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The Development Of Entrepreneurship And Private Enterprise In The People'S Republic Of China And Its Relevance To Transitional Economies

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  • XIAOHONG HE

    (Quinnipiac University, Hamden, CT 06518, USA)

Abstract

This paper aims to study the issues and unique characteristics surrounding the birth and development of the private sector in the People's Republic of China (China); analyze the interaction of entrepreneurial behavior and the country's unique and continuously changing regulatory and institutional environment; examine the actions, outcomes, and composition of this emerging entrepreneurial class; and analyze the implications for entrepreneurship research in transitional economies. The paper offers a model built on a dynamic and transitional cycle. Using this model, the paper examines how uncertainties, ambiguities, and changing regulatory environments may create opportunities, bolstering the entrepreneurial class as well as an impressive private sector in a country where entrepreneurs and private business can be at odds with socialist ideology and culture in addition to many regulatory and institutional obstacles. Rather than relying upon limited survey data targeted at specific locations, industries, or time periods, this study is based on seven large-scale surveys conducted from 1993 to 2006 in both urban and rural areas extending horizontally across different industries in China, with a primary focus on private business. The findings are relevant for future research and government policy in transitional economies.

Suggested Citation

  • Xiaohong He, 2009. "The Development Of Entrepreneurship And Private Enterprise In The People'S Republic Of China And Its Relevance To Transitional Economies," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 14(01), pages 39-58.
    • Handle: RePEc:wsi:jdexxx:v:14:y:2009:i:01:n:s1084946709001132
    DOI: 10.1142/S1084946709001132
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    References listed on IDEAS

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    1. Ruta Aidis, 2005. "Entrepreneurship in transition countries: a review," UCL SSEES Economics and Business working paper series 61, UCL School of Slavonic and East European Studies (SSEES).
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    Cited by:

    1. Canfei He & Jiangyong Lu & Haifeng Qian, 2019. "Entrepreneurship in China," Small Business Economics, Springer, vol. 52(3), pages 563-572, March.
    2. Emma Su & Michael Carney, 2013. "Can China’s family firms create intellectual capital?," Asia Pacific Journal of Management, Springer, vol. 30(3), pages 657-675, September.
    3. Andrew Atherton & David Smallbone, 2013. "Promoting Private Sector Development in China: The Challenge of Building Institutional Capacity at the Local Level," Environment and Planning C, , vol. 31(1), pages 5-23, February.
    4. Xiaohong He & Xi Chen, 2016. "Empirical Effects Of Entrepreneurship On Regional Development: A Chinese Local Perspective," Journal of Developmental Entrepreneurship (JDE), World Scientific Publishing Co. Pte. Ltd., vol. 21(01), pages 1-14, March.
    5. Binz, Christian & Gosens, Jorrit & Hansen, Teis & Hansen, Ulrich Elmer, 2017. "Toward Technology-Sensitive Catching-Up Policies: Insights from Renewable Energy in China," World Development, Elsevier, vol. 96(C), pages 418-437.
    6. Kiss, Andreea N. & Danis, Wade M. & Cavusgil, S. Tamer, 2012. "International entrepreneurship research in emerging economies: A critical review and research agenda," Journal of Business Venturing, Elsevier, vol. 27(2), pages 266-290.
    7. Nan Zhou & Andrew Delios, 2012. "Diversification and diffusion: A social networks and institutional perspective," Asia Pacific Journal of Management, Springer, vol. 29(3), pages 773-798, September.
    8. Martina Musteen & Deepak K. Datta & Marcus M. Butts, 2014. "Do International Networks and Foreign Market Knowledge Facilitate SME Internationalization? Evidence from the Czech Republic," Entrepreneurship Theory and Practice, , vol. 38(4), pages 749-774, July.
    9. Imen Mzid & Nada Khachlouf & Richard Soparnot, 2019. "How does family capital influence the resilience of family firms?," Journal of International Entrepreneurship, Springer, vol. 17(2), pages 249-277, June.
    10. Raymond E. Gaspar, 2017. "Large firm dominance on country’s entrepreneurship potentials," Journal of Global Entrepreneurship Research, Springer;UNESCO Chair in Entrepreneurship, vol. 7(1), pages 1-16, December.

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