Research on Government Social Capital Management of Chinese Cultural Enterprise: Taking the development history of Rongbaozhai as an example
Authors:   Asia-Europe Perspective Association, Wang Zhiyong , Chen shuang , Song Jaehoon 
Published: October 2019

Since entering the 21st century, the Chinese economy has been under pressure to carry out strategic transformation and upgrading. The Chinese government has announced that it will vigorously develop the cultural industry and strive to achieve more than 5% of the national economy in the entire national economy by 2020 and become one of the pillar industries. In order to promote the development of China’s cultural industry, the Chinese government has launched a series of support policies on cultural industry. The cultural industry is a light asset, creative, high-risk industry. How to manage the government’s social capital and how to obtain scarce resources through non-market means is another important way for enterprises to gain competitive advantage in a fiercely competitive environment.
Based on the historical literature, this thesis studies the government social capital management activities of China’s large-scale cultural enterprise Rongbaozhai through case analysis and text analysis. The study found that Rongbaozhai has obtained five scarce resources through government social capital management, namely economic support, policy support, relationship support, information support and image support; Rongbaozhai is built through three ways of building a network of relationships, enhancing its close relationship, and maintenance of its relationship influence path to manage government social capital; In the specific government social capital management method, Rongbaozhai creatively designed the opportunities for communication between government and enterprises, and made full use of its own advantages to create a form of contact between government and enterprises such as the “People’s Forbidden City” and “The House of Painters”.At the same time, standing at the height of social capital management, Rongbaozhai did not stick to the benefits of a project, actively assumed social responsibility, promoted cultural inheritance, and gained more recognition from the government and society. On the basis of this research on government social capital management of Rongbaozhai, combined with the field investigation of Chinese small and medium-sized cultural enterprises, this thesis further proposes some suggestions on the government social capital management of small and medium-sized cultural enterprises in China: According to their own industry characteristics, small and medium-sized cultural enterprises should correctly understand the nature of government social capital management, its significance to the development of the enterprise and its position in the social network so as to actively use the influence of the network, actively interpret the government’s various cultural and industrial policies, and create conditions for enterprises to obtain scarce resources.
The main innovations of this research are: first, the introduction of social capital management theory into cultural enterprise management; second, using text analysis to analyze the government capital management data of Rongbaozhai for more than 300 years; third, looking for the objectives, strategies and their constituent elements of the social capital management of Chinese cultural enterprises; and thereby creating the social capital management model of Chinese cultural enterprises .