Conceptualization of board involvement in privately incorporated Chines firms.
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The paper examines two prominent theories of strategic behavior that originated within western societies; the institutional and strategic choice theories to describe and explain board involvement in the strategic decision-making process in privately incorporated Chinese firms. These theories have been used extensively by researchers researching in the ‘western” environment of public listed companies, but little conclusive evidence exists regards the issues of board involvement and management practices of privately incorporated Chinese firms. It also looks at the intersection of these theories and Chinese cultural values to provide a rich picture of board behavior in these firms. The importance of this study is to provide an initial step to help to conceptualize the complexity of board involvement in privately incorporated Chinese firms.
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