Study On The Path Of Firm Performance Promotion Based On Network Competence

With the rapid change of firms' external environments, survival of single firm is becoming more and more difficult. In recent years, scholars have been concerning on studying the impact of interorganizational relationships and network on firm performance. The network mentioned before is not the Internet, but the network composed of interorganizational relationships. Firms are not able to decide whether to have networks or not or whether to care about them; the only choice is whether to cope with them effectively and efficiently or not. Therefore, the relationship between network competence and performance has become the popular research focus. H(?)kansson in 1987 first put forward the definition of network competence. Later, many scholars make further study on the theoretical models of it and discuss the relationship between it and firm performance. However, network competence is still a new research field and the domestic research on it is still at the initial stage. The conclusions of study still have certain kinds of shortcomings due to the lack of diversified research perspectives and effective empirical analysis.This study takes Chinese Manufacturing Industry as background. On the basis of literature review, the paper redefines the conceptual model of network competence, puts forward the theoretical framework of the path of firm performance promotion based on network competence, and empirically analyzes it. According to the topic mentioned above, three parts of research work are conducted.First, redefine the conceptual model of network competence and make corresponding measurements. Based on the literature review, the paper synthesizes the scholars' opinions, redefines and classifies network competence which contains three dimensions, and develops a reliable and valid scale by empirical research.Then, find out the paths of firm performance promotion based on network competence. Apply the study above to the theoretical framework of firm performance promotion based on network competence. The article finds out two another paths affecting firm performance besides network competency, which are: interorganizational learning and network power. The two paths are the properties of firm network, and are closely connected with network competence. Therefore, the paper constructs the theoretical framework of firm performance promotion based on network competence. Last, put forward specific hypotheses and relational model which are tested by empirical research with data from manufacturing firms in China. The results indicate as followings: (1) Network competence plays a very important role in promotion of firm performance, in which network relationship competence is the most important factor, network operational competence is the second and network strategic competence is the third. (2) Both interorganizational learning and network power are the mediators between network competence and firm performance promotion. (3) The study find out a relational chain beween the three dimensions of network competence, and verifies the structure of network competence put forward in the paper.The main innovations of this paper's work concentrate as followings: (1) Redefine the conceptual model of network competence, and develop a reliable and valid measurement scale.(2) Introduce two concepts-- interorganizational learning and network power as the mediators between network competence and firm performance, and open a new research angle of view.(3) Construct and verify the model of the path of firm performance promotion based on network competence.