Summary
While China is not often thought of as a prime location for implementation of “managing for results” mechanisms of New Public Management, in fact, the reform era leadership—consistent with implementation of many market mechanisms in the economy—initiated cadre management principles imbued with results‐based techniques. This article discusses how dilemmas inherent in MFR principles play out in China's institutional context. It examines an understudied “punishing for results” technique employed in China, the “hold‐to‐account” system, and demonstrates how this punishment technique reveals inherent dilemmas that also can be expected if applied in other state‐centric developing countries. Copyright © 2017 John Wiley & Sons, Ltd.