Research On Impact Of Coorporates’ Maerket Power On Innovation Performance In Marine Equipment Industry

In 2010, the State Council promulgated some supportive policies to support the emerging industrial including marine equipment industry. It provided a significant opportunity for the development of the marine equipment industry. However, China’s marine equipment industry has lower innovation performance and in the bottom division of the global value chain with lowest added va lue. Improving the innovation performance is an important way to change the disadvantage position of marine equipment industry. Many factors would influence the innovation performance of the marine equipment industry, some literature analysis this question from the perspective of market power but have no consistent conclusions. Therefore, combining the traits of enterprises in marine equipment industry, this thesis studies on the impact of their market power on innovation performance. Then, several suggestions are put forward to enhance the innovation performance of them, which are of critical importance for related industrial development.Firstly, in the theoretical framework of the SCP, this thesis analyzes the two paths of the impact of market power on innovation performance: when the market power is relatively low, it has positive impact on the innovation performance; when the market power is relatively high, it has negative impact on the innovation performance. And in the theoretical framework of the ES CP, the moderating effects of the development of technology market, the degree of opening to the outside world of the market and the industry size have been taken into consideration to better understand how market power interplay with innovation performanc e. Next, select 20 listed companies in marine equipment industry among 2004-2014, and reach a total number of 220 samples to conduct empirical research. On the one hand, Use the regression model to test if the relationship between market power and innovation performance react as “invert-U”, on the other hand, to test if the moderate effect of the development of technology market, the degree of opening to the outside world and the industry size on the relationship between the market power and innovation performance is significant. Finally, we put forward policy recommendations to promote the marine equipment industry innovation performance.The conclusions of this paper are as follows: firstly, the relationship between company’ market power and innovation performance of marine equipment industry was “invert-U” shape. However, most of the company now sit in the upswing phase of the “invert-U”, the market power and innovation performance of companies are low as whole. Secondly, in the upswing phase, the development of technology market, the degree of opening to the outside world of the market and the industry size can significantly positively moderate the relationship between market power and innovation performance. Therefore, combining the traits of enterprises in marine equipment industry, we put some suggestions to promote the marine equipment industry innovation performance as follows. Firstly, encour age corporate restructuring to improve market power. Secondly, in the perspective of environmental factors, improve the technology market pricing system, related laws and regulations to improve the level of technology market technology market development; thirdly, imply “bringing in” strategy and “going out” strategy to introduce advanced technology and innovation funds to enhance the competitive advantages in the international market; fourthly, increase financial support and develop the supporting industries to promote the industry size in order to provide useful resources.