The Research On The System Of Evaluation Of Competitivenessof Family Firms

The family firm, which is one of the earliest forms of business organizations, is animportant part of economy in countries all over the world. Nowadays, with the rapiddevelopment of technology, the increasingly fierce competition of market economyand gradually rising demand from consumers’ personalized requirements, effectiveinfluential factors should be adopted to enhance competitive ability under the neweconomic situation, which is vital to the family firms’ survival and development.Consequently, it is of great significance for this paper to focus on the competitivenessof family firms and the relevant research.This paper includes six chapters. In Chapter I, the paper illustrates researchbackground and significance. The research contents and framework are also putforward on the basis of relevant research literature at home and abroad. In chapter II,the paper covers the basic connotation, basic features, the related theoretical basis offamily firms and research methods of family firms’ competitiveness. Chapter IIIincludes the basic idea and guiding principles of the system of evaluation of familyfirms’ competitive ability and how to design such a system of scientificity andfeasibility. An empirical research on evaluation index will be shown in chapter IV,which makes reliability and validity analysis on the evaluation system by SPSS18.0and adopts SEM to ensure index and weight and make results analysis. In chapter V,some constructive suggestions are put forward to improve the competitiveness offamily firms on the basis of the empirical research. Chapter VI makes a summary toshow the deficiency and research direction in the future.According to the research on the system of evaluation of family firms’competitiveness, it comes to some conclusions. First, the index system is of goodreliability and validity. Second, the structural equation model of evaluation system offamily firms’ competitiveness has the advantage of high-degree goodness of fit. Third,the development of the enterprise scale, management ability, smooth operation abilityand profitability will make contributions in promoting the competitiveness of familyfirms, and the promotion of profitability is comparatively obvious. At last, in order topromote the family firms’ competitiveness, more emphasis should be put onimproving operation and quality management, corporate governance structure andcompensation system and building a effective early warning and control mechanismas well.In this paper, structural equation model is adopted to make it clear of the index andweight of the evaluation system of family firms’ competitiveness, which brings aboutsome research achievements. However, this research still exists some areas remainingto be improved because of the limits of the research level and condition. On one hand,the influence of development of technology, innovation ability, research anddevelopment ability, enterprise culture and brand force are not taken into account onthe competitiveness of family firms. On the other, the empirical research in this papercannot explain the possibility of non-linear relationship between factors. Hence, inthe following research, great emphasis will put on further development of these two aspects.