Venture Capital and the Corporate Governance of Chinese Listed Companies

Business & Finance, Finance & Investing, Corporate Finance, Finance
Cover of the book Venture Capital and the Corporate Governance of Chinese Listed Companies by Lin Zhang, Springer New York
View on Amazon View on AbeBooks View on Kobo View on B.Depository View on eBay View on Walmart
Author: Lin Zhang ISBN: 9781461412816
Publisher: Springer New York Publication: October 20, 2011
Imprint: Springer Language: English
Author: Lin Zhang
ISBN: 9781461412816
Publisher: Springer New York
Publication: October 20, 2011
Imprint: Springer
Language: English

State-controlled listed companies have always dominated Chinese stock markets. As a result of the rampant scandals related to them, there have been voluminous academic efforts to explore their corporate governance, underpinned by agency costs. However, these studies have yet to examine the phenomenon from the perspective of venture capital and adaptive efficiency.

During the last ten years, despite China’s remarkable progress in the development of its venture capital market, its domestic venture capital has been marginalized by American competitors. Given the different performance between them, the author contends that the corporate governance system of Chinese state-controlled listed companies has hampered the performance of the institutional factors which are responsible for the prosperity of American venture capital in Chinese venture capital markets.

With the practice of American venture capital as the mirror, he empirically demonstrates that Chinese domestic venture capital lacks the four factors related to the success of their American counterparts: large and independent funding, application of incentive mechanisms, efficient exit channels, and a high risk tolerance level. More importantly, these defects as a whole are closely linked to the corporate governance of state-controlled listed companies.  Considering the potential negative consequences on economic and social development, the author identifies policy reforms underway to harmonize agency costs and adaptive efficiency. 

View on Amazon View on AbeBooks View on Kobo View on B.Depository View on eBay View on Walmart

State-controlled listed companies have always dominated Chinese stock markets. As a result of the rampant scandals related to them, there have been voluminous academic efforts to explore their corporate governance, underpinned by agency costs. However, these studies have yet to examine the phenomenon from the perspective of venture capital and adaptive efficiency.

During the last ten years, despite China’s remarkable progress in the development of its venture capital market, its domestic venture capital has been marginalized by American competitors. Given the different performance between them, the author contends that the corporate governance system of Chinese state-controlled listed companies has hampered the performance of the institutional factors which are responsible for the prosperity of American venture capital in Chinese venture capital markets.

With the practice of American venture capital as the mirror, he empirically demonstrates that Chinese domestic venture capital lacks the four factors related to the success of their American counterparts: large and independent funding, application of incentive mechanisms, efficient exit channels, and a high risk tolerance level. More importantly, these defects as a whole are closely linked to the corporate governance of state-controlled listed companies.  Considering the potential negative consequences on economic and social development, the author identifies policy reforms underway to harmonize agency costs and adaptive efficiency. 

More books from Springer New York

Cover of the book Putting Fear of Crime on the Map by Lin Zhang
Cover of the book Genome-Wide Prediction and Analysis of Protein-Protein Functional Linkages in Bacteria by Lin Zhang
Cover of the book Numerical Approximation of Exact Controls for Waves by Lin Zhang
Cover of the book Cognition and the Menstrual Cycle by Lin Zhang
Cover of the book Probability: A Graduate Course by Lin Zhang
Cover of the book Public Self and Private Self by Lin Zhang
Cover of the book Advances in Growth Curve Models by Lin Zhang
Cover of the book Manual of Aesthetic Surgery by Lin Zhang
Cover of the book Patient-Specific Modeling of the Cardiovascular System by Lin Zhang
Cover of the book Reviews of Environmental Contamination and Toxicology by Lin Zhang
Cover of the book Meaningful Information by Lin Zhang
Cover of the book Corneal Biomechanics and Refractive Surgery by Lin Zhang
Cover of the book New Developments in Quantitative Psychology by Lin Zhang
Cover of the book Peace Psychology in the Balkans by Lin Zhang
Cover of the book Branched Chain Amino Acids in Clinical Nutrition by Lin Zhang
We use our own "cookies" and third party cookies to improve services and to see statistical information. By using this website, you agree to our Privacy Policy