To read the full version of this content please select one of the options below:

Joint ventures in China – accounting implications

John Blake (Department of International Business and Accounting, University of Central Lancashire)
Simon Gao (Department of Accounting and Finance, Napier University, Edinburgh, Scotland)
Philip Wraith (Department of International Business and Accounting, University of Central Lancashire, Preston, England)

Managerial Finance

ISSN: 0307-4358

Article publication date: 1 May 2000

Abstract

Illustrates the growth of foreign investment in China, which is most often dealt with through Chinese‐foreign equity joint ventures and discusses the business issues involved. Traces the development of the Chinese accounting system, which is now largely in line with international standards, and identifies four accounting issues for foreign partners in joint ventures. Warns that the evaluation of a proposition must take into account the different accounting standards applied to previous accounts, the time needed to get an investment running effectively and possible legal problems in the home country from personal favour. Points out that the consolidation of joint venture accounts is not straightforward and recommends that the accounting rules which apply to contracts should be specified.

Keywords

Citation

Blake, J., Gao, S. and Wraith, P. (2000), "Joint ventures in China – accounting implications", Managerial Finance, Vol. 26 No. 5, pp. 1-11. https://doi.org/10.1108/03074350010766639

Publisher

:

MCB UP Ltd

Copyright © 2000, MCB UP Limited