An Empirical Study Of Enterprise Resource Use Efficiency On Competitive Advantage

It is a popular subject in current business strategic management exploring firm competitive advantage from firm resource perspective. The resource-based theory of the firm (RBT) holds that firm competitive advantage bases on valuable,rare,imperfectly irritable and non-substitutional resources. Based on this theory,this paper explores the resources and their use efficiency first,measuring their attributes,contacting them with firm competitive advantage characteristics or corresponding performance evaluation indicators,and then examine the relationships between firm resources use efficiency and competitive advantage trying to find out internal logic.The firm resources use efficiency are depending on the strategic decision in some degree. On the basis of summarizing the related research on firm strategic decision, resources use efficiency and competitive advantage by foreign and national scholars, combining with the status of China listed companies, in this paper, corporations are divided into the three kinds: specialization,unrelated diversification and related diversification According to their strategic.We put forward the logic hypothesis between resources use efficiency and competitive advantage,trying to prove that in the companies with different types of strategies,the types of resources which take effects are different,and to determine which types of resources' efficient are significant for competitive advantage. At the same time,we enrich the definition of firm resources use efficiency,and use EVA to investigate competitive advantage,and then establish a conceptual model of the relations of firm resources use efficiency and competitive advantage.Empirical analysis is applied here. We use China listed companies in Shanghai Stock Exchange as samples. Considering the operating status of listed companies,we gathered finance reports and other data about 699 listed corporations with continual 3 years (from 2005 to 2007). During the research,we build multi-linear regression model,and utilize software Eviews3.1 to test the theoretical model and hypotheses. By analyzing the factors and their interrelations of the model,we propose some reasonable explanations. In the end,combining the history of Haier and Chunlan,by the case analysis,we take the enterprise resource theory to business practice,study on the enterprise resource conducted in-depth, and we are sure that it is valuable for enterprise to operate resources reasonably.Four main conclusions as follows:First,companies with different types of strategy,the types of resources use efficiency which play significant roles on competitive advantage are different.Second,in specialization companies,physical resources use efficiency and management resources use efficiency play significant roles on competitive advantage.Third,in related diversification companies,management resources use efficiency are most important for competitive advantage.Last,in unrelated diversification companies,physical resources use efficiency take effects on competitive advantage are much more evident.