A1 GBE 9587070 Jan 15
GBE A1 Jan 15/1
9587070 | Zhuying Su
Western financialized management - A lesson China needs to learn1
Zhuying Su suzhuying@hotmail.com Student Ref.:9587070 Jan 2015 Intake
Abstract
This paper analyzed the different angles of view that are put on financialized management by
Fligstein(1990), Lazonick and O’Sullivan(2000), Froud et al(2006) and Kadtler and
Joachim(2002), the difference and connection between their conclusion of financialized management’s driver and it’s economic and social impact. As effort to find ways to fix the negative impacts of financialized management, this paper take KOCH as example of being stay private to avoid financialized management trap. This paper also discussed how China should learn from the lesson of western financialized management.
1. Why does financialized management matter and the accompanying problematic
Financialization is changing the underlying mechanism of economy, as well as reshaping society in various ways, among which, companies’ financialized management has most direct influence on everyday life. That is because, on one hand, most individuals are employed by a company, so the financialization of companies’ management would directly affect their employment security and career development. On the other hand, apart from being employee, one is very likely also private investor nowadays. The values public companies hold, as well as the way they’re governed by management, have great impact on individual’s investment.
Since it closely related to everyday lives of average individuals, I select financialized management as theme of this assignment work, based on the reading of section five of the
Financialization at work, key text and commentary (Erturk, I., et al, 2008) that focuses on impact of
1
This assignment work is based on reading of section five-“Current debates: questioning financialized management” of Financialization at work, key text and commentary (Erturk, I., et al, 2008).
1
GBE A1 Jan 15/1
9587070 |
9587070 | Zhuying Su
Western financialized management - A lesson China needs to learn1
Zhuying Su suzhuying@hotmail.com Student Ref.:9587070 Jan 2015 Intake
Abstract
This paper analyzed the different angles of view that are put on financialized management by
Fligstein(1990), Lazonick and O’Sullivan(2000), Froud et al(2006) and Kadtler and
Joachim(2002), the difference and connection between their conclusion of financialized management’s driver and it’s economic and social impact. As effort to find ways to fix the negative impacts of financialized management, this paper take KOCH as example of being stay private to avoid financialized management trap. This paper also discussed how China should learn from the lesson of western financialized management.
1. Why does financialized management matter and the accompanying problematic
Financialization is changing the underlying mechanism of economy, as well as reshaping society in various ways, among which, companies’ financialized management has most direct influence on everyday life. That is because, on one hand, most individuals are employed by a company, so the financialization of companies’ management would directly affect their employment security and career development. On the other hand, apart from being employee, one is very likely also private investor nowadays. The values public companies hold, as well as the way they’re governed by management, have great impact on individual’s investment.
Since it closely related to everyday lives of average individuals, I select financialized management as theme of this assignment work, based on the reading of section five of the
Financialization at work, key text and commentary (Erturk, I., et al, 2008) that focuses on impact of
1
This assignment work is based on reading of section five-“Current debates: questioning financialized management” of Financialization at work, key text and commentary (Erturk, I., et al, 2008).
1
GBE A1 Jan 15/1
9587070 |