How law, politics and transnational networks affect technology entrepreneurship: Explaining divergent venture capital investing strategies in China

Abstract

China, Venture capital, Technology, Technology development, Rule of law, Political economy,

Entrepreneurial orientation and SME performance in China’s changing environment: The moderating effects of strategies

“…This final response rate is comparable to the ones reported in other studies conducted in China (e.g., Fuller, 2010;Luo & Park, 2001;Tang et al, 2008). ANOVA analysis was conducted to test for possible biases between the final sample and the missing-value cases.…”

Managing in ethnic Chinese communities: Culture, institutions, and context

“…Third, local state-funded Chinese venture capital firms choose either to invest in state-directed projects or typically opt out of investing in technology start-ups entirely. Fuller (2010) finds that the different legal environments are the critical factor in explaining the differences in investment behavior between the strictly foreign and the ethnic Chinese-embedded foreign firms. In addition, the political factors which influence the distribution of finance play important roles in explaining the behavior and failure of the local state-run venture capital firms.…”

A behavioral theory of governments’ ability to make credible commitments to firms: The case of the East Asian paradox

“…The very close relationship between MITI, the big business organization Keidanren, and the LDP which has exercised virtually unbroken rule in Japan in the postwar era created a forum where the government could make public commitments to business groups, stimulating economic growth (Johnson, 1982;Neary, 1992). 3 China also has sought communication in its public-private partnerships to signal its cooperation with companies' business goals (Tjosvold, Peng, Chen, & Su, 2008), although there are conflicting opinions about the circumstances in which guanxi with the government leads to firm success and when it leads to failure (Fuller, 2009). Even Hong Kong, which tends to differ from its neighbors with regard to the content of its largely noninterventionalist policies, again shows a great deal of similarity with other East Asian countries by its tendency to make its policies public in a style coined "consensus capitalism" (Wilding, 1997).…”

“…Great differences might exist and persist between the expectations shared by governments and firms in East Asia compared to those in the West (Redding & Witt, 2009), suggesting an important role for cognitive and normative institutions in the literature on government commitments. Firms from different countries might perceive the level of risk in a given country differently, based on their perceptions of the degree of credibility offered by the different mechanisms (structural or behavioral) by which governments make commitments or their own specific experiences with a government (Fuller, 2009). As institutions change, the issue of how firms interpret government actions and react to them fits with the overarching question of "how [do firms] play the game when the rules of the game are changing and not completely known?"…”