Search results

The aim of this paper is to examine how the co‐evolution of two order systems‐guanxi networks and legal system, i.e. a dual order system‐has shaped the growth of China's SMEs. From an institutional perspective, one proposition suggested has been that building guanxi networks can facilitate the growth of China's SMEs when institutions change in unpredictable ways. Another proposition claims legal institutions become guarantors of the growth of China's SMEs as a result of competition in increasingly market‐oriented environment.

Over a nine‐year period (1998‐2006), this study conducts in‐depth interviews with 18 top managers of three Chinese SMEs in Wenzhou, a city located in south of China. To identify potential research subjects, SMEs that had been operating for a period of at least five years and privately‐owned were chosen. Since institution evolution is characterized with a longitudinal nature, the authors gathered data from three different time periods in order to capture the richness of the phenomenon.

Dual order mechanisms consisting of guanxi networks (informal institutions) and codified laws (formal institutions) are both relevant in the growth of SMEs: guanxi networks are more significant at earlier stages of growth whereas legal systems are more influential in later stages. This argument is supported with data collected from three longitudinal case studies of SMEs in China.

Data were obtained from three companies in Wenzhou of China, thus findings might not be generalizable across the country.

Three longitudinal case studies are unique. According to Pettigrew, longitudinal methods may be the only way to uncover processes of institutional change. The paper investigates the role of dual order system consisting of guanxi and legal systems in the growth of China's SMEs. The research not only contributes to the guanxi literature but also enables managers and investors to better understand the guanxi practice and role of legal systems in the growth of SMEs.

The forest products processing industry is a key component of the forestry economy, and the level of companies’ operating efficiency directly affects its profitability and market competitiveness.

In order to deeply study the operation status of forest product processing industry, this paper takes the panel data of 70 listed forest product processing companies from 2015 to 2022 as the basis, and adopts BBC, CCR and DEA-Malmquist models to measure the operating efficiency of these companies. Meanwhile, the Tobit model is applied to deeply explore the impact of innovation input on operating efficiency.

The results of the paper show that: (1) the overall operating efficiency of listed forest product processing companies performs well, and the improvement of technology level promotes the growth of total factor productivity; (2) innovation input plays a significant positive role in listed forest product processing companies, which positively affects the operating efficiency.

A scientific and reasonable evaluation of the operating efficiency of listed forest product companies is of great practical significance to the development of the forestry industry The study of forest product processing industry is of key significance to the social economy.

This paper explores the improvement of production and operation efficiency of forest products processing enterprises for the purpose of in-depth analysis of the current situation of China's forest products processing enterprises, which is conducive to improving the innovation and operation efficiency of China's forest products processing enterprises, and realizing the high-quality development of China's forest products processing industry.