Management World is supervised by Development Research Center of The State Council, and sponsored by Development Research Center of The State Council. It aims to reflect the multi-field and multi-disciplinary research on China’s economic and social management issues, and to provide services for China’s economic reform and development. Its scope covers fiscal and financial research, rural economics, macroeconomic management, public management, business management, industrial and regional development. The journal, included in CSSCI and JST, has been in the top list in the field of economic management for many years, and achieved a very high reputation from readers all over the world.
Editor-in-Chief Li Kemu
Deputy Editor-in-Chief Tian Yuan,He Shaohua, Lu Jian, Jiang Dongsheng
Editorial Board Ma Xiaogang, Qiao Renyi, Li Jiping, Li Menggang, Li Peiyu, Zhang Xinmmin, Shen Bainian, Chen Dongsheng, Cheng Quansheng, Zhao Jie,Tuo Zhen
Since the reform and opening up, China has maintained 40 years of rapid economic growth with the level of economic development greatly improved. According to the World Bank’s standards, it has developed from a low-income country to an upper-middle-income one. However, China is still a developing country whether according to the definition of major international organizations or the development of China’s economy. In terms of international comparison, according to the World Bank’s GNI per capita and the United Nations’ HDI, China is a developing country. However, China is still in an important period of strategic opportunities with rapid development. Due to China’s significant development in the past 40 years and the promoting effect it has exerted on the surrounding countries, China has changed the world economic pattern, which evolved from the grave gap between the per capita income of the rich and poor to a situation where developed countries, newly industrialized middle-income countries and low-income countries co-exist. In terms of domestic development, while China has become the world manufacturing center, the upgrading of industrial structure is still relatively lagging behind others with unbalanced development between regions and urban and rural areas. For China, this is the weakness in development, but on the other hand, it is its advantage for sustainable development. China should be confident and will be capable of exploring the right path for the sustainable development of socialism with Chinese characteristics. It can avoid the economic stagnation that many countries have experienced at this stage and ultimately achieve the goal of comprehensive modernization.
This paper focuses on the household savings of material capital and social capital before starting a business. Based on the data of China Household Finance Survey (CHFS) in 2011 and 2013, it is found that entrepreneurs still face significant liquidity constraints in both urban and rural areas. In the case of controlling the heterogeneity of householder’s individual characteristics, household characteristics and regional macroeconomic characteristics, the probability of household entrepreneurship will increase by 0.0162 percentage points for every 1% increase in net household wealth level, and promoting the degree of financial marketization can significantly alleviate the wealth threshold effect of entrepreneurship. However, from the perspective of household savings rate, the average household savings rate for starting a business is 6.05 percentage points lower than that of other households. The savings of material capital is not the main measure for households to achieve entrepreneurship. On the contrary, increasing household expenditure on social networks, such as transportation and communications, and having a higher proportion of transfer payments to non-relatives, help households achieve entrepreneurship. This reflects the unique path for China’s households to achieve entrepreneurship.
This study examines how supervisors interpret the growth need strength (GNS) of subordinates and the psychological mechanisms that influence supervisors’ perception and behavioral change. Based on the prospect theory, we found that the interaction of supervisors’ GNS and organizational incentive structure influences the perceptions and behaviors of supervisors, and then affects employees’ creative outcomes indirectly. 219 supervisor-subordinate dyads data and hierarchical linear model were used to test hypotheses in this study. The results show that: (a) subordinates’ GNS positively affects their creative outcomes; (b) incentive structure orientation moderates the relationship between subordinates’ GNS and creative outcomes; and (c) a three-way interaction among subordinates’ GNS, supervisors’ GNS, and incentive structure orientation affects employees’ creative outcomes.
Haze pollution is one of China’s biggest environmental governance issues in recent years. Having measured the degree of public environmental (haze pollution) attention by using the Baidu Search Index, this paper examines the impact of public environmental (haze pollution) attention on the behavior of individual investors and the rate of return on specific stock indices. The study finds that the higher the public attention to haze pollution is, the greater the rate of return on air pollution control stocks is, and this impact extends to all environmental stocks. Meanwhile, the excess return of air pollution control stocks relative to high-energy-consuming industry stocks is higher than that to environmental industry stocks. In addition, during the two sessions (i.e. the National People’s Congress, and the Chinese People’s Political Consultative Conference) when the issue of air pollution control was intensively discussed by the representatives, the increased public attention to haze pollution has led to a significant rise in rate of return on environmental stocks, while the relative rate of return on stocks of the oil and coal industries declined. The result of this study indicates that the widespread and persistent haze pollution has significantly affected individual investment behaviors by attracting public attention, thereby re-allocating the industrial capital. Effective information disclosure by the government can help promote positive interaction between the public and the market as well as promoting environmental governance financing.
This paper uses social media platform SSE e-interaction as an experimental environment to study the effect of the improvement of investor sophistication on stock price crash and its transmission path. The findings show that under the condition of social media, the improvement of investor sophistication can obviously reduce stock price crash risk. It indicates that improving investor sophistication is an effective way to reduce stock price crash risk of listed companies. In addition, the cross-sectional survey finds that in companies with high volatility in rate of return, improved investor sophistication reduces stock price crash risk more obviously. Finally, a path test shows that under the condition of social media, the improvement of investor sophistication can reduce the disagreement among investors, and influences stock price crash risk through this path. This paper expands literature in investor sophistication, stock price crash risk and disagreement. It not only deepens the explanation of stock price crash risk by behavioral finance theories, but also helps to fully understand the effect of investor sophistication on stock market and its path, which has great significance in preventing stock price crash risk and promoting the stable and healthy development of stock market from the perspective of investor sophistication.
Existing research has focused on the important effect of strategic learning on organizational innovation, but it has vague understanding of its influence mechanism. This paper studies the influence of strategic learning on organizational innovation from the perspective of dynamic capability, incorporates organizational learning and knowledge management into strategic learning as the process dimension and the content dimension respectively, and examines in-depth the mediating effect of dynamic capability and its three dimensions (perception and response, integration and utilization, as well as reconstruction and transformation) on the relationship between strategic learning and organizational innovation. The empirical research of this paper based on the survey data of 248 Chinese enterprises has the following findings. (1) Strategic learning and its two core dimensions have significantly positive influences on organizational innovation, but the influences are different. Knowledge management has a significantly completely mediating effect in the relationship between organizational learning and organizational innovation, and the various dimensions of knowledge management have partially mediating effects to varying degrees. (2) Dynamic capability has a significantly completely mediating effect in the relationship between organizational learning and organizational innovation. The three dimensions of dynamic capability have significantly partially mediating effects to varying degrees in the above relationship. (3) Dynamic capability has a significantly completely mediating effect in the relationship between knowledge management and organizational innovation. The three dimensions of dynamic capability have significantly partially mediating effects to varying degrees in the above relationship. (4) In the relationship among organizational learning, knowledge management and organizational innovation, there is not only the completely mediating effect of dynamic capability, but also the completely mediating effect of knowledge management. These conclusions expand the boundary of the theoretical understanding of the relationship among strategic learning, dynamic capability and organizational innovation, and have important practical guiding significance for the organizational innovation of Chinese enterprises.
Based on the textual analysis of the tone in the annual reports of the non-financial listed companies in China from 2007 to 2014, this paper investigated the relationship between annual report’s tone and the direction of insider trading following the release of annual reports. This study documented that when the tone in the annual report is more positive, the scale of the stock sold by the corporate executives is larger in a certain period of time after the release of annual report, while the scale of net purchased shares is smaller, indicating that management uses tone manipulation to facilitate their insider trading behaviors. Further analysis shows that this reverse relationship between insider trading direction and annual report tone is significantly stronger in firms with worse mid-term market performance, lower information transparency, and non-state-owned controlling shareholders respectively. However, we did not find a significant effect of the degree of earnings management and the position of inside traders on the relationship between tone and insider trading. In addition, there is evidence that the relatives of managers will sell more stocks when the tone of annual report is more positive while it was not found that large shareholders’ transaction is associated with annual report’s tone. Overall, our study suggests that there is tone manipulation behavior in insiders’ preparation of annual reports; that is, besides the quantitative information such as financial statements, tone in the annual report is an alternative that could be manipulated by insiders.
From two new aspects of fund managers’ performance-ranking-based compensation incentive and the probability of improving rankings, we studied the impact of funds’ performance ranking on their portfolio pumping by using data of Chinese mutual funds, including open-end equity funds and equity-oriented hybrid funds, from 2005 to 2016. Our empirical analysis shows that portfolio pumping is stronger for funds ranking at key places, including
2/
3 and
9/
10 percentile. Moreover, we find that the difference of performance between funds with adjacent ranking in performance has a significant negative effect on portfolio pumping. Our findings not only extend the literature on portfolio pumping, but also have implications for the supervisors and fund investors in practice.
