Modeling the Chinese family firm and minority shareholder protection: The Hong Kong experience 1980‐1995

Abstract

Purpose – The paper aims to explore the extent to which the legal experience of minority shareholder actions in Hong Kong supports the sociological model of the Chinese family firm as developed by Wong Siu‐lun and reports some preliminary findings for the period 1980‐1995.Design/methodology/approach – This paper is based upon the analysis of 275 minority shareholder petitions in the High Court of Hong Kong between the years 1980 and 1995 inclusive. It also draws upon material from a questionnaire sent to law firms involved in those petitions and interviews with members of the Hong Kong judiciary with experience of hearing minority shareholder cases, members of the legal profession and accounting and company secretarial professions directly or indirectly involved in the administration of companies in Hong Kong and regulators.Findings – The findings indicate that the problematic early, emergent stage of the model as described by Wong Siu‐lun is quite accurate. Whilst there is considerable support for some a...