Institutional Change Of Social Capital Utilization And Information Disclosure

North has advocated that the key of economic growth was,and still is an efficient economics system.It is efficient in the sense that;the system of property rights gives individuals incentives to innovate and produce.An efficient economic system of European economic development and history generally cite The Rise of the Western World.The Chinese culture,which has long been under the influence of Confucianism while the uniqueness of Chinese interpersonal relationship network has been greatly influenced by the family concept,the unique interpersonal relationship network within the Chinese community forms the origin of the utilization of social capital.Chandler(1977) views family-owned businesses as a transitional form of the modern corporate model.Weber's(1920) "The Protestant Ethic and the Spirit of Capitalism" is a concept that rewards hard work and signifies the difference between east-west family management.These sociological concepts have raised debates,as well as deeper insights and research into the Chinese family businesses and their continuing growth throughout the years.What was discovered is that,"Trust" is the key impact factor that is found in latest major researches."Trust" is the summary representation of compressed information.From family trust within the Chinese interpersonal relationship networks on to social trust in timely and full information,and further on to the full use of social capital.This is a procedure for institutional change.It includes the institutional change of enterprise and our society.The special points of this thesis are that for applying Chinese culture,Sociology and New Institutional Economics as the starting point to discuss the relationship between the growth and evolution of Chinese family owned enterprises and full utilization of social capital in order to prove the institutional change of the Taiwan society.The DaChan Great Wall Group,was founded fifty years ago in 1957 has witnessed the growth and institutional change of the Taiwan society and is now being used as a practical example for the theory of the process of this institutional change.The major contribution of this thesis is breaking through the traditional accounting and financing technical framework from the views of social capital relationship to discuss the information disclosure.The enlightenments of this thesis are: The impact factors of company governance and development of DaChan Great Wall Group:the personality of the founder had an important and significant impact on the group at the beginning of its establishment.The closed information system of the Chinese interpersonal relationship culture is an obstacle of trust.It needs to be transformed to professional management system and corporate governance system operated by professional managerial personnel.The change and characteristics of information disclosure about Taiwan enterprises' information disclosure:the key motivation for change in Taiwan information disclosure system is the deterioration of the society and the urge for remedial measures to be taken for future generations. The relationship between information disclosure and social capital utilization: Information disclosure is just a process and the aim is to obtain trust.Through the information disclosure system,social trust can be obtained and brand reputation of the enterprise can be established,thus making full utilization of social capital.DaChan Great Wall Group from an information closed family owned enterprise developed to an international company that is impacted by Chinese family management concept and Chinese culture.DaChan Great Wall Group further using international capital and modern enterprise manager managing that is the result of further Taiwan political democracy system and transparent information managing system.