Hung, Wai Chung Clarence
(2023)
A Study On The Design And Use Of Performance Management System In
China’s Innovative Start-ups.
PhD thesis, Universiti Sains Malaysia.
Abstract
China’s start-ups market has grown rapidly since the Chinese Government
encouraged new ventures and announced the “mass entrepreneurship and innovation”
initiative in 2015. Nevertheless, start-ups’ failure rate can be as high as 95%, partly
due to the lack of Performance Management Systems (PMSs) in managing and
controlling organisations. PMSs are designed based on Western, well-established
organisations. Existing research relating to PMSs in China, concerning their design
and use in innovative start-ups, is scarce. Therefore, this study aimed to examine the
types of PMSs adopted in China’s innovative start-ups, and how the systems are
designed and used under the influence of Chinese culture and start-up managers’
personality traits. This study adopted a qualitative case study approach for four
selected start-up companies, with data collected through the use of semi-structured
interviews, field observations and document reviews to examine their management
control behaviours. One of the four case companies was purposely selected as a
contrasting case for identifying the similarities and differences among case ownermanagers
in order to uncover the underlying influence of their behaviours. The
GLOBE theory, the Traits Theory of Personality, and the Theory of Circumscription
and Compromise were used to underpin the findings and discussions. The findings
revealed that the Chinese owner-managers used simplified and informal PMSs,
through personnel and social controls, in their organisations
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