ABSTRACT
This chapter examines what the existing literature says about the relationship between strategic human resource management (SHRM) and national economic growth especially in the context of the developmental state such as China. It attempts to answer the set of research inquiries on the possible relationship between SHRM and economic growth in the context of a developmental state such as China. In some cases, global comparison may be required to evaluate the effect of SHRM on the various outcomes in different countries as in the case of strategic international human resource management. From reviewing the empirical studies on SHRM in China as shown in the next section, it is clear that the majority of the studies tend to focus on the micro level of analysis to evaluate the impact of the HRM system on firm performance. However, sustainable economic growth would be impossible without effective management systems such as SHRM systems that enable managers and professionals guiding and leading the enterprises.
