This pioneering book of CJVs (Contractual Joint Ventures) in China reveals the nature of CJVs as a type of non-equity based alliance arrangement, possessing both quasi-market and quasi-hierachy features. It is one of the three major forms of FDI (Foreign Direct Investment) prescribed by Chinese government. There is now a substantial research on EJVs (Equity Joint Ventures) and WFOEs (Wholly Foreign Owned Enterprises). Based on the author''s rich and extensive field research, the book shows that transaction cost considerations explained the choice of CJVs over quasi-market processing and (P&A) assembling contracts on the one hand and EVJs on the other. The author also shows why and how CJVs remained an efficient governance structure over time in a changing institutional environment.
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