Some Empirical Evidences of Chinese Accounting System and Business Management Practices from Ethical Perspective

Abstract:     
China's transformation to open trade with Western countries presents a conflict in business cultures. Ethical standards and practices, in particular accounting systems and practices, are significant and familiar elements of Western business culture. Trade partners require mutual reassurance. This study provides empirical evidence of changes to China's business culture and the form these changes have taken, ranging from transformation of the accounting system, to written codes of ethics. Data were collected from universities and industry in four districts, Beijing, Dalian, Shanghai, and Wuhan. The results show growing support from Chinese management for changes in business ethics and practices to achieve better economic outcomes. The form of ethical guidelines, however, remains dissimilar to documents of this type, which have been created in the West. By addressing its accounting and business practices from an ethical perspective, China can develop its business culture to make it more attractive to Western business.

Keywords: Centralized economy; Market economy; Accounting practice; Ethics; Business culture and government regulation and control

JEL Classification: M41, Z10

working papers series