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Impact of corporate entrepreneurial strategy on firm performance in China

International entrepreneurship and management journal, 2020-12, Vol.16 (4), p.1427-1444 [Peer Reviewed Journal]

Springer Science+Business Media, LLC, part of Springer Nature 2020 ;Springer Science+Business Media, LLC, part of Springer Nature 2020. ;ISSN: 1554-7191 ;EISSN: 1555-1938 ;DOI: 10.1007/s11365-020-00678-7

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  • Title:
    Impact of corporate entrepreneurial strategy on firm performance in China
  • Author: He, Qiuqin ; Wang, Minglin ; Martínez-Fuentes, Clara
  • Subjects: Brand equity ; Business and Management ; Emerging Markets/Globalization ; Entrepreneurship ; Human capital ; Management
  • Is Part Of: International entrepreneurship and management journal, 2020-12, Vol.16 (4), p.1427-1444
  • Description: Implementing corporate entrepreneurial (CE) strategies is a panacea for established firms achieving high performance and gaining sustained competitive advantage in a fast-changing business environment. This paper investigates the effects of CE strategy on firm performance at both overall and individual sub-category (investing in R&D, brand equity, organisational capital and human capital) levels with Chinese listed companies over the period 2010 to 2018. The empirical results indicate two points. (1) Adopting CE strategies has a positive effect on firm performance. When investigating the influence of the specific sub-category, only investing in R&D and human capital influences firm performance significantly, while the effects of investing in brand equity and organisational capital are insignificant. (2) The effects of CE strategy and its sub-categories on firm performance exist heterogeneity across firm ownership and industry context. Specifically, the effect of CE strategy in state-owned (manufacturing) firms is larger than that in privately-owned (service) firms; state-owned firms’ performance is driven by R&D investment, while privately-owned firms’ performance is driven by R&D and human capital investment; manufacturing firms’ performance is driven by R&D and brand equity investment, while service firms’ performance is driven by human capital investment.
  • Publisher: New York: Springer US
  • Language: English
  • Identifier: ISSN: 1554-7191
    EISSN: 1555-1938
    DOI: 10.1007/s11365-020-00678-7
  • Source: AUTh Library subscriptions: ProQuest Central
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