Izvorni znanstveni članak
https://doi.org/10.1080/1331677X.2022.2153718
The Chinese zombie firm: dilemma and resolution
Angela C. Chao
Fred Y. Phillips
Sažetak
The problems of over-capacity of zombie firms in China have
attracted much attention. However, little is known theoretically,
and even less empirically, about the boundaries and causes of
zombie enterprises. This article extends a model to identify the
characteristics of zombie firms in consideration of supply-side
structural reform in China. We focus on the cause of zombie firms
under the background of the ‘de-capacity’ strategy in China.
Using a sample of Chinese listed companies over the period
2006–2018, we find that the proportion of zombie firms in the
manufacturing industry declined significantly due to expansionary
fiscal policy in 2011. Moreover, the structure of ownership, operational
capabilities, and debt-paying ability co-varies positively,
with state-owned enterprises being most prone to becoming
zombie firms. The results allow us to construct various insights
into how to govern the zombie firm. These results offer a frame
for dealing with zombie firms. Our results are also robust in the
sensitivity test of changing the measurement of zombie firms.
Ključne riječi
Zombie firm; corporate governance; supply-side structural reform; stateowned enterprise; financing policy—Financial Risk and Risk Management—Capital and Ownership Structure— Value of Firms—Goodwill; Bankruptcy—Liquidation; Government Policy and Regulation
Hrčak ID:
310036
URI
Datum izdavanja:
1.9.2023.
Posjeta: 100 *