Political rotations and cross-province firm acquisitions in China
Abstract
The underdeveloped institutional framework and trade barriers between China’s provinces make cross-province acquisitions challenging. We explore how Chinese firms can mitigate this problem. Drawing on social network theory we propose that cross-province rotation of political leaders—a key element of the promotion system of political cadres in China—is a mechanism enabling growth through cross-province acquisitions. We conceptualize rotated...
Paper Details
Title
Political rotations and cross-province firm acquisitions in China
Published Date
Feb 1, 2018
Journal
Volume
17
Issue
1
Pages
37 - 58
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