Business Expansion and Structural Change in Pre-War China Liu Hongsbeng and His Enterprises, 1920-1937

Kai Yiu Chan

Hong Kong University Pres$ 14/F Hing W;,i Cenrre 7 Tin Wan Praya Road Al>crdrcss 2006

lSBN ')78-%2-209-764-3

All riBhis 1·cscrvcd. No p•rr of 1hi• puhlic11lon may he reproduced or 1mMmirtt'i1, in any form or by any ml"J.11&, dt'Ctronic or mcchanic:il, including photocopy, rccor 10be1>0J1ing rpore """'"al duu1 Chinese ch\\nt.:ters.. llu1 in ftlct 1t is ;a 11C'.'t' 11t•av of rcndcdt'tg ~ngllih \\'Urds-ln the: roml!l{ of ;t JqUlU'"C ~chef fl:SC.:fllb lo J Squiut W.,rd C.illigraphy bm "'""°" \Ve

Contents

Lst of lllunration< l.in of hblcs ALknu\;.lc:dgt"11 H~·11 r i.

Ro1naniurion and Me.lsun:s

Ch.apter l Introduction

Ch.1ptcr J. Chint:!lc Bu1inC$$ Institutions in -a NcY.1 Historictl l:_nvironnic:nt

Ch.apter .I The Making of a Busincs.• Empire, 1920-1937

o ... pkr~ The Ltg:icy of rhc Compr•dor Sysr1:1n; Co.ti Disrribucion and \'(llurf Opcc.uions

O.~ptcr 5 Su,in""' under Cirpor.nc SIJ\lcruk: TI1c 'ibanshai Pon land C,cmcnr Work>-

L.llllplcr 6 M~rkc1. Monoroly. ond rhc Smc: The Matd1·Manuf:1ccurin11 Enrcrpris•

vtl ;., xi

11

27

49

77

•)')

v' t.b"''''"

Ch~pcer 7 The Annu:non of ll.tnking: The China Ot-vdopmc:nr Bank 125

Choptet 8 Cundusion: 7JJ.mefa11g, Nucleus of Chine>"< Bu,ine» 155

Nnrco

Selected llihliogr.1phy

Gloss•()' 257

lnJa 26?

ill usu·acions

Plates fuUowing p. xv

I.I lru Ho11phc11g rn otly l\rpublicm Chtn...-11}1< dotlung. c.;a 1920•

1..2 n,,. Rcsoronr Ccnu:r for Chinc ~I li>wry. 19'1'

2. 1 Lu Honph ~fliu Hongsi,.,11~ ... compt.d

viii //luJu111/q1u

5, l 'l'hc Shoni;h•i l'onl•od Cc11uonr Work$, 1993

5.2 M 1li11 g'oltC uf Sh;inghai ~nltUl, 1_99l

5.3 A msi.

Tables

2.1 I he 11.n•ullO~ u( "cpwa.s, fo;uu.. c:apicJ :mJ raerva uf tht" 2.S fJf);.C:'l"I C.lune)C 15

modern bonlu. l?ll-1?;16

:?.2 y,...,ly wh.>b.ok rri.cs in Sh.angtw. T1:mjin. >nd C:n•ng:.h.>1r. •nJ rh< rri.cs 1-

uf>1I~. PIZl-1?36

l...1 E>Un1>tQ of Ch1n;i's indmt.W !lfl""-.h .s nude br John K. dung rod 19 1norn.u C. R.a..-.ki

~.I Liu t lonsshC11g > &.oil Jbrribulion f)3rtJ1~rJ.hjp.t 10J bit ~har~-holding> 10

in thc.n1t 1927' j.2 Uu Hn11g..,-hec1g) 1c:;il es1.a1t' holdlo~ :truu11J 192b 35 ~.3 fu1io1~rai of 1c:it ~met pri&.'t"S of rhe Cc:ntr:al Di~u-kc uf che SltanghJi ~6

luu:nu1ci1'111;1I Sc.nlcru.cn~. 19fl3-193j

3.4 Vt1l1111ir or good ... unlo;idcJ in the chM: \\llllITT'C\ under the 111211•g~1nr:11r of 39 th)I I ?:Sl-1934

J.S Nnd 10>.lny. IQJ(l..193- .j I 3.6 The"" pmfiu;ud ln«1)'mcnts ofSh11.ngha1 l'onliu1d Ce1nt11t \'

• lirblrt

~A 'l'lw n

Chapter l

Introduction

In ihe l.u1 25 ~,..,Chino h:15 witncssttl a period of rapid cco1101nie dcvdopmc:nL Not only hu 1rad< g.rown, furdgn di=t invounent ina=ctl. and th< numbcc nff..aorio mulriplimcn if the m•in ch.merer of ihis book: Liu Hong.dtcng, known>.< 0. S. Lieu' in the prc· 1949 period. On 4 Ocrobcr I 956. • m:unland Chin= ncw•pap

l'm1Jo:dc.ally, the passage ilbo rcv.;;ils • sclf-prodamurioq ufa Chino:;e bu,;rkSvcntlcth cenrllry. 'By rJ1c age of fony !\01uc.( -as Li11 hilns bdoved furhor. porrrnying h.im as tlll ' indt1•rtiQlisr'.•Two bioi;rnphcrs wrme about him. and a group of scholars catalogued his archives amt >elected some of tbc documents For· pubUaition.' Some ou1crs haVl' used him and >Omc ofltts c111crptiscs M c:tscs fut undcrsrnnding busiocsssrrnccgiC$1• and 'managerial thought'" in the late ninerncm h and early twentieth cemury Chinese bus,incs.,, lkccncly, Shmn:ui Cochran ha.• even LL«

Why docs instiru1ion;al dcvdopmem mam;r? The mulufarious ourlook of Liu's b11>in.>e:S. >lmilu to the»coforhpc cyf hi• husincss vo.nturcs, running" b1;sincss empire ou{.\idc the ronlrn cif one cn1iry1 Or. in a lltoce sophisrk.11ed fu,hion. what kind ufimrirution did Liu :1dop1 in opcnuin~ cliffi .. -rcnr eruerpri~? l~ivc111h:a1 1110.0,1 of his cnterprisey h~d i.ikcn 1h~ comp~r1y lorm of org:miz:uion wich Ii mired li•bili1)1 how did hISO for 1hcirsiw1ifio11cc in uodet•cinding Chinese business dcvclopmcnL

Modem Chin•:• bwin= dnt!opmen1 h .. bine$Sm:U1 OVo:r lti> p3ttncr>. hi> comm

Thcseam:mptS s0md >nw seem co be rw1uing oppa>irc ro tht line of chinking in '"but Alfred D. Chandler, Jr .. has Jcmom'trarcd in the Amerlcan bustncss CKfX!ric•ucc. Ch;111dJer aryu~ th>1t Americ::au CJ1U'Cprc11curs:1ud Ot1:,r-:t.n i·t.iliou.~ 111adc a series of invcsm1cnrs in 1 of Chinese bush1""s lo the modern p

1ep:u;nc cnnt1l-S. l'ha.1 ol>scurcs 01 her aspccu, sud1 :is in1cr•c1ion bL·twcen th.,. two." Putring roo mudi cmph:isis on ihc issue of oc1wurking, .imikr It> !hat of corp1>1c hicr:irchies. would 1hcrcforc hinder uts 111 1hc hi51nry of economic life.

Some other >Chol:m discuss Chinc:sc business JoJ «un11n1k devdopmcot hy cx:unining the- rnlc of ihc: S't;ite. Thr i1nperi:1I xr:ttc, ;according to these schol:tr' 10 businas dC\·clopmcnt cw be- illmory. RL'Pracncuion Jnd L chcy con>idcrcd Lhcir rights ;ig:iinSL cxccs.sivc impcriul dcmund• .... David r•un:, ornong od1'11Ucngrh or• Wc:\kne:ss is roo bl:tnJ an analy>is.

111is r> of 01:iximi1lng chi>wcrurh or 111ili1y of principals."'' By rhis. economic insrirurions inclrrdr nor only rhc m.rrkct, nor fus1 rhe farn, but als

behaviour ;md the rule> b

Thi> presciu research

"''" Sltollg on mJn.igemcm andcquiiy control, while bwin~s cxransion wcnr hanu in h•nd with 1hcir adoption of i:hc joio1-srock company nni Tobacco Company in Hong Kong In I !10~ ond branch.-d ou1 ro Shanghai in 1918. rhcy also !Dok the company sirucmn: uncil 1hcy .«>Id 1hcir .It.mo 10 ouu;ick" in the mitl-1930. ... Jt 1hU5 n1ay 1101 be surprisini; rostt M3ric-Clarc Btrghe, who a1ulj'>Ct'rwccn I also• b:uis for r:11io11al, IS and bdlcfits, calculoiion. To undemond ilusincss operation

· 11

hi~ .srudy ~~O rii.kcs inro consider:itlon tht insri(utionnJ contt9~f.- \Vithiq whkb businc.cnr, this study SCL< rbe WDC frame from l 920 ro 1937. In $0 doing. ir Aims 111 focusing on rhc issue in pt!llt'e-rim.< economy. Dc.•picc rhc fuct thar rhosc years >1ill wirncsscd a numbt-r of narional. regional .Lnd local ronnicrs in China, 1.hc·y ccn1ti nl y cousriruml a pcriQd ooorrnsting gl'tllrly wirh me day> 11fr

in1cmaJ l)rg:rnii:iti!>n within th• given lcg•l framcwnrk; and the rri•ngubr n:lation;hip bctwttn tbe furn. rhc macket, and th< state which touched upon chc- insUtu1ion:al :trr.a.nganrnts in 1n:irkc1ing Jnd h.:a_nciling n11rkn ctunpctition. Since all 1h01C: lines or bUS1nce thttc chaprer; will individually raddc the i»ucs wilhin their own i11'1j1mional fromcwork for the wlml• period. Ot•pirr 7 focuses on 1ho i~uc of biuin:1ck to discussion in a hrn:1der co11tcxt i11 1he conclusion.

The bunehini; of an in.depth m1dy on the i»uCS uinccrncJ co n nor be 1nad1: pc1~~iblr \Yitliout :iCCC.'\S co ;1pproprhue clocu111c11L~. ln ch i~ suuly, l h;tvt bcnditod from .irehivt:S ,1voibbk in th< Rcsou= Cen ter fOr Chinese Bu,l , C>pccuilly company rcgistr.uions ;ind tradt' .usoci•tion n:corru, c:unc from 1hc hangl1:1i Municipal Archives"' :anJ the archive• of rhe Institute of Modern History. Academia Sinici, Taipei. These various Jrc!1ivt$ pnwidc solid docwncnt~tinn rc .. r this current rcsca.rch.

The goal of 1hls sruwbl~m-sol ving for rho prcsenr. By idcmifying the complex ins1irurional arrangement• aucl dovdoprncnr in Chine'> culrurc' will be fonhcoming.

Chaprer 8

Conclusion Zhn11gfollg, Nucleus of Chin ese Business

lnis study CJCumoncs che rcl.,:ion,incs. in pre-wor Chin• through • major case stuJy, Liu Hong.'ihcng's emcrprhcs durrng the I 'l21K •nd 1930•. In particular. it "'"' whal kind of !llJ'UCLUral ch•ngcs would hO\T r:ikcn place in Chinese busi,,_ on c:xp:msion in the inS1i1u1fon>I co111oc1 of ll'(l\tblican China. fa •ruwcr. it >how• char. d CJ1vironmcnr, including chc trnmfonnouon of the comp,.dor sy.trm, Ille implemcnt:11ion of the compwy law system, ond 1hc crnrrgene

(ll her diroc1.ions. Although tbcways Liu d.cah with co111pctltlo11 illld 1h~ (Orpotu1c form \\lcre aiTocted, rhcse shifts \Vere not fuodumenrol to the internal strltcrurc bc1wct1t Llu -a.11d It.is bu:;i11csr.es. T here \\ta.Ci J10 extr11~io1\ of 111,.11:tgcrial hicr~rchia in hi; businc.ncinucd m be personal.ly involved in r.hc m•n•!J= foe his 0t1111p:mic.

QT(;Ucd rh2t b11 iu flour· ancl cortotl-milling in chc IVU002nJ fimd., frol11 >0J11< of the llong's companle. "'"'" dcpo.iml w1tJ1 Ir whkh •lso lent the fund• 10 mher needed companitl owned by 1hc Ron~ brothers. 'T'ht'"c finunciJJ .a .. tr:tngco1cnts allowed thc.n1 ro tn::1in1ain 1hcir managerial lo:1dmhip unrU 1hc 1930, wbcn chc:depccssion .cc 111. Prcss11n: from u1c b>nking rocuoniu1m of 1he conon mills furced Rong 2'10i;jing. who hJd bt.'t'.n the general mm>gcr of lus mill> for r\\'O dcadcs, to step down :md lO ~CCCpl mmoigcmmt under die con>oncum. The 'fuxin Cl\lup' of me nour n1Ub WM .ilia rqional co have achieved • comiderabk dcgrce of mdepcndcncc by setting up thdr own 'hc:idqu:arrc~ con1pany'.1

In ~nuthcr wdl-known cnse, 1hc Guo brorhcr. l'.lf rhc ' W111g On Group' bc:g:in co ~cck 1hcir fortunes ovcr«.':!ll by selling fruit~ in Sydney. Australia. In the 1 '>VOs, 1h~y moved iJm, the dcpan:mc111 store- bu~incs< in Hong Kcmg whic:h inuugurnrcd tlmr bu•incss empire of m•rchandizing l11 Sidney. Hong Kong, Guang:•hou, ~nd l.ucr In Shanghai. Togcrhcr wic h their hmiucu en ovcr~eas

Cbinc>e r"mitr;tnc m1Jtifurious operations in suppon of1hcir 111:111ageme111. Tbc Wing 01101111p:my's 'finance depan·111cnt' W'!tdm) chan11cllcd 1in:u1ci:U resoun::ful lnunch o( mukcring and :ulvc.rcising su•tcgics against a foreign l'iv:tl, the Brirish·Anit ril!'.u> Tobar.co Coro puny. Ar its p~k of suvcess. rho funiil)' co111rolltd factorii:.< in Shnngh:ti, Hong Kong. and po5C'J.!I Asia. Their swry dilfrrs from the atSc of Liu Hoall"hcng .md of.he Rong brorl\ers in rwo 1V11ys. Rwly. rl10Jinn fomily conceotrared :Umost 011 Ot1t line oflnchmry - cigarcne·manufucruring- sinct rhc 1900s, while che orhct$ ventured imo many others. Secondly, bcsidos bank loans, thty raised funds from rlw pub)\, by issuingsh1tres in rhe open marktr. The Jiaos mnnage, such position ce'J.!CCI to maintain in th.< 1930s wh of the

fin•nci•l •nd nujor m:anagcri.J decis m N•nrong and dscwhcrc.'' Howevinru ruro.d unfavnuuhlc and dchi< mnunrtd up in rhe 1920s. 1hc >ccnunr< office came under serious arucks fmm shardioldcrs.'

The ~ount> office irsdf was indeed not" cn.":le 4CCl)unu ('lflicc •VU u ready lm1irudon. or parr of 1bc bu•iness bcrir•gc or tl\lcliticin . fur mo>< Chinese hu~i11M1t1ncn. Winn n1~de the :1ccou11 cs office or iu; cc.1uiv:tlc1 It hc:sro\v 011 ri 11c\v mcuning in bu5incos financing w·AS possibly rhe 11cw socinl co11tl'X1 \\ltd blL1i11~ c-nviron1n~·nr in du: early t\Vcnritt.h ~t:nlul"_)t. Novel busincs~ instirurions. 1uch-as-mnlp:lny l:t\Y :t1ul c.·ontpany Ofbr:&11i1..ation, 1ncxlcrn hank~. s1nck excha1tge, -:s,_11d •o Qn, which were inrrodut'«i ioco Ute cnu111ry in rhc 1.ue ninccecnth and early twcnncLh Ct"Ol lJrit'I, rcquirt...J C'CODOmic or~r.JOOOS Wtthin tbc~~ lflJ.titutional sc11ini;.~ 10 lleco1ne 'n1M"n·. '1ranspucnt'. and ·~ccountublic' for 1hc prom:1io11 of th~ 'public' funds. Thi.s envisaged• new Ut who were u,.J ro channdlini; fun of their businases would thcrrforc h•vc found themselves the "'3ponsibiliti"' •nd cxpccmiocu cmbc:ddcd with these n!ltlltions. For olbly be no difT=nc.: bciwe of financial en1bc1:J.ltrn~·nt, S\lCh kind~ of OptTJcions cr1 t:.sinly in,,l~c c1 it.it·islt\S 0 11 oorporntt" gover11ru1~c bm rhni would require-mo~ 1hai1 di e J iswssion, llgluJy providuggcsred arc cnnccrns wiih no more 1han an empirical ol>!;CJVatlon: Chin= busines5mcn of tbc hue Qing anJ c-.irly rcpubtiC':lll period rt1>1e of. tr.ldi1ional instirution, the am.uni. omc ... t(J fuunc~ th cit business tnd m uphold rheir managerial leadership ov.r rhcir muhifarfous cmcrprisc:sc 11 •lso provided sccn:t:uial suppon for cocrcspondroCL" bc1wccn 1b.- busmQSmcn '1Jld thdr diffct't:lu cmcrpru.:.. h mighr b..k rhc :idrnini>rl\IUVC anJ oq;aniT.:ufonal vigour u in Weotcm hwin= cmcrpriscs in modem times hm ii '""' ccrrainly an imponam msiimtion for undt•rscwding Chinc:;c bu.sines5.

The ""'

"'cord.ingly, Chines~ business is seen•$ llQ mQrc than • lt>OS< all tancc or imlivi. upon which rru;c gcncra1c:;, and managcmcnr run>~ it ciScs 2ncl full~ ;15 nt'l\vorks ch:mge 01ud aJrer. Ho\vover, rhis ~'itudy ha.~ den1on.~rr::i.tcd d1e f.1c1 chat che viiality ()f rhc Chinese busin.css empires in the republican period rei1c:d llpon the 6nandal workings of the accounrs otlicc. h financed the busioc."5mcn's differcm vcnrures, i11ettso11rtli•ted i1miiurion of which irs rise and fall depended 011 the nutural deuh ofi ~ bo~~' Wlm wns du: rdarion;hip b, one c-Jnnot tell.' Whar we can documom is rhAt, in rlte mhivcs .,f 1ht accounrs office. ooe cm tind i>ooks nwcring rhc financial dcmiL• ofi1s boss and oChi• family while he lived, llimostdown w 1hc ncgligibh:. Ir also houses eorm:;pondcntx! from business, F.unily ~nd frl~nds, as well

bccwt"Cn the ""l'iial for mcrchandi1;ng in rhc c:trlicr gcntn1ion$ and um ~r rn, chis study has 2lso dr•nonsuaml that changes rook pl•ce in three area> whi..h had 1111 unpact on 1he W~)'$ Chinese lmsincssrncn d .. ~lr with compctimrs in the marke

l C>l Busii'm E..\'pinuinu 111111 Srrilt'fllJ'il/ a 11rngr. rn ~ \\7,r Chn1"

iotcrcsr of .;l"pQ>iu)r$ from rlw ddiiult of banking 11'6tirutiQns. Privo1c mi:ans 11f financing. therefore. had tu go thcough the seeps of formal banking if lacgc ~mo1l111s of C!lpirnl hail ro hr g:11l1ercd.

Th..- Sl!.CQlld major irucicut'ional change t.o1ndy. On the on• hand, it 111c3nr that 1he W~srom emcrprise.< h•d w cnl:1!gc 1hcir invcs

bU$incss environment cffi:crivcly after 1hc beginning (•r 1hc c:cond Sino-japme.sc War. Th~ induJcd both the 'banking' and 'curroncy' l'l:fonn• of 1935. Both ch>ngcd 1hc financial Stttor by de-1non.,.arizing >ilver oncl inc:reamcss Kctor in P"'ricular dMCn'CS •mnhcr l>ook fur invC$tig;11io11.11 W\121 n111>1 IH< s;iid hrn- is rha1. :is those rcfonm wen: curicd our. Chinese businessmen cncounccrcd a financial rcglmc srroni:ly lingcn:d with the >talc, or under the •C•rc'., supervision - or the ,qo-callecl 'h11rc:u1crarie c:&J!itnli.~1n'. Tht fi11ul:11ncn11•l~ to nrgodntc for fin:uacial resource• thcrcfo1·c began lO chruigc.

Noncrhcle>s, ll\c.\C' reforms became crirkal co 1ho >lTllCl urc uF Chinese hu~inc~~ n11ly fx'ClUJiC of .tll i 111ponan1 hi~1orical t"VCIH or whic.•IJ it$ i 111paet \\ICllt fur beyond 1hc i111porr:mrc of~ single insd1urion - 1hc Second Sino-Japanese War iisdf. h altcn:d mo>< of the fundamcn12ls in polhia. 1hc wdnJlht> 10 enhance> it> power in roour in business ntanJgrn1cn1 such as probsino;ili~n1 and scii:.ntific 1n2nagcmcn1. lt Jbo wuncsscd the introduction of lll'W manogcri:iJ 1cchniqUCli, Suro 3> COSL accounting anJ duublc-emry bvok-k.eplng. Togo1hincs> n~1urr'. However. similar co the insrinnion:il wnge> Jis.iwcJ above. these new irion ofbusin=. prtSCn1.11ion ofligu= pomuially rdt'V'dm 10 decision-111Jking, :ind probably a new mcnmliiy for bU$incss, !hough being imrodu,ocl :io,I pnlukcJ. illd 1101 have on lmp.ict in :il1crinf, chc holJ ing mucturc nf the Chinc.

of ticw iools of m1m~gcmcnt, not tltc nudcu.s of business itsdt; One n1ight ~VCJI >11)' that they were .simply fuhlbns ut the time that Chinese busincs.mcn picked llp, put 011, :md rh11s ch:onged dicir oudook.

·10 hove s:Ud thi.s doc$ t10t ni1c niuccccnch and e:irJy 1wcm.ied1 tcomuries wore a l{ey rertoJ for rhisgrowch. It must be norcd rlm during 1his rime. hmh rradirional and \'Ve.stern insrimiio11• existed in China.

lnn....W oF\>rini; Jithocomiud, $0mt nf thc.c iusti1u1ioru blcndcJ togethn in the woclung$ ,,( Chmcoc business. The sy>"tcm of 'i;uarao1c.-d dividends'. for cx•mplc, w:u commonly nsed :unnng rhc int!1mn•I cnrtrpriscs whkh odoprcd the Wc;rcrn insmution of 'j()inr·stock cqmpanici' io r.lisc apiml lmong rhcir Chine>e ;horcholdcrs. The 'comprador sysrcm' wa> Jnorhcr n:Jmplc in which the 1 ~diiio11:11 Chin(~C' business instituciou ofguar.i111nr\hi p \vorkt:d in 1h~ \Xfr,,1crn 2i;cncy howe5. '11ic Chin= fumil)• •ho Found room to survive in tlic manai;cmcnr ofWesr•tn·sryle basincss cntcrprli>.'S. Tlicsc 1mdi1:ion2l Chines.· and Wencrn in~1 i111tic>11.< hlen. /\,, Chin• bcc11mc mrm· open "' foreign trade. there \Vould hr 1nort' cx:uupl(!.'( of the l\\IO kinclj; of ins1iuu ion' \Yorking royerhcr.

Notes

Chapter I

1. On ChUt-1.'., il\rtodu,1ion or comp~ny t~w .1nJ cnrnpri~ rcf'orrn\ in rhc 11>80.« .1nd 1m>- x-c C:uuf.., Ttg;ai~'4 7J~ .. c; F..tguo:i fPuU .. y :.uul '""'""Cu.le Ocpanu-i.c1u. the

t omomrtn- o(A>luy Morml •ml S-ohbu Xwnd"""" (l'ul~1 Ranufa" Ccnccr for t.hinUC" 8usincq; ''"•ory. Sh1ng.h~j ~01\lil or Snci:d ~ICfK'C\. co npbin 1his t~

th< >111hnr. who il ij;nnnm of the roc:at l>nJ!\Ug"'-4. Wu Hnn!;'hcni;. 'Wn Wci

~(P"lp/if R.png.-, *l,,iu Hnnwhcng itc: Qiye •rcH11i yu Jin~n_g' !Liu f'iongsheng'.s c.ntc~pri...;c

1n\'t'mnttnl and m:u1-agtinCJnJ, in Shehui Kt'Xtu! lSOCbl SticnccsJ, 1980. No. 5 (October l~HO). pp. 08-72: •lso hy M>. ' i .un jiu 7hn11gg11n Liu Hnng~h~ng Qty• r-.1.h•n i.hn%'nsidtrablc n111nbcr of book. ... incl )!'dclC$ on Chin~e tntul11ge111e111 thinking in v~hiC'h l,iu \v-a~ ;tlSo studiccf. ~rhnsc tlHU fnllc1\V JT(' only Mun~ concerning hi,i;rrtric1l 1n-:1n~gen1cnt 1hinking: Zlu1n Jing. ed .. z.h1111ggs1n }i11tlr1i li1iuzu Shi)'9'ht dt }il'f}IUg Cu.n1li Si'(/n11g (~1;in';lgcri:il rhnug.h1 l>i' nar1oiral enrreprc:.ncurs. in 111odcn1 Chin:l J (Kunnlfn,g,. Yunnlln Rcnn1in Chulr.tn$ho. 19K81: Zhong Xi.rngi, 7.IH>11gg11• Ji111l1i Mii1:11 intl cc..'Chnology in modc:nt Chin~ cmcrpri>c

I 2.. Sbtto\llU ~hl".an E111'ntdin,t Gt111dt N~tlM"'~: \Vatr"" /4pt1#N, 11N:I Chind< C••f'••1tr•111 '" Cl>m•. 1880-1937 llktl•"'"" •f &.pirr. EsJ.J" /'ronlltrf ,. GrmJd s. c,.i.-(Lo11Jo11, l..011sn1;n. 1973). pp. '1-26.

I~. Ii. Cord.>n R.dding, TINSpim•fdint>t Otpl:a/11m lll)' Juict Lk>)JI (Cambridj, ... Can1bridj;< Uni,...hy Pm..1986J, pp. 1411-186: >od Wdllngron K. K. Owi. Tnilirion •nJ Ch.ani:c 111 1.hc Clunac Bwinm t'.ntt'-rpn1e The r~mily Fi"" Puc . .\-'I (Spnng..SUmmcr 1998). pp. 127-144.

lo. Alf ml O. l.h>ncllcr. Jr ... le•/, imtl .\NpW ofl•JtmrM Ctpiru/iun (C'.>n1hlidgr. Mm., lldlmap l'n:>sofli>rv.ml U111"'"'Y p,...,_ 19')(11. pp. M~6. His chC'.1>1> on thC' ~SC' of Amcrian hu~i nesscs c;an he 1r .. co:I from hit rwo nl:&jor arficr \\'Ork$, S1tttt'V 111ul Sln1r1111't: OJ.tptm in rlx I /11111ry 11/1h1 A1u1riritn /,11/,411""1/ linttrprisr (C1111bridgc. M;w .. MIT""""· 191>'2): 011e,J,tcdn.t~ for ,h1; l1.cano1nic 1>r1 rarru;incc of t)q,"3ni"t:uinn!: ThC' Ncn''"'* J!Jf\!1.,_l • 1n lf1n1r1fl1H ."it1ti1>f"SJ Rrvlnv. Vol. Iii , No 4 (/\11gun 1?96). 1'1" (,74-

20, \YI. Mllik Fruin, '/\ualyting 1'11dfi< RJm Networks :u1d M;uktt« J\J1 lmroducrfoo', In \XI, 1\tllfk Fruit>, "-"ti... Nt'Nt~tkt. l!f1rrl•c11, and the P11rifl< Rim: Suul;eJ in :;1ra1cgy (N~ York1 Oxford Univtr.Sit)I l'tt:n1 1 tJ98), pp. 3-3 J; for U1~ quotatio•l, .o.(I(: P· •j ._ nus is .1n obcrvation ntldc b) Fruin b)• su11unlrbJng 1hc- findin~ of Oill\ll htr .lrlicJe in th:tl ~lume, HilW2rd E. Aldrld1 >ndTomo.'1tJ1'tning Chh1d' Nt1wru·k1~ p, 182.

JZ. Xu Dixln wd Wu ChMgining. .. Zlmllfgt» 7.ibe11d1uJi F.1d11111Jhl (A hi>t0r1· Al dt'\'dnrmct11 of Cbiueity l'r= .. 198-i); Cory I bmilron, ·Ninctccn1h O!ntllr)' ChinC\C' Mt1rch11n1 ,l\.1;$nCi:11ion~: (.nniplrncy or Con1hin~1lon?~

Clti'11g-sltil1 11'ln, }iltnttn11 tit flim1qi1111: /1111/11/ :1.holl[J11o (!nng1r

Z)JUJ1, )'i11yiu (The MJ'dJUOW mmfomtitklu.:. ~uJy ol tbC' 0:11npa.uy A)'$1.ttU m modem Cbmoj ISh•n~.u, Slt.anglr.U Shchyui l«>ueylW\ Ouib.lruhc, lOOZ): Lln.un Cheng.

/J.l>M11rr •R "'""'"' CJtJ""' &nrf'"""''1. 1""~HJl1 "'"'"'.('I Fa:J1.111Jhi r,, hi11or~ o( 1he clrvclo1l•nctH nr I he Rong f'Jtt1 ii)'', .:urc.,>ri'll'~l (l\ciiing. Ri:nnlin C!h11h,111shc. I ~1KS): f>.iiihcni; Xi1ong Qiye1ih• l\l~111x1e>1,u1 [),u/r,,114 A7NJUK Q.1j't11tilA hilirnrynf'tl1e- P;i_lihrngrncrrpruc gro11pl (N!anrnn_g1 Ji•nlf'll l;11)i Glurb>nshc. 19?11)

31, 4\cC' N.1nk-J1 O:l1n1C" Jin&J1 Y.anjlu'Ora :1nd Nankai Oa.xue Jingllxi. i:onip .. (J_L\·r11 Y.11W1ui c,iluoi S/tihm. (Soun.t'j on tht hlsuuy of l're-1•. I ~67), Ill'· 304.-.'\4 Ji nn iht r\1Ul)"Jn& Rrnfher~· Tnh.1~ro ( .o .. sec Sllennnn l othnin. Bit /11111111,u 111 ( 1'1h1n: Si11o~Fnrr'P' Rii•.,,/ry Ju 1h1 CilArttrt /111lwtry. lli.9t>-l!l:JO (C•rnhr1

17~ f'/111rt U!~ 1-/J

33. Slho1gh11i }'011gd,1 G~n.(i11/~ Cl1rt11)lte11.~. Ru:.h11H ht- Gnlr.11h, l'P· 7 and l ()-JG. Ju hli 1'«hittian Xucshu Taoluujl BLinjl \Vciyu:u\hui [Edimri.J Oionmiu.ce ol J'rc;

51. Set die profic-and·lo•uc""uu1 of Ucu Oug K, d>tcd I i.'> 2 3(..R Oe Vnivmiiy of Hong Kong, 19?2). pp. 110...129.

2. On 1hc Gun famil). >CC Shanglt~i•hi f;111g1.hl Gnnycju. Shani;h>i Mbnfanw.hi Cnngy< l~rin~i, Shnnghaishl (';ongKhJng:-Xing:ihc:ng c;u.u1lij11. "\'011g1an fnngihiYinr.111 (-;nn~i $hili.un.n, ~~ .• Y011girn Pnn~h; ~7nrtt11 Cn11x1i f rhc Wing O n Tt:xrilc::s ~nd l)ycing C;,mpanyJ (Beijing. Zhonghna Shuju, 1964), Pl" 1- 3 1. 128-133: Sh>ngh>I Shd1111 l\cicucyu;in Jing~ Yanjiusuo, ton)p., .S/J.u1glu1i )011glt11 (itntp l tlr CJNF1ahr11g Fit:.1111,, /w11 (f11iufl r"rh" forru;1rion1 dt:\'Clofl1ntnr .ind rcfnrin of 1hc Sh:1ngh.1i W.ng On Co1n1•.1ny] (/;h.ngh>i, Sh.1nghoi Renmi11 C:huhansho, l ~H I ). pp. 1-l l . r>3- 83. i n - 132; \X'

Enlc_rpriit·, '" R...ajoW".uy An1~v:anar Brown. bt. Clnttoe 8MJillh# £1110-prtlc ;,. 11.Jia (London, ltoUJlcdg.:. !•)'))),pp. 811-95.

1. Shntg f 111< king of m;udi I i u H nnphenrJ (Xinx i•ng. Honan Reim in Chuh•n•hnghai Shchui Kcx1~1u~n f111gii Y:1nfiu~1io Zh()n,i;.gun l.liynhl7Jl1~o Y;inrr11 i'.hnngxio, cn1np., 7JJi1n:gi1b Qip1/Ji•.'i11t1uttl Zilt~ttt ,~luh1 J" flirnJi~ {Ut:aloguc .ind i11rm.l11c1 loo of 1n;crnfll1n 1n:nai;il; nn t;hlfl~ P.nrerprisc Hi.~ror.y~ (ShJ111J.h-ai, Shangh;ii Shrhui Kex~1C)" 1;1nJlngji Yanjinsuo /.honusuo Qiyc;hi lili>o V:1nf111 1.hongxln. 2002). pp. s-6. 2 12. 1 lowovcr. I found thAl lhtcn run 1111dl rh>r \/< Forihe.u

Hoover hutirutfou, _t 971 ), PP· 2.l(.-285: {or;~ brief UCCiOt!UI or chc: gu\

lndex

.1CC0un1;&11t,JH ubb durtttcd 1.«ounranr 52-~I. s-, 07-M. 70 7l, 82. 81. 8~. 91 , •/'l, 111). 161 . 2114nnl 13- l 14. ll4n70

ok4.U\1Ullhg. enJk. bovlii~piug 8. 12-l),

ZS. 52-53. ~.68-71. 85. 87-88, 92-93. 98.110.117, 123. Ml.1·19.161.

1bJ

cmt '""'""""g qK, 110. 163 do11hlo-97. llU, l~( .... l llt, 1~1-1 43 1•9. 151-154.

1)7, IC10- 161 . 1.,3111>. 1HqnJ9.

19Jnl45. 202"94. 2Mn1W. 230n25

cumcnt .1a101tnt> 6-. -o. 141-143. 14'1. 151- 152, 154

rn.otnufu.ccunng 11ccounrs 87 profir-aml·k>111 1 r.1t

bahinccshcct 68-70, 87189,JOO, 139, H I- Btiuin :!'i 11~. 148. 154 Briri>h

Jlongbu L!8 bank-o11db.anki1tg 2. 7. 12- 1.,, I!), .!..!\1 ?.7.

34,.37, 4.2-\.1 , 50, G", 80, 85, 12~

15~. 156- 1 5~. 162, 177n16. l7811n49-50, 1.J 'lllll75-76 fordgn bMk 211-l l , IS7, 19}11 17

l1110ng 9

Cold.-r. S. I· 57-59. I 99nn60, 63-6•\. 20011711, 2U2n94, 215n79

C>n Y11rung (Zon Yue Dnng) 27, 195nl4 cipirnl 4, 7. 11-15. 21-22, 2K. :12-33. 37-

38.40. 67. 69-lO. 71-78, SO-~!. 88.

9.J...95, '17-9~. 119, 12'i. 128'-131.

139, 142-143. 1 4~, I S2, l 56. I,~, 1 61-1~2. 165, 187nli5, 203n l lll.

2 1 ln33. 2l8n4

>111hori1

und (11rkc 1111rcn1.nr) J.l, 41, 98-100, 114- 12J, 162, Wnl!I

i-'dopt11cn1 B.rnk 4o-l I 44-17,

IZ'i-15'1, 2JlnnH-'IS. l32nS8

&nkmg Oq>.imn

:rn lnr/,,.

Chinki:u1g (Zhing) 27-29. 49-76, 7ii,

Hl, 85, 121>-12i , 191nl06, 1'14 nlO. 1%n20.197n33, 199nu l ,

201Jn68, ~111 nllO, 202n94, 20'.l

11106 MJnch11n•n (Nnnhe:i.~. 'ill- 6!1, 63-f,,, 71. 78, 811, 126, I \1'111 IO. 208n5

eoa.I di!tribution fhct'"'ork) l . 25, 27-3 l , 38,nd reform 49-5l. >7-7).

161 nblig:ir1onf 511-51, ~8. 62-63, 75. I 1J5

nl7

c6gi1u 50

Con(uci;ullJm '

con,oUJ.c

:!74 ,,,..,,,.

f'in:i.ncing1 JN1tkt1 l>u. .. Joess fuuinc.: z. 4. 1 l-1 •I, IT, 20-Z3. 33-3~. ~t!.19, 'H- 52,

;;4--55,'17- 58. 62.6&-82.&S.87-98. ll3. 125- 164, llll•t.!5

fixed lo= 80-81 ,97, 129, 131, 133-146, 1~8. 152, 1S1 , 232it58

·nour kin~ ofChlna' 157

Foh Tai Co.I Compo11y l8, .10, 38. ~.1, M, 151, 181013, l91nloll

tC.ccign :u1li~tbrdgn -103

comraoy. enterprise:, f:i~tory, firm, otc.l\.~ntik ht>U.\C', nrga1Uurio11 241 28.

)C)...51, 5~-55, 57, 7~. 99, 102,

100, 112- 113. J 15, 19do6, 19>

I\ r; "'""~tiitloo I llJ, rns. l SS conne'(;rion 24-25

con:rulaio J4. 36. 145 tlircc.1 invtS;n1cnt I clo111in:uion, en17m.ichn1ct1(. JurndK:rinn.

pmrc:crlon 12, 16, 22-2'l. I 05. ~OlnlJO

n~"

G>1ddl•, Rohcrr 6 gcn.,..I manager 28, 3 1-32. 37, -tJ, 'i!l-6Q,

6~J, 72-74, -g._go, 82-86. sCJ. 97 .. 1)81 lQCi-1117, 109~ 1 I1 , 116, ll3, 157,

18 ln8, ll!3u32. 20Sn 128. 209nl(I,

212n36,233oJCI g,,.ngsi In~ .11t. Co1up3.n\' l..:i\v SJ 0 1ina M31d1 Company (D,1 Zh•nggll• H111• l/fli G•,,p•) 118- 120

Greot [kprus1on J 62

Guangdong 16, 112, IU - 123, !bh172

Guontdong PL'O\•lucH:il Govcruo1co1

(Gu,mgdont,il>

Ho ~lung (0>.J C.impall~), OllnkLtng JO, 66, bll, 191•10'), 2030106 . .!1141>11) 19. l.!O

holding (propcr!Y, >lures. •nd .kpong H•nmin 167r\.l, lfi0n4 Hu•ngpu R,,..,. !O, 13.15. 31. 34 lluboi 82, 112.-114. 118, 126. IS6n56 Hun>n lll- 114, 118

llu·Ntng (Sh2nl!fi•~NJ11k1ngJ ll.lilw.Jy IOI , .!19n20

lllfl Feng En•mcll1ng Companr 136. 1?3nMt>

l hv.a Fnong l'7n11tu\ ~pio11ing Mill l 87n70 H"ia Kc:t" f'orrllnd C.C'nlet1f \Vork." 186n56 J lwo Sh111~ C6, ICtl-l(,2, 196n l8

ln,·c:mncnf ~inker 1>8

J;ip>n 16.25. SU, 120. 194n6 j Jp>nc. 3. H.(.o-61 , 121. 18?nl7, 194n6

•n1i-J;ipancsc lx?""" 105 •11ll·)lpJncsc JlOlicy 11 S •1c.ick.thall

.!70 fntlo.

firrn.s 3 m:itcbc:s- 110 1n:uch 1n11.nuJ;;icrurcr ll0· 12l

DlctCh;uu~ 50 O"ctOU J 1 l

J"rdioc, M•d1eson & Co 191116 Ji.m 7, 158 Jiang Rinsqiu 21 Sn83 Ji3uguJ 12,28. 9'J, 1111- 103. IO~

l06. 112- 1 M, I JH. 120, 121.1

Ji•11g.i 112-1 1~. l lR fLUJgylo (Klongyi11) lS. 35, 631 68..{;9, 12(,

Jing Yu•mh•• 13 Jink.'< Ril•d 191/1158 Jiujiong 25, 32. I 09. 112 Join< Bu.In"'' Ct11rraJ Offict (l ;a11!1t

Yi11crsu• iCJ>11gp1n) 117

joim.;1ockcomr" 'Y 7. l'.}-M,32.38168. 70. 2311nn29- 3U

L..nd &nk orchln:i 137 I.ind .!ecd (,Trio deed) 22, 34, 36. 8(1. V5.

141. 145-148, 161n8, 1Slln7N.

llUn too., 230n29 wwnfBonking 148-149. 161 L:iw nf Mert han1> 14

l

Libnog;ug 24 l iu Jiji. li'r t icu Kr1h Ktt Ii" JishG.71. ~5. ICU.

I 12. llO. 12(>-117. W Yinehu 1'17

nixh1nL"-tool n\-.i:k1ng 6

m>n•g

27K /111/t>

M!1.11c.hurja 16. 73, l 1~ 120 Manchuri.on Cri.-I03. 107-HI~, 1111, 112-1 13, 11 5. 117- llJ. 217112

pricncc 121- 122, 118 Mmls11y of Foreign AJT.ir:< UIS Mlui>uy nf lnd11>try 121- 122, l4'1

ru'"'o1-.oly 5, 53. •>1>- I .!.3 Morooo Eilehl 19

"'" 28-,30. 35-36. I 881180

Non M• Teu 216nll)U

N>.nld11g CN•llJ111fl) 16 . .!2. l5. 33, 35. S~. 5,, GG-68. 91. 111r .... 101, 109. 121, 126, 128, 177n46, 181nl3, ISRn78

N:1nrung (Nantnng) 68·, 1'28. 1 ;8-151J,

1811113, 191nl05.204nl 17 N-;tny~ng Rm\hc.fl1Toh>lceCnmp.1n) 6-7,

158 n:nion.a1 carirJ li»t~ (i\tlinut :il1111jin.) 1-l.

167115 N~uion:il l.omnlerct.1l TI:tnk 1~2. 134-l3S.

Ll7-13H, 144. 14C>. 152. 15-!, IRRni 9. 211\nlOO, 230n33, l31 nn44..,,\5

N-arion"I Defense rllnning Comntlrn:c I 16 N:1rK)n~I P.connrnlc Connell tQ.1111ng11nflngji

\\1ti111.r11h11i) 11t.- 11 1. 224n8C>. ~Z5n9 1

N~rion-at Entc rprilit Contp;in)t 47. 193nnl44, 145, 146

N:1rinnal Fin.ind-al Co1nnliMion 1 lfJ i't"Utional R6011rcc:s C.01nmicrcc I l('t Nafio na lisr- Govcr n1nent, Jt!t sr:ur

N>rinnolisi (Nonj1ni;). Mtl Chine" Narionall~1 P.~1 ty

n:uionali1t1rlon 1, I (,0 n11rivc.b:ank. «e bank ~nJ b;anki.np.

n.ui>c b.utL no«lnrd.r 12. ~o. 197u3.I

No: 0 •1ntt 11.ank 1118 n 7 S N« Shmg Chen C>.il Comp;my 6S Ncr Tot Shins Co1I Cbmp.ony (Mcn:l'"ul

28-31 , ~z-~ . F -6'i, &8-70, 7'i, -s, 80, 134, 1Kln8, 186n26. 188n"O,

t%nn20 , l2, !'), l97nJ3, 199n64, l0Clnn6!1, 711, .!02nn91 , 95, W4n 113, 2101123

N.., ·i;,, Sl1ln!f f'.1i11tn Crtck Wll>rf .lO, J9,

69 7U, l l~- 1 30, 13q, 182nn25- 26, 183nJ2, !U(1n1JS

!'kc 1ili Shbi~ TungkadM Wh•"'"' 31-'}4, .l9-411, S1-S7, (,(µ, I. 68-70, 73. 75.

130-134, IJ?- 140, IH, 14S-146, 18l n26, 184nJ9. 197 n33, 201nll0,

lO~n I !8, l30nn29, JO Nnnh 'll.-'luri l8..l9. 3S. 39. 5S-56,

(>l!, 80.181n8.183n3l.188nn79-

80, 230n29

5111h Wlm{ 19, 3\, .3'1-lO. 5'.>-~" 61 , 18Jn31, 184n.~9. 18Sn80.

196n2?. 2301129 Noc 1ni ~hing Wlm(C,unp:iny 29. 35, 6B 11r:rwruk1 lll'tWorlhlp 7, 11. 13. 25. 28-:H. 38-39.

42-'14, 52- 54. (1 1- 6'1. 61:>-69. 71-7(),

{ndfX ~1?

sn, 106 131 , 141 - 142, 162. 1-Srt1s, 181n8. 182nlS, lOJnll I, !l>\nlll, 2050 I U .. 208n2

pcnon;al m""•s, Z!. SO. IS9. 11\ I,

173n6

QingTrs

RcvoJutiol).

l!J l l 15, 22

Narion-ali~r 22 Ribuig:lllg. Shih 'Hwd Kiong, za Whol Kong

2·1, 3 1, 34, ~6. 3?, 6!)--~. I04 Riv.rTratling Co. 1211, ll7n 112

Rong bro~•«• 7. 15 7- 158 Rong Ztl11gio11.g t S"' Rowe, Willr.un ~ Rulfuxfang 1:!

nlcugcnngh11:1. Longl>tlU Dimici 2A-25. 6~. XS. 104

Mon1cipality nf c;~,er Sh.:u1.gh:li :!3 Nanshl 23-24

l'u.iong 23-J.5, 2H. 31, Jl\- .IS. llCI

r.oo 31 Zlr.ibri 2.t 35

Sh:ingh.:u;\_genL of the Chint:st' Enginceriut;

wd Mlnlng Co

!'ih1ngh.1i MuriiC'ip·:il Arch1\it~ q Shanghai !\1unicip:il Councll R2

Sh11nghui-N:an~lng (N:anjin&) r

134, IJ6-ll7, 1;1, 181118, IS4n43,

185n5~. l'I In llM, I %n 18. 200nn68. 70 -1,l09nl0,ll2n36, 213nn4>-

47,ll~nn70, '•,l33nl0 SMnglw Stoel< EM.lung< L!mm.J J • SlwmlU l1ln !9- 30. 61).-67, 126. 20411 I 12

Sung T•i Hen~ N>nking 30. (,7, 12CH27, 181 n IJ. 19111 ICl9. 204nn I IJ, I l~-

120

Sun& r,; llcni; N•nmrog.how 30. 68. 181nlJ. 191nnlll5.109.1U4nnl 17-

119 Suns r,, Heng Wuhn JU. M, 181n13,

I'll nl05. zo•n 117 SuMllA Bnnd IU4 Sw

182 /nrln.

iakeovcr 6,32,37,99, JCll -IOZ, IOS, 1119, 112, I M, 121-123

Tt111 Ji11 011 3S T.10 lh Bank 1881175. 1nn1 19 Td1 D•l1 Conon Spiuuing Co. 209o 12 Tr.i0Jit1 1.2, 17-18. ~o. 53, 59, 83, ~r~ 127-

128. 177n46, l??n6J. 2131156

1i••1)i11 G

Y< Cbcnszhoog t 8JnJG Ye Sltlt;-mg 18lnJ6 Yo Sulhco 183nJ6, .!.l0n2.S

)tntJ• fer:rtlt ,,uJl1,, ''"'Chi noc. .M:'--rctar} Zhou Yang>h:ui IOI V.. II. T IXic i'dJc) ~6, I 83n32 Zhufl Bond Coo>0nlum (ZJ.ujl c •• p.N;

r ... , 1l--!~. t 53 Zion r.1 O>;il Cuntl"nr 1>5

1_, WI.cf Kong,"' Rohuif;.'ng. Shih 11Mi 711ng H