Political Connection, Management Promotion and Risk Taking Activities

  title={Political Connection, Management Promotion and Risk Taking Activities},
  author={Qing Zhao and S Q Wang and Chao Chen},
This paper investigates how political connection and management promotion affect chances of risk-taking activities, in order to offer theoretical support for state-owned enterprises to select optimal managers, and to maintain and increase their company values. Using the data of chairman of state-owned listed enterprises in Shenzhen securities market, we find that in state-owned listed enterprises, the shorter the pyramid of listed enterprises to ultimate shareholders is, the closer the… CONTINUE READING