A Comparison Of Merchant Organizations Governance Models Between Shanxi Merchants,Huizhou Merchants And Jiangyou Merchants:A Perspective Of Governance Effectiveness

In the middle of the Ming Dynasty,with the development of commodity production and the improvement of traffic conditions,the regional merchant organizations engaged in long-distance trade have gradually emerged in the developed areas of China,and the representative ones are “China's Top Ten Business Groups”.The merchant organizations have been active in the circulation field for hundreds of years and have a profound impact on the economy and society.This also caused scholars to conduct research on ancient business cadres in order to explore the excellent culture in the business community.Therefore,this paper takes Shanxi merchants,Huizhou merchants and Jiangyou merchants as research objects,and studies the merchant organizations governance model that supports the development of business associations.Using comparative research methods,from the perspective of governance effectiveness,compare and evaluate the merchant organizations governance model of Shanxi merchants,Huizhou merchants and Jiangyou merchants.First of all,this paper defines the related concepts of merchant organizations.Shows that as a kind of intermediate organization between enterprises and markets,merchant organizations are specific model of network organization,like industrial clusters and strategic alliances,so the research on merchant organizations should belong to the research category of network organizations.Secondly,this paper systematically sorts out the research onnetwork organization governance mechanism,content of the merchant organizations governance,merchant organizations governance model,and the evaluation of merchant organizations governance efficiency.Based on previous research,the basic structure of the business management model is constructed.Generally speaking,it includes two aspects: social mechanism and operational mechanism.Social mechanism includes merchant trust,regional culture,joint sanctions,and reputation maintenance.The operational mechanism includes entry barriers,incentive constraints,decision coordination,and moral education.Then,this paper studies the merchant organizations governance of Shanxi merchants,Huizhou merchants and Jiangyou merchants.the research results show that the merchant organizations governance models of the three major merchant organizations have their own unique characteristics.The Shanxi merchants showed the contract governance model,the Huizhou merchants showed the clan governance model,and the Jiangyou merchants showed the religious ethics governance model.Thirdly,in order to compare the merchant organizations governance models of Shanxi merchants,Huizhou merchants and Jiangyou merchants in a moredepthly manner,based on the perspective of governance effectiveness,this paper constructs an evaluation index system for business governance models that covers operational effectiveness and outcome effectiveness.In terms of operational efficiency,we draw on the research of predecessors and divide operational effectiveness into indicators based on “capabilities”,including employee integration ability,incentive and restraint ability,decision coordination ability,moral education ability;In terms of the performance of the results,16 papers on the historical influence of merchant organizations were systematically sorted out from many literatures,and the keywords were statistically classified,finally,it is divided into four levels of indicators,including business giants,business identities,economic achievements,and cultural influences.Finally,based on the established merchant organizations governance model to evaluate the indicator system,we taking Shanxi merchants,Huizhou merchants and Jiangyou merchants as comparison objects,the relative values of each indicator are compared.Based on the results of the assignment,analyze the advantages and disadvantages of the three business gangs in the business governance model,in order to inspire modern corporate governance.In general,modern enterprises should pay attention to the value of human capital and encourage employees in the long-term,should pay attention to the family-style governance culture and enhance the cohesiveness of employees,and should pay attention to corporate ethics and build a "good governance" corporate culture.For chamber governance and corporate governance,can be drawn from the ancient Chinese business gang.For example,inheriting merchant organizations culture,play the social governance function of the chamber of commerce,and considering the interests of stakeholders and strengthening the role of chambers of commerce in corporate governance.