Institutional Transformation and Changing Networking Patterns in China

Abstract

Drawing insights from the institutional embeddedness perspective, this article explores the changing patterns and significance of two types of strategic networking along with the institutional transformation in China. Using two-wave survey data on Chinese private firms, we find that after the state relaxed its control of resources the importance of networking with the state tends to decline, while ties with market actors become increasingly important. Determinants of network investment have shifted from managers' perceived importance of different types of network ties to a firm's immediate institutional environment. Finally, the impact of networking on firm growth has also altered over time. These findings advance our understanding of the crucial role of the institutional environment in shaping firms' networking strategies and have important theoretical and practical implications.

“The advancing of management”: Cross‐sector agents and rationalization of nonprofits in Eastern China

“…Meanwhile, as “acquired” relations, the interactions between nonprofits and corporates or other rationalized professional groups will contribute to the rationalization through the “normative” mechanism (hypothesis ) (Meyer & Bromley, ). Also, the mediation role of business networking (hypothesis ) can be regarded as the “innate” relation that may increasingly lead to “acquired” relations, and contribute to rationalization (J. Zhang et al, ).…”

“…Also, the mediation role of business networking (hypothesis 3) can be regarded as the "innate" relation that may increasingly lead to "acquired" relations, and contribute to rationalization (J. Zhang et al, 2016).…”

“…Despite these idiosyncrasies, the Chinese nonprofit sector is not separated from the global nonprofit actors (such as international NGOs and foreign foundations), due to the interdependence of China and the rest of the world. Chinese nonprofits that are subject to worldwide cultural and institutional forces are also following “fads and fashion” prevalent in the global nonprofit sector (J. Zhang, Zhao, & Zhang, ). The organizational identities and institutional schemas of managerialism (Jäger et al, ) may provide new “benchmarks” and “models” for nonprofits in non‐Western countries such as China through globalization (Drori et al, ; Spires, ).…”

“…Chinese nonprofits that are subject to worldwide cultural and institutional forces are also following "fads and fashion" prevalent in the global nonprofit sector (J. Zhang, Zhao, & Zhang, 2016). The organizational identities and institutional schemas of managerialism (Jäger et al, 2013) may provide new "benchmarks" and "models" for nonprofits in non-Western countries such as China through globalization (Drori et al, 2009;Spires, 2011a).…”

Wining and Dining Government Officials: What Drives Political Networking in Chinese Private Ventures?

“…Although the difference between private and state-owned enterprises in political networking has attracted plenty of attention from the early literature (Park & Luo, 2001; Xin & Pearce, 1996), there is a dearth of research on the ways in which organizational and environmental factors affect the intensity of political networking undertaken by indigenous private ventures. With the deepening of institutional transitions, this question warrants more investigation because political networking can become more of a rational, strategic choice than a necessity for private ventures (Sun, Zhang, & Mellahi, 2012b; Zhang, Zhao, & Zhang, 2016b).…”