The Comparative Study Of Management Mode Between Jin Merchants And Huizhou Merchants

Jin merchants and Huizhou merchants are ancient China’s most influential business group and have their own unique and effective management mode. Shanxi is in the blending area between central plains culture and the northern nomadic culture, which makes its clan kinship consciousness less powerful in ancient Han nationality culture, and adds an ideology of native friendship and contract integrity. In the process of operation and management, Jin merchants carried out system innovation constantly, implemented a centralized and flexible organization management mode, and made the real separation between enterprise ownership and management into effect. In the personnel management, Jin merchants initialized and implemented the measures of human resource management, meanwhile, promoted the stock system which was clear in power and responsibility, reward and punishment. Jin merchants also set a strict specification in financial operation procedures and management, a fast turnover strategy in capital operation, especially made “user first and integrity” strategy as the iron law in marketing. In order to have a comprehensive understanding of the market and capture the business opportunities, Jin merchants particularly attached great importance to the information collection, analysis, identification and effective use, and made flexible and efficient information communication as the key to the success or failure of enterprise management.Compared with Jin merchants, Huizhou merchants who also acquired impressive business performance have a different management mode. Huizhou is situated in an area where Zhu Xi was born, coupled with the moving in of a lot of central plains immigrants in East Jin and South-North dynasties, which made the Chinese Confucian culture booming gradually and taking clan blood relationship seriously. Under the predicament of the difficulty to make a living, Huizhou people went out to do business together. Once one person had some achievements, their friends and family members would be invited to join in which gradually formed a business group and have produced the Jiangnan towns and cities. Due to its clan kinship, Huizhou merchants therefore were highly centralized and unified in the management mode of operation. In order to win in business, Huizhou merchants gradually implemented cooperation and group management, changed the habits of doing business alone initially. They constantly integrate capital and manpower based on blood and region to make scale much bigger. Despite hard work, entrepreneurship and fighting spirit, Huizhou merchants especially pay much attention to the connections between people and public welfare undertakings, casting a good reputation and image, winning a good business management environment and creating brilliant performance next only to Jin merchants.Although Jin merchants and Huizhou merchants use different enterprise management mode, they both have achieved great success. The basic reason is that the two big business gangs both can bear hardships and stand hard work, both have the pioneer spirit, the insights into business opportunities and flexible management mind, as well as implement management means which are consistent with their own cultural concept.