IDEAS home Printed from https://ideas.repec.org/a/kap/asiapa/v33y2016i4d10.1007_s10490-016-9472-1.html
   My bibliography  Save this article

The changing face of China’s billionaire-entrepreneurs

Author

Listed:
  • Majid Ghorbani

    () (Renmin University of China)

  • Michael Carney

    (Concordia University)

Abstract

Drawing upon data from the Forbes 2015 China Rich List this perspective paper describes the changing nature of entrepreneurial opportunity and capital accumulation in China’s transitional economy. The Forbes list identifies some 400 billionaires in 2015, and based upon their year of birth, we break down this list into three age cohorts, which reflect the shifting institutional environments and the set of opportunities they encountered in early adulthood. We identify the origins of their wealth and point to the growing number of wealthy heirs to the enterprises founded by their forebears and the implications for succession and the management of these enterprises. We compare and contrast China’s billionaires with comparable lists of billionaires in the United States. We provide insights into the fields of entrepreneurial opportunity, entrepreneurial finance, and the role of self-made versus inherited billionaires, as well as the implications for China’s industrial restructuring as the economy moves toward service and innovation-based industries. The paper concludes with a discussion of research opportunities afforded by the study of rich lists.

Suggested Citation

  • Majid Ghorbani & Michael Carney, 2016. "The changing face of China’s billionaire-entrepreneurs," Asia Pacific Journal of Management, Springer, vol. 33(4), pages 881-902, December.
  • Handle: RePEc:kap:asiapa:v:33:y:2016:i:4:d:10.1007_s10490-016-9472-1
    DOI: 10.1007/s10490-016-9472-1
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10490-016-9472-1
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Sharon Belenzon & Tomer Berkovitz & Luis A. Rios, 2013. "Capital Markets and Firm Organization: How Financial Development Shapes European Corporate Groups," Management Science, INFORMS, vol. 59(6), pages 1326-1343, June.
    2. Junsheng Dou & Shengxiao Li, 2013. "Erratum to: The succession process in Chinese family firms: A guanxi perspective," Asia Pacific Journal of Management, Springer, vol. 30(3), pages 919-919, September.
    3. Williamson, Oliver E, 1988. " Corporate Finance and Corporate Governance," Journal of Finance, American Finance Association, vol. 43(3), pages 567-591, July.
    4. Jaskiewicz, Peter & Combs, James G. & Rau, Sabine B., 2015. "Entrepreneurial legacy: Toward a theory of how some family firms nurture transgenerational entrepreneurship," Journal of Business Venturing, Elsevier, vol. 30(1), pages 29-49.
    5. Jamie Peck & Jun Zhang, 2013. "A variety of capitalism … with Chinese characteristics?," Journal of Economic Geography, Oxford University Press, vol. 13(3), pages 357-396, May.
    6. Baumol, William J., 1996. "Entrepreneurship: Productive, unproductive, and destructive," Journal of Business Venturing, Elsevier, vol. 11(1), pages 3-22, January.
    7. Yunshi Liu & Linda Wang & Li Zhao & David Ahlstrom, 2013. "Board turnover in Taiwan’s public firms: An empirical study," Asia Pacific Journal of Management, Springer, vol. 30(4), pages 1059-1086, December.
    8. Almeida, Heitor & Wolfenzon, Daniel, 2006. "Should business groups be dismantled? The equilibrium costs of efficient internal capital markets," Journal of Financial Economics, Elsevier, vol. 79(1), pages 99-144, January.
    9. Steven N. Kaplan & Joshua Rauh, 2013. "It's the Market: The Broad-Based Rise in the Return to Top Talent," Journal of Economic Perspectives, American Economic Association, vol. 27(3), pages 35-56, Summer.
    10. Tony Fang, 2010. "Asian management research needs more self-confidence: Reflection on Hofstede (2007) and beyond," Asia Pacific Journal of Management, Springer, vol. 27(1), pages 155-170, March.
    11. Ahlstrom, David & Bruton, Garry D. & Lui, Steven S. Y., 2000. "Navigating China's changing economy: Strategies for private firms," Business Horizons, Elsevier, vol. 43(1), pages 5-15.
    12. Mike Wright, 2007. "Venture capital in China: A view from Europe," Asia Pacific Journal of Management, Springer, vol. 24(3), pages 269-281, September.
    13. Kevin Au & Flora Chiang & Thomas Birtch & Zhujun Ding, 2013. "Incubating the next generation to venture: The case of a family business in Hong Kong," Asia Pacific Journal of Management, Springer, vol. 30(3), pages 749-767, September.
    14. David A Ralston & Carolyn P Egri & Sally Stewart & Robert H Terpstra & Yu Kaicheng, 1999. "Doing Business in the 21st Century with the New Generation of Chinese Managers: A Study of Generational Shifts in Work Values in China," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 30(2), pages 415-427, June.
    15. Hsing, You-tien, 2010. "The Great Urban Transformation: Politics of Land and Property in China," OUP Catalogue, Oxford University Press, number 9780199568048.
    16. Junsheng Dou & Shengxiao Li, 2013. "The succession process in Chinese family firms: A guanxi perspective," Asia Pacific Journal of Management, Springer, vol. 30(3), pages 893-917, September.
    17. Daniel You-Ren Yang & Hung-Kai Wang, 2008. "Dilemmas of Local Governance under the Development Zone Fever in China: A Case Study of the Suzhou Region," Urban Studies, Urban Studies Journal Limited, vol. 45(5-6), pages 1037-1054, May.
    18. David Ahlstrom & Michael N. Young & Eunice S. Chan & Garry D. Bruton, 2004. "Facing Constraints to Growth? Overseas Chinese Entrepreneurs and Traditional Business Practices in East Asia," Asia Pacific Journal of Management, Springer, vol. 21(3), pages 263-285, September.
    19. Randall Morck & David Stangeland & Bernard Yeung, 2000. "Inherited Wealth, Corporate Control, and Economic Growth The Canadian Disease?," NBER Chapters, in: Concentrated Corporate Ownership, pages 319-372, National Bureau of Economic Research, Inc.
    20. Yan Zhu & Li-Yun Sun & Alicia Leung, 2014. "Corporate social responsibility, firm reputation, and firm performance: The role of ethical leadership," Asia Pacific Journal of Management, Springer, vol. 31(4), pages 925-947, December.
    21. Ahlstrom, David & Bruton, Garry D. & Yeh, Kuang S., 2008. "Private firms in China: Building legitimacy in an emerging economy," Journal of World Business, Elsevier, vol. 43(4), pages 385-399, October.
    22. McCloskey, Deirdre N., 2013. "Tunzelmann, Schumpeter, and the Hockey Stick," Research Policy, Elsevier, vol. 42(10), pages 1706-1715.
    23. Obschonka, Martin & Silbereisen, Rainer K. & Schmitt-Rodermund, Eva & Stuetzer, Michael, 2010. "Nascent entrepreneurship and the developing individual: Early entrepreneurial competence in adolescence and venture creation success during the career," MPRA Paper 32021, University Library of Munich, Germany, revised 21 Dec 2010.
    24. Steven N. Kaplan & Joshua D. Rauh, 2013. "Family, Education, and Sources of Wealth among the Richest Americans, 1982-2012," American Economic Review, American Economic Association, vol. 103(3), pages 158-162, May.
    25. Shahid Yusuf & Tony Saich, 2008. "China Urbanizes : Consequences, Strategies, and Policies," World Bank Publications, The World Bank, number 6337, June.
    26. Michael Young & Terence Tsai & Xinran Wang & Shubo Liu & David Ahlstrom, 2014. "Strategy in emerging economies and the theory of the firm," Asia Pacific Journal of Management, Springer, vol. 31(2), pages 331-354, June.
    27. Florida, Richard & Kenney, Martin, 1988. "Venture capital and high technology entrepreneurship," Journal of Business Venturing, Elsevier, vol. 3(4), pages 301-319.
    28. Xuan Bai & Jeanine Chang, 2015. "Corporate social responsibility and firm performance: The mediating role of marketing competence and the moderating role of market environment," Asia Pacific Journal of Management, Springer, vol. 32(2), pages 505-530, June.
    29. Michael Carney & Eric Gedajlovic & Xiaohua Yang, 2009. "Varieties of Asian capitalism: Toward an institutional theory of Asian enterprise," Asia Pacific Journal of Management, Springer, vol. 26(3), pages 361-380, September.
    30. Garry Bruton & David Ahlstrom & Steven Si, 2015. "Entrepreneurship, poverty, and Asia: Moving beyond subsistence entrepreneurship," Asia Pacific Journal of Management, Springer, vol. 32(1), pages 1-22, March.
    31. David Ahlstrom & Garry Bruton & Kuang Yeh, 2007. "Venture capital in China: Past, present, and future," Asia Pacific Journal of Management, Springer, vol. 24(3), pages 247-268, September.
    32. Haitian Lu & Yi Tan & Hong Huang, 2013. "Why do venture capital firms exist: An institution-based rent-seeking perspective and Chinese evidence," Asia Pacific Journal of Management, Springer, vol. 30(3), pages 921-936, September.
    33. William J. Baumol, 2002. "Entrepreneurship, Innovation and Growth: The David-Goliath Symbiosis," Journal of Entrepreneurial Finance, Pepperdine University, Graziadio School of Business and Management, vol. 7(2), pages 1-10, Summer.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Carney, Michael & Zhao, Jing & Zhu, Limin, 2019. "Lean innovation: Family firm succession and patenting strategy in a dynamic institutional landscape," Journal of Family Business Strategy, Elsevier, vol. 10(4).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:asiapa:v:33:y:2016:i:4:d:10.1007_s10490-016-9472-1. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Sonal Shukla) or (Springer Nature Abstracting and Indexing). General contact details of provider: http://www.springer.com .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.