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A Grounded Theory Exposition of the Role of the Supervisory Board in China *
Author(s) -
Xiao Jason Zezhong,
Dahya Jay,
Lin Zhijun
Publication year - 2004
Publication title -
british journal of management
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 2.407
H-Index - 108
eISSN - 1467-8551
pISSN - 1045-3172
DOI - 10.1111/j.1467-8551.2004.t01-1-00399.x
Subject(s) - exposition (narrative) , china , grounded theory , government (linguistics) , accounting , communism , variety (cybernetics) , power (physics) , business , management , public relations , sociology , law , political science , economics , qualitative research , social science , mathematics , politics , statistics , art , linguistics , philosophy , physics , literature , quantum mechanics
This paper reports the findings of an investigation, through a series of interviews, into the role of the supervisory board (SB) in Chinese listed companies. The interviews were conducted and analysed using the grounded theory methodology. It is found that the SB performs one of four roles under the Chinese corporate environment: an honoured guest, a friendly advisor, a censored watchdog or an independent watchdog. The role of the SB is dependent on a variety of factors: SB characteristics, power relations between the Board of Directors and the SB, shareholding structure, the influence of the Communist Party of China and government, the role of independent directors and the requirements of the corporate law.