 34 (4): 279-292.

Abstract ( 259 )

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Using executives who are also discipline commission members as a proxy variable for executive integrity, this paper uses A-share state-owned listed companies in China ’s capital market from 2011 to 2017 as samples to test the role of executive integrity in corporate governance from the perspective of major shareholders’ tunneling. The research shows that executive integrity can significantly inhibit major shareholders’ tunneling behaviors. And the higher level of integrity executives have, the more effectively major shareholders’ tunneling will be restrained. This restraint is more obvious in local SOEs than in central SOEs. Further testing based on economic consequences reveals that executive integrity reduces business risk, and major shareholders’ tunneling play a partial mediating role in the above process. The above results show that integrity of executive plays an active role in corporate governance, which is conducive to protecting investors’ interests and reducing business risks. This paper contributes to the literature that focuses on the factors influencing shareholders’ tunneling, and provides a direct empirical evidence for governance effects of executive integrity.

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Research on Dynamic Strategy of Dual-channel Supply Chain under Stochastic Product Trust Crisis Prediction

Li Baoyong, Ma Deqing, Dai Gengxin, Hu Jinsong, Wen Yan

2022, 34 (4): 293-305.

Abstract ( 172 )

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Drawing upon a dual-channel supply chain system composed of a manufacturer and a retailer, and taking account of the fact that crisis event may happen at any time and its trust-impairing outcome may affect chain members’ decision-making, this paper constructs a differential game model of two-channel supply chain based on stochastic product trust crisis prediction. Based on Bellman continuous dynamic programming theory, the optimal strategies and profits of members are obtained under the conditions of non-cooperative, cost-sharing contract and cooperative cooperation, respectively. It is found that the random outbreak of product trust crisis will change the time preference of enterprises, resulting in them paying more attention to current profits and losing patience for future profits. Only when the marginal profit of the traditional channel (e-commerce channel) is high, can the manufacturer be encouraged to invest more in brand building by increasing the market share of the traditional channel (e-commerce channel). The cost subsidy rate set by the manufacturer is affected by the profit environment before and after the crisis, and only under certain conditions, can the cost-sharing contract realize the Pareto improvement of the profits of supply chain members, but if trust crisis occurs too frequently, such improvement will decline.

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Research on the Interaction of Quality Disclosure and Channel Selection Strategies

Song Huaming, Mao Bingqian, Xu Qian, Gu Xiaoyu

2022, 34 (4): 306-316.

Abstract ( 199 )

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This paper considers a dual-channel supply chain where a manufacturer opens the online channel, and investigates quality disclosure strategies with a potential market entry. Based on game theory, three decision models of non-competition, online channel selection and retail channel selection are established, and the optimal solutions are obtained. This paper considers interaction of information disclosure and channel selection strategies, and analyzes the impacts of quality differentiation on the manufacturer’s disclosure strategy and optimal profits. The results show that disclosure strategies of the incumbent manufacturer depend on product similarity and disclosure costs. When there is competition in the online (retail) channel, the manufacturers will be less willing to to disclose quality information. Finally, the influence of product similarity on the optimal entry mode of intruder manufacturers is analyzed, and corresponding management opinions are put forward.

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The Recycling-pricing Model of Remanufacturing Based on the Quality Grading

Yin Jun, Xie Jiaping, Yang Guang, Zhang Weisi

2022, 34 (4): 317-327.

Abstract ( 142 )

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The accelerating product upgrading plus the support from the community and the government are rejuvenating the remanufacturing industry. A lot of enterprises have begun grading-based recycling, but they fail to consider grading recycling and remanufacturing as a whole. It is found that not all waste products are suitable for graded recovery pricing, and there exists an optimal number of recovery grades; the optimal number of recovery grades will be affected by the waste products recovery, remanufacturing characteristics and testing costs; the pricing decisions at different remanufacturing stages are different. Given the above findings, it is suggested to take a grading-based recycling and pricing strategy for the recyclables that are at different levels of quality, sensitive to price because of quality and remanufacturing cost and do not require a high testing cost, so as to effectively regulate the supply and demand of the recycling market with the help of the grading price signal, guide the rational flow and allocation of the recyclables and improve the recovery efficiency.

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From Response to Leading: How a Platform can Achieve Rapid Iteration in Response to Environmental Jolts?

Xu Hui, Yu Chao, Wang Yajun

2022, 34 (4): 328-341.

Abstract ( 231 )

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As an open organization that has transaction and innovation attributes and can facilitate multiparty interaction and resource integration, platform has inherent advantages in dealing with sudden changes. However, the existing literature lacks adequate theoretical guidance for a platform to achieve rapid iteration in response to environmental jolts. Based on the perspective of search theory, we select the development process of the emergency materials platform developed by Haier COSMOPlat as the research object to carry out an exploratory case analysis, and discuss the internal mechanism of how the platform realizes rapid iteration through instant search under the environment jolts. Our findings are as follows. Firstly, the environment jolts triggers and activates the instant search process of the platform through the dynamic changes and continuous interaction of mutation speed, mutation direction and mutation amplitude. Secondly, the platform uses three kinds of instant search strategies, namely, responsive, forward-looking and leading, to deal with the dynamic impact of the environment jolts in different development stages, and different search strategies will present different search tracks of “stimulus-connection-discovery”. Thirdly, the platform instant search in the context of environment jolts will promote the rapid iteration of the platform through three dynamic matching modes of resources and requirements: bridging, focusing and verifying. The research conclusions have a good theoretical and practical value in revealing the inherent law of platform evolution and optimizing platform operation in the context of environmental jolts.

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Can a Company Stop Loss by Withdrawing from the Market?——The Case of HNA Group

Wang Linjun, Wang Xiuzhenzi, Bai Yun, Yuan Zhongyi

2022, 34 (4): 342-352.

Abstract ( 264 )

PDF (1490KB) ( 221 )

Chinese enterprises have begun to reach out overseas for merger and acquisition (M&A) since the 1990s when the global economic integration are rising. However, recently the lingering global epidemic, escalating trade friction and tightening regulatory policies at home have brought significant pressure on outbound investment. As the risks hidden in the cross-border M&A process came to light, many enterprises fell into financial crisis and had to undersell their assets for self-rescue purpose. This paper uses HNA Group, an experienced acquarier, as an example to explore whether a company can alleviate its financial crises by withdrawing from the market via asset selling or transfer. For this purpose, this study presents HNA Group’s M&A-based development milstones, then, analyzes, from the perspective of its motivation to launch M&As, the potential reasons why it chose to withdraw from the market, and applies financial analysis method to study the impact of market withdrawal on HNA Group’s long-term performance. The empirical results show that market withdrawal alleviates the financial crisis of HNA Group, but to a extent less than expected. Finally, based on the lesson learned from the failure of HNA Group, we provide four pieces of suggestions for Chinese enterprises to better manage their cross-border M&A activities.

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