Corporate Control Logic: How China’s Central Government Influences Enterprise Behavior through Local Policies — A Case Study of Shandong Province

DOI

10.2991/978-2-38476-475-4_134How to use a DOI?

Keywords

Central-local relations; enterprise behavior; industrial policy; Shandong Province; equipment manufacturing; institutional embeddedness

Abstract

Under China’s national governance system, the central government exerts influence over local enterprise development through industrial policies, fiscal tools, and administrative guidance, shaping a policy-driven logic of economic control. This paper uses the equipment manufacturing sector in Shandong Province as a case to examine how central policies are transmitted through local governments to the enterprise level, and analyzes the differentiated impacts on enterprises of varying ownership types. The findings indicate that strong policy orientation has fostered growing enterprise dependence on institutional resources. At the same time, local governments act both as policy implementers and strategic mediators—balancing central directives with local interests—which in turn affects the policy outcomes. Combining literature review, institutional analysis, and empirical data, this study aims to reveal the structural impact of central-local interactions on enterprise behavior, and proposes suggestions for improving policy implementation mechanisms and enhancing enterprise autonomy.

Copyright

© 2025 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Xiaoxiao Zeng
PY  - 2025
DA  - 2025/11/11
TI  - Corporate Control Logic: How China’s Central Government Influences Enterprise Behavior through Local Policies — A Case Study of Shandong Province
BT  - Proceedings of the 2025 10th International Conference on Modern Management, Education and Social Sciences (MMET 2025)
PB  - Atlantis Press
SP  - 1222
EP  - 1227
SN  - 2352-5398
UR  - https://doi.org/10.2991/978-2-38476-475-4_134
DO  - 10.2991/978-2-38476-475-4_134
ID  - Zeng2025
ER  -