The Sharing System Of Shanxi Merchants And Its Creativity

By means of comparing with general and traditional enterprise systems the text summarizes three main characteristics or the creativity of the sharing system of the Shanxi merchants firstly. Those are as follow: the average division in the form of organizing capital and allocating revenues, multi-segment of property rights of enterprise, the administrative multi-level of the structure of the organization. On the basis of the above summary the creativities of the sharing systems of the Shanxi merchants are discussed: (1)Concentrating capital was the result of the average division in the form of organizing capital not the foremost motivation, witch was in fact in order to ensure the rights and benefits of shareholders; (2)Introducing labor-sharing system was the measure which the Shanxi merchants adopt to the rise of the price of labor factor relative to that of capital factor in Qing dynasty; The labor-sharing system promoted the increase of profits of the Shanxi merchants' enterprises greatly. However, that effectiveness came into existence only in normal condition. If enterprises were into the red or drawing near bankruptcy the labor-sharing system would otherwise steep up the decline of the enterprises. (3)It was the change in inner and external condition the Shanxi merchants faced in Qing dynasty that forced the Shanxi merchants innovated the systems of the property rights (including structure of the property rights and the organization). The specific formation of the system of the property rights was the result that the Shanxi merchants thought and weighed over and over according to the relative costs and benefits facing new environmental changes.