From The Principal-agent Theory Is Reasonable, The Growth Of Chinese Family Business

Family-owned enterprises have undergone a process from the opening of China. There is no doubt that they have played a more and more important role in the national economy. From the mid- nineties, however, a number of private family enterprise declined daily in their management achievements and some of them even went bankruptcy. But, as we've known, the existence of the family-owned enterprises in so many countries has proved that there must be a lot of advantages for the family-owned enterprises. That was a contradiction that can confuse many people.This dissertation use the client - agent theory to explains and analyses the advantages of the family-owned enterprises. And further more, this dissertation has paid special attention to the family members' functions in the family-owned enterprises, and trying to find the answers to the following questions:Firstly, who is holding the important positions in the family-owned enterprises, the family members or others? Is that always happening that the family members hold the most important positions? What's the common catachrestic of these positions? If some of the family members hold the most important positions, why? Whether they thought the agent-cost is one of the reasons?Secondly, I used the SPSS to analyze the questionnaires I've got. I tried to get the answer that, compare with the non-family members, the family members' agent-cost is lower or not? If we take the agent-cost under considerations, agent-cost might be one of the reasons for the family members to hold the positions in the household business.