Empirical Research For The Effects Of Electronic Commerce On Firm Performance In Listed Manufacturing Companies

Influence of the electronic commerce (e-commerce) on firm performance has always been a hot and important subject in the e-commerce field; we should study this subject deeper than before for the stepwise reorganization of e-commerce in china. The paper worked on the empirical research of the effect of the e-commerce on firm performance, with data from 64 Chinese listed companies in the manufacturing industry. First, this paper develops six hypotheses which explain the relation between e-commerce and firm performance through reviewing the correlative literatures. Then, this paper primarily understands the elementary characteristic and distribution of Chinese e-commerce in the manufacturing sector, with investigated data from 225 Chinese listed manufacturing companies. In the end, this paper validates these hypotheses using the 225 Chinese listed manufacturing companies sample with SPSS11.0 and EViews3.1, currently explores the characteristic of influence of the e-commerce on firm performance in China. The empirical research results shows that however the whole e-commerce level has low level in Chinese manufacturing sector, many company's e-commerce initiatives are information proclamation, few company deal with virtual electronic transaction; there is no clear difference in different industry or different region, the phenomenon implies that the e-commerce development has just in the beginning phase in China; the average financial performance of these companies which has implemented e-commerce initiatives is higher than other companies which hasn't implemented e-commerce Initiatives; the influence of the e-commerce on firm performance is more strong in those companies which has high e-commerce level than other companies which has low e-commerce level; a majority of companies which has implemented e-commerce initiatives don't gain clear financial performance; as a whole, nowadays influence of the e-commerce on firm performance isn't observed from a statistical viewpoint in the Chinese manufacturing industry, it is because of this fact that the whole e-commerce level has low level in Chinese manufacturing sector, maybe only the e-commerce level over a "valve point", the influence will been observed.