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Article
Publication date: 8 May 2019

Claire Seungeun Lee

The purpose of this paper is twofold: first, to explore how China uses a social credit system as part of its “data-driven authoritarianism” policy; and second, to investigate how…

5386

Abstract

Purpose

The purpose of this paper is twofold: first, to explore how China uses a social credit system as part of its “data-driven authoritarianism” policy; and second, to investigate how datafication, which is a method to legitimize data collection, and dataveillance, which is continuous surveillance through the use of data, offer the Chinese state a legitimate method of monitoring, surveilling and controlling citizens, businesses and society. Taken together, China’s social credit system is analyzed as an integrated tool for datafication, dataveillance and data-driven authoritarianism.

Design/methodology/approach

This study combines the personal narratives of 22 Chinese citizens with policy analyses, online discussions and media reports. The stories were collected using a scenario-based story completion method to understand the participants’ perceptions of the recently introduced social credit system in China.

Findings

China’s new social credit system, which turns both online and offline behaviors into a credit score through smartphone apps, creates a “new normal” way of life for Chinese citizens. This data-driven authoritarianism uses data and technology to enhance citizen surveillance. Interactions between individuals, technologies and information emerge from understanding the system as one that provides social goods, using technologies, and raising concerns of privacy, security and collectivity. An integrated critical perspective that incorporates the concepts of datafication and dataveillance enhances a general understanding of how data-driven authoritarianism develops through the social credit system.

Originality/value

This study builds upon an ongoing debate and an emerging body of literature on datafication, dataveillance and digital sociology while filling empirical gaps in the study of the global South. The Chinese social credit system has growing recognition and importance as both a governing tool and a part of everyday datafication and dataveillance processes. Thus, these phenomena necessitate discussion of its consequences for, and applications by, the Chinese state and businesses, as well as affected individuals’ efforts to adapt to the system.

Book part
Publication date: 12 July 2022

Simon Burgess and Matthew Wysel

China’s social credit system features a central database, the assignment of social credit scores for individuals and businesses, and the meting out of rewards and punishments

Abstract

China’s social credit system features a central database, the assignment of social credit scores for individuals and businesses, and the meting out of rewards and punishments, including a form of public shaming. The Chinese Communist Party (CCP) continues to develop the system in an effort to promote virtue and trustworthiness. While the idea that a government can ‘legislate morality’ is often scorned, it is not one that we dispute. Our focus is on how the social credit system promotes virtue, how the CCP’s thinking compares with that of certain relevant philosophers, and whether the system is in violation of human rights. As we readily acknowledge, there is a sense in which practically all of us face an informal kind of social credit system; as individuals in society, we expect to be subject to a kind of feedback loop in which good behaviour is rewarded and poor behaviour is punished. Yet China’s social credit system is a remarkably centralised kind of effort, and it enables the CCP to play an extraordinarily dominant role in both controlling and contributing to the feedback loop that people and businesses in China face. In harmony with a chorus of human rights groups, we argue that China’s social credit system is indeed in serious danger of violating certain human rights, particularly certain rights relating to freedom of opinion and expression. Moreover, we contend that this human rights critique of the system is reasonably robust because the kind of human rights involved are liberty rights as opposed to rights to goods and services. As we explain, liberty rights tend not to impose a material burden on others, which helps to give them an especially strong claim for recognition as human rights.

Details

Who's Watching? Surveillance, Big Data and Applied Ethics in the Digital Age
Type: Book
ISBN: 978-1-80382-468-0

Keywords

Article
Publication date: 24 November 2017

Zahy Ramadan

China is establishing a social credit rating system with the aim to score the trust level of citizens. The scores will be based on an integrated database that includes a vast…

6247

Abstract

Purpose

China is establishing a social credit rating system with the aim to score the trust level of citizens. The scores will be based on an integrated database that includes a vast range of information sources, rating aspects like professional conduct, corruption, type of products bought, peers’ own scores and tax evasion. While this form of gamification is expected to have dire consequences on brands and consumers alike, the literature in that particular area of interest remains non-existent. The paper aims to discuss these issues.

Design/methodology/approach

A conceptual framework is suggested that highlights early on the risks and implications on brands and companies operating in that particular upcoming landscape.

Findings

The gamification of trust that the social credit system focuses on presents potential risks on brand and consumer relationships. This in turn will affect brand sustainability vis-à-vis the expected drastic changes in the Chinese business landscape. This study suggests the strategies to follow which will be of high interest to companies, consumers, as well as to the Chinese authorities during and after implementation stage.

Originality/value

This paper is amongst the first to discuss the potential effects of the Chinese social credit rating system on brands. The conceptual framework fills a sizeable gap in the literature and pioneers the discussion on potential dilemmas brands will be faced with within this new business landscape.

Details

Marketing Intelligence & Planning, vol. 36 no. 1
Type: Research Article
ISSN: 0263-4503

Keywords

Expert briefing
Publication date: 27 February 2019

Ant Financial's Sesame Credit rating service.

Details

DOI: 10.1108/OXAN-DB242168

ISSN: 2633-304X

Keywords

Geographic
Topical
Expert briefing
Publication date: 30 January 2019

China's social credit system.

Details

DOI: 10.1108/OXAN-DB241516

ISSN: 2633-304X

Keywords

Geographic
Topical
Article
Publication date: 9 April 2024

Shuai Zhan and Zhilan Wan

The credit of agricultural product quality and safety reflects the ability of the main actors involved in the supply chain to provide reliable agricultural products to consumers…

Abstract

Purpose

The credit of agricultural product quality and safety reflects the ability of the main actors involved in the supply chain to provide reliable agricultural products to consumers. To fundamentally solve the problem of agricultural product quality and safety, it is worth studying how to make the credit awareness and integrity self-discipline of the supply chain agriculture-related subjects strengthened and the role and value of credit supervision given full play. Starting from the application of blockchain in the agricultural product supply chain, this paper aims to investigate the main factors affecting the credit regulation of agricultural product quality.

Design/methodology/approach

Using the DEMATEL-ISM (decision-making trial and evaluation laboratory–interpretative structural modeling) method, we analyze the credit influencing factors of agricultural quality and safety empowered by blockchain technology, find the causal relationship between the crucial influencing factors and deeply explore the hierarchical transmission relationship between the influencing factors. Then, the path analysis in structural equation modeling is utilized to verify and measure the significance and effect value of the transmission relationship among the crucial influencing factors of credit regulation.

Findings

The results show that the quality and safety credit regulation of agricultural products is influenced by a combination of direct and deep influencing factors. Long-term stable cooperative relationship, Quality and safety credit evaluation, Supply chain risk control ability, Quality and safety testing, Constraints of the smart contract are the main influence path of blockchain embedded in agricultural product supply chain quality and safety credit supervision.

Originality/value

Credit supervision is an important means to improve the ability and level of social governance and standardize the market order. From the perspective of blockchain embedded in the agricultural supply chain, the regulatory body is transformed from the product body to the supply chain body. Take the credit supervision of supply chain subjects as the basis of agricultural product quality supervision. With the help of blockchain technology to improve the effectiveness of agricultural product quality and safety credit supervision, credit supervision is used to constrain and incentivize the behavior of agricultural subjects.

Details

Industrial Management & Data Systems, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 4 January 2011

Kerry Raymond Bolton

The aim of this paper is to show that there are workable alternatives to the debt‐finance system in the form of “state credit.”

1083

Abstract

Purpose

The aim of this paper is to show that there are workable alternatives to the debt‐finance system in the form of “state credit.”

Design/methodology/approach

The example used for the practical application of “state credit” is the State Housing programme of the 1935 New Zealand Labour Government. The primary sources are mainly the pamphlets of John A. Lee, responsible for the State Housing and Labour finance policies.

Findings

The paper shows that “state credit” was used on a large‐scale for constructive purposes, which not only provided debt‐free funding for an enduring construction programme, but one that did so without accompanying inflation or other adverse consequences which are warned of by orthodox economists.

Research limitations/implications

The paper focuses on a single example of the use of state credit, albeit an important and large‐scale one.

Practical implications

State credit was used in a major way during the 1930s to overcome unemployment while constructing something lasting and of enduring social benefit. It is a method that can be reapplied in the present time at a period where debt is reaching crisis point from entire nations down to families and individual consumers; with the most common remedy suggested relief being “austerity” and welfare cuts.

Social implications

State credit is a means of achieving large‐scale public works, while reducing unemployment, and reducing taxes, rates and prices which generally incorporate into costs the servicing of debts. The social implications are wide‐ranging.

Originality/value

The 1935 State Housing programme had endured as part of an iconic New Zealand social experiment, but one of which the method of funding is now virtually unknown.

Details

International Journal of Social Economics, vol. 38 no. 1
Type: Research Article
ISSN: 0306-8293

Keywords

Article
Publication date: 20 May 2021

Jörg Räwel

Given the form of functional differentiation of modern society, a far-reaching coordination of functional systems as a dissolution of their heterarchical relationship to each…

Abstract

Purpose

Given the form of functional differentiation of modern society, a far-reaching coordination of functional systems as a dissolution of their heterarchical relationship to each other, as was apparently possible in the social “lockdown” during the corona pandemic, should have been extremely unlikely. The purpose of this study is to explain how this was nevertheless achieved.

Design/methodology/approach

From the perspective of systems theory, social action in principle does not present itself as a problem but as a solution to (latent) social problems. In the sociological analysis presented here, it is therefore precisely a matter of uncovering or pointing out those (changed) social structures in which a social “lockdown” appears as a solution.

Findings

The paper explains that with the emergence of social media through applications such as Facebook, Instagram, Twitter, and TikTok, a new force is establishing itself at the level of society as a system. It is one that is characterized by being highly vulnerable to moral communication. A susceptibility to morality manifests, on the one hand, through an individual differentiation of society made possible by social media – for example, in the emerging Chinese social credit system – and, on the other hand, through the specific communicative structures of the social media themselves. It is argued that social media, in the form of a moral authority with a lasting effect on society as a whole, make a significant contribution to realizing the social “lockdown.”

Originality/value

The originality of the paper results from the fact that the emergence of a new social phenomenon (“lockdown”) is explained.

Article
Publication date: 12 May 2022

Chengang Ye, Yanyan Wang, Yongmin Wu, Ming Jiang, Yasir Shahab and Yang Lu

The purpose of this study is to examine the impact of Confucianism on auditor changes by highlighting the role of the cultural embeddedness mechanism in audit contracts from the…

Abstract

Purpose

The purpose of this study is to examine the impact of Confucianism on auditor changes by highlighting the role of the cultural embeddedness mechanism in audit contracts from the perspective of credit governance.

Design/methodology/approach

Using a unique sample of Chinese A-share listed firms from 2008 to 2018, this study uses logit regression as the baseline methodology while controlling for macro-level factors and firm-level characteristics, as well as industry and year fixed effects. This study also conducts different mediation/channel analyses, endogeneity tests (using two-stage least squares and difference-in-differences techniques) and robustness checks.

Findings

The findings show that the embeddedness of Confucianism in a corporation reduces auditor changes. Furthermore, the channel analyses (using moral self-discipline, social trust, professional ethics and the quality of accounting information as four potential channels) reveal that Confucianism can improve moral credit and consolidate the cultural foundation of credit governance. Specifically, the stronger the embeddedness of Confucianism, the more stable the auditing contract. Finally, Confucianism in formal and informal systems can be mutually substituted.

Originality/value

There is limited research on how culture affects auditing contracts. This study offers new contributions and extends the literature on the connection between cultural embeddedness and contract stability. Confucianism has the potential to strengthen the efficiency of credit governance and maintain the stability of contracts. This study offers a thoughtful orientation toward duly using Confucianism vis-à-vis credit governance.

Details

Managerial Auditing Journal, vol. 37 no. 6
Type: Research Article
ISSN: 0268-6902

Keywords

Book part
Publication date: 24 September 2018

Cris Shore and Susan Wright

What counts as evidence of good performance, behaviour or character? While quantitative metrics have long been used to measure performance and productivity in schools, factories…

Abstract

What counts as evidence of good performance, behaviour or character? While quantitative metrics have long been used to measure performance and productivity in schools, factories and workplaces, what is striking today is the extent to which these calculative methods and rationalities are being extended into new areas of life through the global spread of performance indicators (PIs) and performance management systems. What began as part of the neoliberalising projects of the 1980s with a few strategically chosen PIs to give greater state control over the public sector through contract management and mobilising ‘users’ has now proliferated to include almost every aspect of professional work. The use of metrics has also expanded from managing professionals to controlling entire populations. This chapter focuses on the rise of these new forms of audit and their effects in two areas: first, the alliance being formed between state-collected data and that collected by commercial companies on their customers through, for example loyalty cards and credit checks. Second, China’s new social credit system, which allocates individual scores to each citizen and uses rewards of better or privileged service to entice people to volunteer information about themselves, publish their ‘ratings’ and compete with friends for status points. This is a new development in the use of audit simultaneously to discipline whole populations and responsibilise individuals to perform according to new state and commercial norms about the reliable/conforming ‘good’ citizen.

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