The Intrinsic Value of Confucianism and Its Relevance to the Legal System in Hong Kong and China

Abstract

The objective of this article is to explore the intrinsic value of Confucianism and its relationship with the common law in the area of corporate governance and see how they can both work together to solve the corporate governance problems in China. In the course of analysis, we take a qualitative approach in adopting a case study to illustrate how Confucianism can be applied in the course of business management to address problems such as the appointment of board members, conflicting directorships, auditor independence, conflict of interest, corruption, and manipulation. We propose that the Western institution of corporate governance system can co-exist with Confucianism as the guiding compass for the direction of a company in Hong Kong and may have reference value for China.