Abstract
This chapter is a case study on the efficiency of internal and external capital markets in a representative “red chip” group--Guangdong Enterprises (Holdings) (GDE). Acting as a government fund-raising and investment vehicle, GDE has run the “government business” with little regard to economic logic and rules. We demonstrate that internal capital misallocation and external capital market inefficiency in this case are the outcomes of the contradictions between a government business and business economics in a market economy.
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© 2002 Springer Science+Business Media New York
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He, J., Lu, L. (2002). Internal Capital Market Misallocation and Inefficient External Capital Market: The Guangdong Enterprises Group. In: Tsui, A.S., Lau, CM. (eds) The Management of Enterprises in the People’s Republic of China. Springer, Boston, MA. https://doi.org/10.1007/978-1-4615-1095-6_6
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DOI: https://doi.org/10.1007/978-1-4615-1095-6_6
Publisher Name: Springer, Boston, MA
Print ISBN: 978-1-4613-5392-8
Online ISBN: 978-1-4615-1095-6
eBook Packages: Springer Book Archive