Conceptualising a Chinese corporate governance framework : tensions between tradition, ideologies and modernity

China is arguably one of the new economic powerhouses of the 21st century. The mystical charms of the “Middle Kingdom” experienced an upheaval after centuries of imperial rule with the introduction of socialism under the Chinese Communist Party (CCP) rule. In recent decades, China has transformed many of its cities into a modern cosmopolitan metropolis with a growing middle class and relatively high standards of living for a developing economy. This was made possible by the ongoing economic reform policies. Nevertheless, legal reforms by comparison have not been as aggressive. Many newly enacted laws were from Western developed economies which were adapted to Chinese socialistic ideals, but laced with capitalistic objectives. One could argue that these are “teething problems”, but in reality, these are cultural gaps that cannot be easily overcome. For this reason, doctrinal analysis is of little value; rather a socio-legal approach using contextual analysis will acknowledge the impact of political, cultural, ideological, and economic variables and serve as a more valuable approach to law reforms, particularly in the field of corporate law and governance, which stands at the crossroads of China's social transformation and economic development.