I think the problem here is that, Chinese teachers, particularly in universities are pressured to write theses, that universities want published to promote their name. On top of that while teaching, said teachers have to study for further degrees. It's all about face and so called "prestige". The more "doctors" or "professers" that work for a school, the more money they feel they can charge students for tuition fees.

So, what do these understandably, tired, and burdened teachers, do? Naturally, because they want a little time to sleep, watch a movie, be with their families, take a day trip, and have something that comes close to a life, they plagiarize. I know I would be tempted to do the same if I was in their shoes. I can't see things changing, until, the huge competetive, materialistic, culture that permeates Chinese society is at least partly curtailed. Punishing individual teachers for this, and making examples of them is not the ultimate way to solve this huge problem, and nor is it just.

I try my best to overcome this problem with my students, by making them do all their writing assignments in class. It's restrictive, and allows less freedom of choice, and time to prepare and redraft, but at least there is less opportunity for them to offer somebody elses work as their own.