On the Absence of Privately Owned, Publicly Traded Corporations in China: The Kirby Puzzle

1998 ◽  
Vol 57 (2) ◽  
pp. 442-452 ◽  
Author(s):  
J. Ray Bowen ◽  
David C. Rose
Keyword(s):  
Industrial Development ◽  
Recent Article ◽  
Mainland China ◽  
Institutional Support ◽  
Company Law ◽  
Publicly Traded ◽  
Rapid Economic Growth ◽  
Commercial Code ◽  
Widespread Belief ◽  
Privately Owned

In a recent article in this journal, William C. Kirby (1995) chronicled the development of China's Company Law, which was crafted in 1904 to promote industrial development by codifying a commercial code. Among other objectives, the Company Law was aimed at providing institutional support for the emergence of modern legal corporations. Indeed, it was a widespread belief among the Qing reformers of the period that “Modern industrial capitalism … demanded Western corporate structures to do business’ (Kirby 1995, 43). Kirby argued that after numerous revisions it has become clear that the Company Law has failed to promote the emergence of privately owned, publicly traded corporations. Given China's rich commercial tradition, its dramatic post-1978 reforms, and its rapid economic growth over the last two decades, Kirby's finding raises a most puzzling question for China scholars: Why is there not a single privately owned, publicly traded corporation (PPC) in mainland China?

Creating theSociedad de Responsabilidad Limitada: The Use of Legal Flexibility in Spanish Company Law, 1869–1953

2016 ◽  
Vol 90 (2) ◽  
pp. 227-249 ◽  
Author(s):  
Susana Martínez-Rodríguez
Keyword(s):  
Legal System ◽  
Civil Law ◽  
Company Law ◽  
Legal Form ◽  
Commercial Code ◽  
New Business ◽  
Numerus Clausus

Spain approved the first law ofSociedad de Responsabilidad Limitada(SRL)—a legal form similar to the German GmbH—in 1953. However, the SRL had already been used, albeit without its own legislation, since the 1920s. How was this possible in a country whose legal system was based on civil law? Its 1885 Commercial Code lacked thenumerus claususprinciple for enterprise forms, a feature that gave entrepreneurs unusual freedom in organizing their firms, and in adopting new business forms not defined in the code. It also invites us to rethink the notion of rigidity in civil law.

scholarly journals Tourism Seasonal Research on Inbound Tourism

2019 ◽  
Author(s):  
Yin-Ju Chang ◽  
Shieh-Liang Chen ◽  
Tzong-Shyuan Chen ◽  
Min-Shiang Hwang
Keyword(s):  
Sustainable Development ◽  
Carrying Capacity ◽  
Business Performance ◽  
Industrial Development ◽  
Mainland China ◽  
Home Economic ◽  
Tourism Marketing ◽  
Sustainable Planning ◽  
High Season ◽  
Remote Services

<p>Seasonality is one of the significant features in tourism market. This study employs the X-13 ARIMA-SEATS method to tourism market in Taiwan. Tourists who had come to Taiwan from 1981 to 2016 mainly came from Asia, followed by the Americas and Europe. In Asian area, tourists from Mainland China account for the highest percentage, followed by Hong Kong and Japan, whose overall resources provide favourable conditions for industrial development. Rapid growth in the number of tourists coming to Taiwan gives rise to the issue of uniform distribution of tourists during the year, namely, tourism seasonality. The empirical results show that tourism seasonality of tourists coming to Taiwan is randomly changing. Analysis should be conducted concerning sustainable planning, environmental dynamic carrying capacity and sustainable development. The high tourism seasons are March, April, November and December. However, January, July and September every year are off-season in Taiwan’s tourism market, with gradual decreasing number of tourists compared with those in high-season months. The contribution of this research is the analysis of data from high-season and off-season months, The local transport routes and environmental facilities can be planned for the high-season months, in order to develop diversified tourism marketing and strategies, improve the utilisation of space, and enhance business performance. During off-season months, Stay at Home Economic may be developed through Internet or platform marketing to provide distance-free remote services. For the overall environment, The analysis between off-season and high-season months not only helps to generate economic development, but can provide a sustainable planning direction, and link environmental dynamic carrying capacity and sustainable development. </p>

Green Innovation in China

2021 ◽  
pp. 648-674
Author(s):  
Ping Huang ◽  
Rasmus Lema
Keyword(s):  
Industrial Development ◽  
Sustainable Energy ◽  
Large Population ◽  
Green Economy ◽  
Energy Sources ◽  
Window Of Opportunity ◽  
Green Innovation ◽  
Green Technologies ◽  
Environmental Pressures ◽  
Rapid Economic Growth

China’s rapid economic growth combined with its large population has created substantial environmental pressures, not least the need for efficient and sustainable energy provision. This chapter addresses the problem of transition to sustainable energy sources. It shows how the Chinese response to the sustainability challenge has depended on both “hard” (technological) and “soft” (institutional) innovations. The chapter also shows how the sustainability challenge has presented a window of opportunity for industrial development and competitiveness in the green economy. Finally, it discusses the wider global implication of China’s mounting innovation capacities in green technologies.

China Unincorporated: Company Law and Business Enterprise in Twentieth-Century China

1995 ◽  
Vol 54 (1) ◽  
pp. 43-63 ◽  
Author(s):  
William C. Kirby
Keyword(s):  
United States ◽  
Twentieth Century ◽  
The United States ◽  
Company Law ◽  
Business Enterprise ◽  
Government Functions ◽  
Commercial Code ◽  
Qing Government ◽  
New Policies ◽  
The Many

On April 22, 1903, the qing court ordered zai-zhen, a Manchu prince; Yuan Shikai, the most powerful Chinese Governor-General of the realm; and Dr. Wu Tingfang, the former Chinese minister to the United States, to compile a commercial code. The edict charging them with this responsibility noted that “of the many government functions, the most important is to facilitate commerce and help industries” (Li 1974a:210). On January 21, 1904, the newly created Ministry of Commerce (Shangbu) issued China's first Company Law (Gongsilü)The Company Law was the first modern law drafted by the Imperial Law Codification Commission, whose work was part of the Qing government's reformist “new policies” in the wake of China's recent humiliations at the hands of Japan and the Western powers. In giving highest priority to enacting a law governing the organization of commercial companies, the Qing government had several interlocking objectives.

Conditions and Prospects for Economic Growth in Communist China

1954 ◽  
Vol 7 (1) ◽  
pp. 1-37
Author(s):  
Alexander Eckstein
Keyword(s):  
Industrial Development ◽  
Mainland China ◽  
Great Promise ◽  
Actual State ◽  
Chinese Society ◽  
Economic Activities ◽  
The West ◽  
Communist China ◽  
Treaty Ports ◽  
The One

THE Communist conquest of mainland China may be legitimately viewed as the culmination of a century-long interregnum during which the traditional equilibrium of Chinese society was profoundly disturbed by the Western impact, at a time of dynastic decline. The initial impact of the West was in the nature of a shock treatment administered by the Opium War, the subsequent military defeats, the unequal treaties, and the rise of the whole Treaty Ports system. Thus China's first massive contact with the West was associated with humiliation, bewilderment, frustration, and a sense of inequality. In these terms, then, a constant and continuing struggle for equality has been a hallmark of China's development since 1840.The military and diplomatic defeats suffered by the Chinese made them conscious of the West's technological and industrial superiority. In fact, one of the essential ingredients in China's striving toward equality was economic—expressedin a deep-seated aspiration to catch up, to narrow the gap, and to industrialize. In other words, the Western impact generated “tension between the actual state of economic activities in the country and the existing obstacles to industrial development, on the one hand, and the great promise inherent in such a development, on the other.”

scholarly journals A Better Way To Measure The Cost Of Equity Capital For Small Closely Held Firms

2012 ◽  
Vol 10 (2) ◽  
pp. 97
Author(s):  
Denis O. Boudreaux ◽  
Praveen Das ◽  
Nancy Rumore ◽  
SPUma Rao
Keyword(s):  
Cost Of Capital ◽  
Average Rate ◽  
Equity Capital ◽  
Cost Of Equity Capital ◽  
Cost Of Equity ◽  
Publicly Traded ◽  
Simple Method ◽  
Valuation Process ◽  
The Cost ◽  
Privately Owned

A companys cost of capital is the average rate it pays for the use of its capital funds. Estimating the cost of equity capital for a publicly traded firm is much simpler than estimating the same for a small privately held firm. For privately owned firms there is the lack of market based financial information. In business damage cases, valuation of the firm is often a prime interest. A necessary variable in the valuation process is the estimate of the firms cost of capital. Part of the cost of capital is the equity holders or owners required rate of return. The purpose of this paper is to explore the theoretical structure that underlies the valuation process for business damage cases that involve privately owned businesses. Specifically, cost of equity capital estimate methods which appear in the current literature are examined, and a theoretically correct and simple method to measure cost of equity capital for closely held companies is offered.

scholarly journals Effects of Industrial Growth on Hong Kong Trade

1962 ◽  
Vol 2 (1) ◽  
pp. 559-586
Author(s):  
Ronald Hsia
Keyword(s):  
Economic Development ◽  
Hong Kong ◽  
Industrial Development ◽  
Raw Materials ◽  
Far East ◽  
Mainland China ◽  
Geographical Location ◽  
External Trade ◽  
Industrial Growth ◽  
Capital Equipment

Industrial growth with its increasing demand for capital equipment and raw materials and consequent diversification of products is bound to affect the trade pattern of an economy. The extent of such effects depends on a host of conditions, the more important of which include 1) the size, geogra¬phical location, and resource endowments of the economy, 2) the relative importance of external trade, 3) the level of economic development, 4) the motivation and model of industrial development, and 5) the insti¬tutional framework. These factors operate, in the case of Hong Kong's industrial growth, to generate greater effects on external trade. Hong Kong, with a total land area of less than 400 square miles, is endowed with negligible natural resources for industrial purposes, while economic development remains at a stage of almost complete reliance on imported capital equipment. On the other hand, it is favoured by a shel¬tered deepwater harbour and a geographical location at the south gate of Mainland China with easy accessibility to all parts of the Far East. Conse¬quently, entrepot trade flourished and predominated in the Hong Kong economy prior to the rapid industrial growth in the 1950's. The develop¬ment of this trade and the necessary facilities (such as banking, insurance, shipping, shiprepairing and warehousing services) has been, to a large extent, responsible for the entrepreneurs' global outlook and the export oriented industrial development. Such a course is faciUtated by government policy under which trade, industry and foreign exchange are subject to minimal controls, and duties are levied only on a very few commodities for revenue purposes.

scholarly journals Short-Term Price Effects of Stock Repurchases in Turkish Capital Markets

2015 ◽  
Vol 7 (12) ◽  
pp. 29 ◽  
Author(s):  
Burak Pirgaip ◽  
Semra Karacaer
Keyword(s):  
Capital Markets ◽  
Stock Prices ◽  
Company Law ◽  
Stock Repurchases ◽  
Open Market ◽  
Short Term ◽  
Stock Repurchase ◽  
Listed Firms ◽  
Commercial Code ◽  
Signaling Hypothesis

Stock repurchase, as a corporate finance tool and a substitute for cash dividends, plays an important role in distributing excess cash. Following a prohibited period due to its potentially negative outcomes for shareholders and creditors, stock repurchase has recently been regulated within the company law systems of many countries pursuant to its increasing popularity in satisfying special financing requirements of companies. That the regulatory improvements have removed the uncertainty inherent in such transactions has increased the volume of, especially, the open market stock repurchases. Turkish legislation, <em>i.e.</em> <em>Commercial Code and Capital Markets Law</em>, has latterly been updated in accordance with EU acquis communautaire in order to allow stock repurchase for listed firms. We analyse movements in stock prices after stock repurchase transactions in order to make inferences about why stock repurchase is used and what its impacts/signals are in Turkish market at their infancy stage. Having followed a standard event study methodology, the results reveal that investor reaction to stock repurchase transactions is generally positive in the short-term. These results support the notion of a signaling hypothesis as a motivator behind stock repurchase decisions.

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