Strategy, Independence, and Governance of State-Owned Enterprises in Asia
Schneider, Henrique | August 2019
Abstract
New public management emphasizes the organizational and behavioral aspects of state-owned enterprises (SOEs). The main assumption is that, if governments constitute SOEs as “market” enterprises and allow their management to follow the logic of the “market,” SOEs will become productive, innovative, and customer-oriented. This paper claims that, although new public management is a necessary condition, it is not sufficient for guiding (or reforming) SOEs. Strategic guidance from the owner (i.e. the state) as well as independence from the government have to complement it. The strategic guidance that the owner gives to an SOE has to address several areas of guidance. Ideally, it parallels the ownership strategies that are typical of more mature family enterprises. On the other hand, once the ownership strategy is in place, SOEs have to maintain their independence from the government, that is, its owners, to avoid co-option from political goals or short-term deviations from the strategy.
Citation
Schneider, Henrique. 2019. Strategy, Independence, and Governance of State-Owned Enterprises in Asia. © Asian Development Bank Institute. http://hdl.handle.net/11540/10923.Keywords
Development Economics
Regional Economic Development
Economic Impact
Asian Development Bank
Development
Economic Boom
Regional Economic Integration
Good Governance
Governance Approach
Macroeconomic
Macroeconomic Analysis
Macroeconomic Framework
Macroeconomic Models
Macroeconomic Performance
Macroeconomic Planning
Macroeconomic Policies
Macroeconomic Reform
Macroeconomic Stabilization
Government
Government accounting
Governance
Good Governance
Governance Approach
Governance Capacity
Governance Models
Governance Quality
Political Leadership
Political Power
Institutional Framework
Government
Government accounting
Social planning
Social policy
Economic planning
Economic structure
Growth policy
Trade relations
Trade policy
Trade policy
Economic development
Economies in transition
International economy
Border integration
Economic integration
Gross domestic product
Trade policy
Institutional Framework
Public Administration
Business Ethics
Political Leadership
State-owned
State-owned enterprises
Regional economics
Economic forecasting
Economic development projects
Success in business
Business
Free trade
Economics
Communication in economic development
Restraint of trade
International economic integration
Trade blocs
East-West trade
Government
Political obligation
Public management
Government accountability
Transparency in government
Political ethics
Government spending policy
Government services
Democracy
Democratization
Elections
Local government
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