Search results
1 – 10 of over 4000Recent legislation in Europe and North America encourages women’s participation in corporate boards based on the belief that gender-diversified boards contribute positively to…
Abstract
Purpose
Recent legislation in Europe and North America encourages women’s participation in corporate boards based on the belief that gender-diversified boards contribute positively to firm performance and increased competitiveness. Contrary to the West, the women’s participation rate in business has been traditionally high in China. The purpose of this paper is to find out whether gender-diverse corporate boards of Chinese automotive firms perform better financially than gender-homogeneous boards.
Design/methodology/approach
By drawing on data from the Chinese Government and Bloomberg, the authors compare and analyze the differences in financial performance (return on equity, asset growth, sales growth) and risk behavior (debt risk, R&D expenditure) of Chinese automotive firms with and without women on their corporate board.
Findings
There is significant evidence that firms with women on the board perform better across all three categories, with the exception of return on equity, for which they found no significant differences among the analyzed firms.
Practical implications
While women’s participation in corporate boards in China is low, the results of this study suggest to policy makers and firms alike to implement measures that support gender-diversified boards in order to take advantage of their potential to increase corporate performance.
Originality/value
So far, the performance of corporate boards of countries with a traditionally high share of female participation in the workforce has rarely been analyzed. Research focusing on the Chinese automotive industry is new and underrepresented, although China is the largest automotive market worldwide and a key industry of the domestic economy. This investigation contributes to the literature stream on board diversity in as well as to industry-related studies. With the example of the Chinese automotive industry, it provides empirical evidence of better performance of firms with gender-diversified boards within the categories tested.
Details
Keywords
Bahaudin G. Mujtaba, Hongmin Cai, Yunshan Lian and Han Ping
– The purpose of this research is to study the management approach of automotive industry managers and students in China.
Abstract
Purpose
The purpose of this research is to study the management approach of automotive industry managers and students in China.
Design/methodology/approach
This paper focused on comparing the leadership orientation of respondents and compared 200 working managers with 181 graduate students in the automotive industry.
Findings
It appears that these Chinese respondents from the automotive industry have significantly higher scores on the relationship orientation than task orientation. Managers have significantly higher scores on both dimensions of leadership. Similarly, the female respondents in China had similar scores as their male colleagues.
Research limitations/implications
It appears that being socialized in a collectivistic or high context culture can lead to higher focus on relationship orientation. Based on the results, practical implications and application for future research are explored.
Originality/value
This paper is original and analyzes the leadership orientation of respondents.
Details
Keywords
Qiang Ding and Michèle E.M. Akoorie
– The purpose of this paper is to analyze the historical development and characteristics of the globalizing Chinese automobile industry.
Abstract
Purpose
The purpose of this paper is to analyze the historical development and characteristics of the globalizing Chinese automobile industry.
Design/methodology/approach
This study is positioned as an exploratory case study, using data triangulation techniques based on archival research and published reports of statistical agencies both at central government and single industry level.
Findings
China's automobile industry represents an extraordinary case of a development path toward globalization in a transitional economy. One of the obvious characteristics of the auto industry is that it necessitates technology transfer and innovative learning, which can be regarded as an important aspect of maintaining competitiveness in industrialization and global competition. The automobile industry in China is also characterized by state intervention and industrial regulations. The state initiated open-door reform has led to a mixed regulatory mechanism including both market-based competition and the legacy of a command economy. Other major features are demonstrated as follows: state-owned auto enterprises have been gradually given more freedom in the decision-making processes; the Chinese auto industry has shown phenomenal growth in the country's economic development with an average annual rate of about 9 percent. This achievement combined with the increasing impacts of globalization of production and market expansion has undoubtedly led to the increasing inflows of foreign direct investment in the form of international partnerships between the auto-producing MNCs and major local Chinese firms as per the industrial policies in the Chinese automobile industry.
Originality/value
This paper addresses an important topic, the historical development path of the Chinese automobile industry, but to date, it has received very little research attention. It advances the institution-based perspective and therefore develops a better understanding of changes in China's automobile industry over the past decades since 1949 and concludes that the combination of the influences of foreign technology, China's industrial policies and institutional dynamic processes has resulted in a unique dynamic development path for the globalizing Chinese automobile industry.
Details
Keywords
Claudio Petti, Francesca Spigarelli, Ping Lv and Mario Biggeri
The purpose of this paper is to analyze the internationalization of Chinese new global players through innovation-oriented Mergers and Acquisitions (M&As).
Abstract
Purpose
The purpose of this paper is to analyze the internationalization of Chinese new global players through innovation-oriented Mergers and Acquisitions (M&As).
Design/methodology/approach
The paper combines the analysis of East-Asian and Chinese multinationals’ international expansion within international business (IB) and innovation domains, with the “latecomer” perspective. It is a conceptual contribution, based on the role of local institutions and firm’s absorptive capacity. A theoretical framework is developed, and further elucidated with two illustrative cases of Chinese M&As abroad in the automotive sector. Implications for theoretical development and practical application are then drawn.
Findings
Chinese firms’ M&As abroad have become one of the preferential modes of developing innovation capabilities. The success of these endeavors is argued to be the result of a combination of a strong push from government industrial policies, along with significant internal knowledge assimilation and transformation capabilities.
Originality/value
The paper extends IB literature integrating the latecomer firms’ perspective within a novel conceptual framework, which adds to the traditional resource-based arguments about incumbent MNEs asset and knowledge-seeking internationalization modes, as well as institutional and multi-dimensional absorptive capacity perspectives.
Details
Keywords
Danping Lin, C.K.M. Lee, Henry Lau and Yang Yang
The purpose of this paper is to examine the strategic response to Industry 4.0 for Chinese automotive industry and to identify the critical factors for its successful…
Abstract
Purpose
The purpose of this paper is to examine the strategic response to Industry 4.0 for Chinese automotive industry and to identify the critical factors for its successful implementation.
Design/methodology/approach
A technological, organizational, and environmental framework is used to build the structural models, and statistical tools are used to validate the model. The data analysis helps to determine which factors have impact on the strategic response and whether their relationships are positive or negative. Interpretive structural modeling method is applied to further analyze these derived factors for depicting the relationship.
Findings
The result shows that company size and nature do not increase the use of advanced production technologies, while other factors have positive impacts on improving the technology adoption among the companies surveyed.
Practical implications
A strategic response to Industry 4.0 not only helps in improving organizational competitiveness, but it also has social and economic implications. For this purpose, empirical data are collected to measure the understanding of Industry 4.0 in the Chinese automotive industry.
Originality/value
Despite the fact that the Chinese Government has proposed the “Made in China 2025” approach as a way to promote smart manufacturing, little empirical evidence exists in the literature validating company’s perspective toward Industry 4.0. This paper is to fill the research gap.
Details
Keywords
Carlos Sakuramoto, Luiz Carlos Di Serio and Alexandre de Vicente Bittar
There is a great reliance on fiscal incentives to sustain the automotive industry competitiveness due to several structural problems, among them the inefficiency of the supply…
Abstract
Purpose
There is a great reliance on fiscal incentives to sustain the automotive industry competitiveness due to several structural problems, among them the inefficiency of the supply chain. This paper aims to compare the supply chain structure of traditional automotive industry with the supply chains from South Korea and China. Based on strategic decision and transaction cost theory, this comparison seeks to exploit the factors that led to the inefficiency of automotive supply chains.
Design/methodology/approach
The authors used a qualitative approach and applied a multi-method research. They conducted semi-structured interviews with six executives from automakers representing the selected countries, carried individual meetings during one workshop and used secondary data from several sources.
Findings
Concepts identified in the research such as reliability, supply chain governance and automaker competencies led the authors to propose that the traditional automakers have higher transaction costs when compared to the new automakers due to the horizontal structure of their supply chain. While new competitors have vertical upstream supply chains, which indicates better profitability, traditional automotive industry is horizontal, depends on fewer Tier 1 suppliers and is disconnected from Tier 2, impacting negatively in the transaction costs and supply chain management.
Practical implications
This study suggests that automotive executives rethink the current upstream supply chain model by identifying the competencies required for their current and future competitiveness and implementing a vertical integration of these competencies.
Originality/value
This research exploited the inefficiency of supply chain as one of the explanations for the low competitiveness of the national automotive industry.
Details
Keywords
Roman Bartnik and Youngwon Park
Technologies change quickly in the automotive industry. This can provide opportunities to firms from emerging economies who try to enter the world stage of automotive production…
Abstract
Purpose
Technologies change quickly in the automotive industry. This can provide opportunities to firms from emerging economies who try to enter the world stage of automotive production, provided they can react to this more nimbly than established competitors. How technological change affects the supply chain coordination of incumbents from developed economies and new entrants from emerging economies should strongly determine the speed of competitive reaction. By using the example of automotive transmission development, the purpose of this paper is to provide a conceptual model for the analysis and offer research propositions.
Design/methodology/approach
The authors build a conceptual model based on information processing theory and offer research propositions based on case study evidence of four automotive original equipment manufacturers (OEMs) and five suppliers.
Findings
The authors find symptoms of two larger trends: increasing specialization and technological linkages and a need to increase external supply chain integration beyond traditional structures. Comparing the effects on Japanese and German incumbents, the authors find that increasing external supply chain linkages proves to be harder for Japanese OEMs. Tight links and routines in the Japanese supply chain networks may harm OEM efficiency under the new technological conditions, e.g. the lack of complete part specifications and high demands for customization. Looking at effects on emerging market firms, Chinese OEMs use quasi-open modular production settings in transmission development and lean strongly on inputs from specialized foreign tier-one suppliers. Speed advantages must be weighed against long-term disadvantages of dependence and insufficient R&D investments.
Research limitations/implications
The study explores how technological change affects inter-firm development processes. The authors propose a framework and hypotheses based on information processing theory and link the findings to the discussion on the impact of national institutional context on supply chain coordination.
Practical implications
OEMs wanting to adapt complex existing internal structures to the changing demands for information processing should focus first on improving internal capacities by improving the amount and richness of information flow. Implementing new standards for simultaneous and standardized software development across the supply chain is a key point for this. A second step should be to boost the internal capacity to process higher richness of information, i.e. to understand the meta-knowledge necessary to integrate across technological areas in the development of electronic control units (ECUs).
Originality/value
The authors draw on original interview data in developed and emerging markets and information processing theory to explore the complexity of inter-firm coordination in automotive supply chains.
Details
Keywords
Yuan Huang, Weixi Han and Douglas K. Macbeth
This paper aims to investigate the complexity of collaborations in supply chain networks, particularly the influence of horizontal collaborations (e.g. international joint…
Abstract
Purpose
This paper aims to investigate the complexity of collaborations in supply chain networks, particularly the influence of horizontal collaborations (e.g. international joint ventures) on vertical collaborations (e.g. supplier–manufacturer partnering relationships).
Design/methodology/approach
A multiple case study including four horizontal collaborations and five vertical collaborations within a supply chain network is presented in the context of the Chinese automotive industry. Data interpretation from interviews is structured by key collaborative activities and collaborative behaviors.
Findings
The analysis highlights a variety of collaborative behaviors under different types of collaboration and their interaction. The complexity of collaboration is revealed in a range of dimensions including culture diversity, drivers/facilitators, competitive/collaborative advantages and the engagement of all. Collaboration evolves as the structure of the supply chain changes; the key is to appreciate the existence of cooperation, competition and culture conflicts and to manage the trade-offs.
Research limitations/implications
A window of opportunity is presented for future research to investigate the complexity of supply chain collaboration in a wider industrial or geographical context, including statistical validation and comparative analysis.
Practical implications
A contingent view on supply chain collaboration is promoted to practitioners (e.g. international supply chain managers), where collaborative activities should be aligned with the motive and type of business relationships which may change as collaboration develops.
Originality/value
A rare empirical study captures the complexity of supply chain collaboration including the interaction between different forms. A dynamic collaboration approach recognizes the changing process, varying cooperation behaviors as well as characteristics of partners which have not been sufficiently reflected in the literature.
Details
Keywords
Grace Chun Guo, Crystal X. Jiang and Qin Yang
In recent decades many emerging markets (EMFs) have undertaken entrepreneurial transformations to adapt to institutional transition and industrial change. Corporate…
Abstract
In recent decades many emerging markets (EMFs) have undertaken entrepreneurial transformations to adapt to institutional transition and industrial change. Corporate entrepreneurship (CE) provided EMFs viable ways to revitalize, reconfigure, and transform successfully with the dynamic environment. Although previous research examined government roles on EMFs' CE activities, little is known about the mechanisms of how government exerts influence on CE activities. To fully understand CE of EMFs, we propose a stage model to explore specific roles governments play that affect CE activities over time. In particular, we investigate how governments' grabbing hand, helping hand, and invisible hand roles affected Chinese auto firms' CE activities at different stages from 1980 to 2016. Government involvement is summarized and the advantages and disadvantages of these roles are analyzed.
Ting Wu, Elizabeth M. Daniel, Matt Hinton and Paul Quintas
This study aims to demonstrate empirically the varied mechanisms through which supply chain practices of indigenous Chinese companies are influenced by foreign‐owned multinational…
Abstract
Purpose
This study aims to demonstrate empirically the varied mechanisms through which supply chain practices of indigenous Chinese companies are influenced by foreign‐owned multinational companies (MNCs) operating within China. It also provides empirical evidence of how the foreign‐owned MNCs are influenced by the coercive pressures arising from the local cultural norms and begins an exploration of the mechanisms through which isomorphic pressures operate between industries.
Design/methodology/approach
The study adopts a multi‐disciplinary approach by applying institutional theory from the field of organisational studies. The study is based on 27 in‐depth interviews in matched pairs of firms consisting of an indigenous Chinese firm and a foreign‐owned MNC in three industries. The interviews also include suppliers and third‐party logistics providers and hence the study extends beyond the dyad.
Findings
The findings show a “startling homogeneity” between the SCM practices of the paired firms and across the three industries studied. They also provide empirical evidence of the rich and varied mechanisms through which isomorphic pressures operate, and demonstrate that the pressures affect the foreign‐owned MNCs as well as the Chinese firms.
Practical implications
The study identifies a wide range of mechanisms that firms can use to model their SCM practices on those of other firms. The study also identifies a range of implications for policy.
Originality/value
To the authors' knowledge, this study is the first to explore empirically the rich and varied mechanisms through which isomorphic pressures operate.
Details