Wang, Yue, Nicholas, Stephen, and Morgan, Stephen (2002) Relational subcontracting: the case of contractual joint ventures in China. In: Proceedings of the 2002 Annual Conference Conference (ANZIBA). pp. 461-475. From: Assessing International Business Theory and Practice, 8-9 November 2002, Brisbane, QLD, Australia.

PDF (Published Version) - Published Version Restricted to Repository staff only

Abstract

Contractual joint ventures (CJVs) are a major form of investment in China, especially for Hong Kong firms in South China province of Guangdong. Despite its i111 portance, the complex character of the CJV form has remained understudied. This paper reveals the nature of CJV s as a relational subcontracting arrangement between Hong Kong ru1d Chinese firms, possessing aspects of both long-term subcontracting and an equity-based hierarchy. Drawing on data from structured interviews with 65 CJVs in Guangdong during 2000, we found that the CN had contracting advantages that reduced the costs of contracting compared to equity joint ventures (EJVs) and processing and assembling (P&A) arrangements, including flexibility, quick return on investments and low adjustment costs to market changes or technical upgrading. Over time, CJV s remain an efficient governance structure in line with the moderate changes of transaction-specific features of the CJV subcontracting activities. These findings hold when CJV size, age and industry are considered.

Item ID:	14641
Item Type:	Conference Item (Research - E1)
ISBN:	978-0-9581932-0-7
Keywords:	relational subcontracting; contractual joint ventures; China
Date Deposited:	18 Sep 2017 23:00
FoR Codes:	15 COMMERCE, MANAGEMENT, TOURISM AND SERVICES > 1502 Banking, Finance and Investment > 150299 Banking, Finance and Investment not elsewhere classified @ 100%
SEO Codes:	90 COMMERCIAL SERVICES AND TOURISM > 9001 Financial Services > 900199 Financial Services not elsewhere classified @ 100%
Downloads:	Total: 1
	More Statistics