Even as relations between Taiwan and the People's Republic of China continue to be strained, investment by Taiwanese businesses in China is growing every year. Between 1978 and 1994, Taiwan businesses invested $10 billion in China, 10% of the total foreign investment during that period. This study describes the magnitude and importance of this investment. Hsing demonstrates the role of a shared cultural heritage and language and the role of Chinese local government in building networks of firms in the two countries.

You-tien Hsing's profile page

You-tien Hsing is at University of British Columbia.

"...it is refreshing to see a rigorous study that is driven by substantive issues rather than available data....a study that extensively examines an important aspect of economic development in China....throughout the nuanced and balanced analysis, Hsing does a wonderful job of weaving a tale of cultural particularism, institutional and historical contingency, and general social analysis....this book is an excellent study of investment in China and of patterns of international development more generally."--American Journal of Sociology

"This little jewel of a book is a rare and precious find....Ms. Hsing tells this story in a masterful way."--Journal of Comparative Economics