Get 20M+ Full-Text Papers For Less Than $1.50/day. Start a 14-Day Trial for You or Your Team.

Learn More →

Corporate governance and organizational survival under punctuational change The case of China's burgeoning banking industry, 1897‐1927

Corporate governance and organizational survival under punctuational change The case of China's... Purpose – How do different corporate governance structures fare under conditions of fundamental environmental transformations? Treating governance structure as a knowledge distribution mechanism embedded in institutional frameworks, the paper aims to propose that the efficiency of this knowledge diffusing process will increase organizational survival under a punctuational change. Design/methodology/approach – Using the case of Chinese banking industry during 1897‐1927, a period of rapid technological, economic, and regulatory shifts. Findings – Money shops (qianzhuang) with decentralized, open and extended governance structure were better able to adapt to rapid changes in the environment and had a higher survival chance than ticket stores (piaohao) with centralized, closed and internalized governance structure. Research limitations/implications – When exogenous shocks dramatically change the environment, decentralized, open and extended governance structures can more easily discover new habitats in which a modified form of organization can thrive. Originality/value – By examining the Chinese banking industry during the fundamental shift of the environment at the turn of the twentieth century, this paper sheds new wisdom on the understanding of the current turbulent world and helps us discover new solutions to cope with the institutional transition necessary to survive and prosper in the new world environment and pave the road ahead. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Nankai Business Review International Emerald Publishing

Corporate governance and organizational survival under punctuational change The case of China's burgeoning banking industry, 1897‐1927

Nankai Business Review International , Volume 4 (4): 22 – Nov 1, 2013

Loading next page...
 
/lp/emerald-publishing/corporate-governance-and-organizational-survival-under-punctuational-lFMByZBBLy
Publisher
Emerald Publishing
Copyright
Copyright © 2013 Emerald Group Publishing Limited. All rights reserved.
ISSN
2040-8749
DOI
10.1108/NBRI-07-2012-0003
Publisher site
See Article on Publisher Site

Abstract

Purpose – How do different corporate governance structures fare under conditions of fundamental environmental transformations? Treating governance structure as a knowledge distribution mechanism embedded in institutional frameworks, the paper aims to propose that the efficiency of this knowledge diffusing process will increase organizational survival under a punctuational change. Design/methodology/approach – Using the case of Chinese banking industry during 1897‐1927, a period of rapid technological, economic, and regulatory shifts. Findings – Money shops (qianzhuang) with decentralized, open and extended governance structure were better able to adapt to rapid changes in the environment and had a higher survival chance than ticket stores (piaohao) with centralized, closed and internalized governance structure. Research limitations/implications – When exogenous shocks dramatically change the environment, decentralized, open and extended governance structures can more easily discover new habitats in which a modified form of organization can thrive. Originality/value – By examining the Chinese banking industry during the fundamental shift of the environment at the turn of the twentieth century, this paper sheds new wisdom on the understanding of the current turbulent world and helps us discover new solutions to cope with the institutional transition necessary to survive and prosper in the new world environment and pave the road ahead.

Journal

Nankai Business Review InternationalEmerald Publishing

Published: Nov 1, 2013

Keywords: China; Governance; Banking; Organizational survival

References