Empirical Research For The Impact Of Competition Degree On The Performance Of High-end Service Enterprise

With the further advance of market-oriented reform and the development of economic globalization, the market environment which enterprises are faced has become more complex and unique, such as the aggravation of the market competition, the rapid development of high-tech and the rising of knowledge economy. The competition brought by the special market environment encouraged enterprises to pay more attention to how to make the enterprise competition strategy, to innovate and then to improve enterprise performance. Therefore, the scholars always pay much attention to the relationship between fierce market competition and enterprise performance.At present, there are a lot of research achievements from scholars about the relationship between competition and enterprise performance, but the conclusions and explanations are always different,and it can't be unified. So,this paper made the relationship between competition and enterprise performance as the breakthrough point, and put forward the equilibrium price and market diversification as the mediators to analysis the influence mechanism from the degree of market competition to enterprise performance based on the theory of competitive strategy, in order to verify the relationship between competition and enterprise performance and its causes. Then gained some corresponding enlightenments on enterprise management.Firstly, based on the related literatures of the relationship between competition and enterprise performance, it put forward the equilibrium price and market diversification as the mediators to explain the impact of competiton dgree on enterprise performance from the view of competitive strategy. Then on the basis of building the conceptual model abour the degree of competition, enterprise performance, the equilibrium price and market diversification, it proposed some assumptions.Secondly, this paper selected the high-end catering enterprises in Harbin as the empirical object, accessed relevant data and information from the public comments on the net, and based on the datas,used the UCINET 6.0 which was a tool of the social network analysis to build and describe the overall competitive network of the high-end catering enterprises in Harbin. What's more, it found that the network was a small world.Thirdly, using the component analysis to make the overall competitive network of the high-end catering enterprises in Harbin clustered. Then it got 18 groups in different sizes. By measuring the quantitative values of the competition degree, enterprise performance, the equilibrium price and market diversification and using the statistical analysis software SPSS 20.0, it verified each of the assumptions in the model.Finally, the empirical results show that: the impact of the competition degree on enterprise performance was the inverted U-shaped relationship, which meant that there was the optimal critical point of the competition degree, the market competition improved enterprise performance before the point and reduced enterprise performance after the point;Furthermore, this paper found that market diversification had a full mediating role in the process of competition degree impacting on enterprise performance. Based on the empirical results and main conclusions, it concluded some corresponding management, which provided the thoughts and the references for the government in the industrial policy and for enterprises in the management of making decision.