Publication Type

PhD Dissertation

Version

publishedVersion

Publication Date

12-2024

Abstract

China is governed by the Communist Party of China (CPC), which embodies the nation's core values, mission, and ideological framework. The CPC organization embeddedness represents a distinctive governance arrangement, reflecting the state's Political Integration Imperatives. In the context of significant external shocks such as Covid-19, how does this political embeddedness influence private enterprises' organizational resilience - specifically their capacity to withstand disruptions and their ability to recover? What are the underlying mechanisms driving these effects?

This study employs a mixed-methods approach to investigate how CPC organization embeddedness shapes organizational resilience within China's unique institutional context, and the mechanisms through which this influence operates. The research consists of two interconnected studies following an explanatory sequential design: Study 1 employs large-scale empirical analysis to examine how CPC organization embeddedness affects organizational resilience and its boundary conditions; Study 2 utilizes qualitative methods to unpack the translation mechanisms of political-practice tensions - the dynamic interplay between institutional requirements and enterprise practices.

Study 1 analyzes panel data from 2,087 private listed companies, utilizing AI-powered aggregated search to collect key data on CPC organization embeddedness in private enterprises. The study employs Propensity Score Matching (PSM) to mitigate selection bias, develops linear regression models to examine post-Covid-19 recovery levels, and applies Kaplan-Meier survival analysis and Cox proportional hazards models to investigate recovery speeds. The findings reveal that CPC organization embeddedness significantly enhances organizational resilience in terms of both recovery speed and recovery level. This effect is amplified when the company chairman holds CPC membership, demonstrating the greater impact of substantive institutional embedding from an institutional theory perspective. The study also uncovers that market concentration positively influences recovery levels but shows no significant effect on recovery speed, while regional factor market development exhibits paradoxical effects - negatively impacting recovery levels but positively affecting recovery speed, highlighting the complexities of China's economic transition. However, neither of these market characteristics demonstrates significant moderating effects on the relationship between CPC organization embeddedness and organizational resilience.

Study 2 develops a "political-practice tension and organizational resilience translation model" through in-depth case studies of 108 private enterprises, uncovering the formation mechanisms of value tensions and their transformation pathways. The findings reveal a distinctive value tension emerging from the interplay between political integration imperatives (stemming from state intentions) and economic rationality orientation (arising from private enterprises' objectives). This tension achieves creative integration through a translation mechanism based on institutional sensemaking, manifesting across three synergistic dimensions: (1) employee psychological perception - building organizational identity through dual pathways of left-wing ideology and nationalism; (2) external resource acquisition - leveraging institutional practices for government-enterprise interaction and resource integration; (3) internal organizational enhancement - optimizing governance mechanisms through an embedded structure analogous to the HR Business Partner model.

This study makes several contributions: Methodologically, it innovates by employing AI-powered aggregated search instead of traditional web crawling to extract key data from vast internet sources. Theoretically, it advances understanding in four ways: 1) it enriches empirical research on organizational resilience by simultaneously examining both recovery level and recovery speed; 2) it employs mixed methods to uncover both the causal relationships and underlying mechanisms through which CPC organization embeddedness influences organizational resilience; 3) it extends institutional logic research by illuminating how value tensions generate positive outcomes through translation mechanisms; 4) it develops a translation model of Institutional pressure-organizational capability, grounded in Chinese private entrepreneurs' pragmatic orientation within China's distinctive institutional context. Practically, this research offers both theoretical guidance and actionable insights for private enterprises seeking to build organizational resilience within complex institutional environments.

Keywords

Political Embeddedness, Firm Resilience, Value Tension, Institutional Theory, Sensemaking Theory, Translation Mechanism, Mixed Methods Research

Degree Awarded

Doctor of Business Admin

Discipline

Asian Studies | Strategic Management Policy

Supervisor(s)

GENG, Xuesong

First Page

1

Last Page

194

Publisher

Singapore Management University

City or Country

Singapore

Copyright Owner and License

Author

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