A Research On The Influence On The Performance Of Service Business Model Innovation Of Chinese Manufacturing Firm

With the arrival of the service economy, the traditional manufacturing industry is facing the impact of continuous compression product margins and increasingly diverse customer needs, the service-based business model become the best way of transformation and development of enterprises. However, servitization does not means improvement of business performance. In contrast, some studies have shown that the presence of "Service Dilemma". The increased revenue of service does not lead to higher levels of profitability, unless manufacturers can handle the challenges in the process of servitization well.For the manufacturing enterprises in a unique situation in China, whether does servitization improve business performance or not? This problem has not been fully proved. So, to reveal the relationship between China’s manufacturing enterprise servitization and enterprise performance deeply has become one of the most important research topic to stduy and guide the transfomation of manufacturing enterprises servitization in our country.This thesis studies the manufacturing enterprise servitization from the perspective of business model, identifies the substance of the servitization as the process of comprehensive service-oriented business model innovation, not only just providing new services. This article also deep into the structure of business model to define the connotation of the business model of servitization and measured it using the appropriate scale, with the elements of customer value proposition, profit model and business activity system.This thesis takes 160 manufacturing companies achieved the Chinese GEM IPO between 2009 and 2011 as samples, using regression analysis to research on the impact between the three elements and profitability and market value, in order to explain the complex mechanism of service-orientedbusiness model impact on the performance of manufacturing enterprises more comprehensively.Research shows that corporate profitability and market performance were significantly affected by Control variables (enterprise scale); Service-oriented customer value proposition only have positive impact profitability performance, the impact on the market value is not significant; Service-oriented profit model and operational activities produced a significant impact on the market value of manufacturing companies, the impact on profitability performance was not significant; education level of Manufacturing employees has a regulating action in the relation between service-oriented customer value proposition and corporate profit performance. In this paper, the research conclusion from empirical analysis by using the sample data of Chinese manufacturing enterprises, not only enhance the confidence of service-oriented business model innovation of China’s manufacturing enterprise, but also provide guidance for their innovative practices.