As an important part of traditional Chinese culture,Confucian culture has always had a significant impact on contemporary China.The emphasis on"diligence and frugality"in Confucian culture may reduce management expenses for enterprises,whereas the inherent"official-oriented"mindset in Confucian culture might increase management expenses,thus generating a completely opposite impact mechanism.Based on the data of the A-share listed companies from 2007 to 2018,Confucian culture is measured by the number of Confucian temples within a 300-kilometer radius of the company's registered address.Empirical research has found that in regions with stronger Confucian culture,the expenses of corporate management tend to be greater.Robustness and endogeneity analyses indicate that this result is reliable.The results of the mechanism test show that the official-oriented ideology in Confucian culture plays a dominant role in the process of influencing management expenses.Further analysis shows that this effect is more significant in enterprises in the northern region,in private enterprises,and among male executives.Therefore,when institutional reforms fail to produce the expected results,enterprises should conduct a deeper cultural reflection,striving to eliminate cultural factors that may increase management expenses(such as the inherent identification with the official-oriented ideology),thereby enabling institutional reforms to achieve greater effectiveness.
维普
万方数据