The Influence Of Competitive Strategy Selection On The Entertprise Performance Based On Corporate Social Capital

No enterprise can independently engage in production and business activities.In order to promote the sustainable development of enterprises and maintain good corporate performance,they need to establish cooperative relations with other enterprises and relevant departments to achieve information sharing,avoid the risk and find the potential market opportunities.The study of social capital began in 1970s and became a hot topic after 1990s.At present,social capital has become an important variable in the field of management research to explain macroeconomic development and micro organization performance.Scholars at home and abroad have basically concluded that social capital has a positive effect on reducing business transaction costs,enhancing enterprise competitive advantages and improving enterprise performance.But the path of the influence of corporate social capital in corporate performance,which is also the research content of this article,is rarely studied.The purpose of enterprise strategic management is to gain sustainable competitive advantage,which finally appears as the expanding market share and the excess profit of the enterprise.When choosing competitive strategy,enterprises should take into consideration both the internal stakeholders and the external stakeholders.Therefore,competitive strategy selection is a good mediator to study the effect of corporate social capital on corporation performance.This paper collects relevant data of the case by means of field research,and verifies the theoretical model and hypothesis of the study by means of case study.The main conclusion of this paper is that enterprises with rich external social capital tend to take the strategy of low cost differentiation while the enterprises with rich social capital take the cost leading strategy,in order to gain competitive advantage and then to promote the corporate performance.The conclusion of this study provides a useful theoretical basis for the study of how to promote the performance of enterprises by means of corporate social capital.Besides,this paper provides the new perspective of corporate social capital for the strategic choice of enterprises.The chief originality of this study lies in two aspects.For one thing,a preliminary attempt is made for the influence path of external and internal enterprise social capital on enterprise performance and the research hypothesis of this paper is verified through the form of case study;for another,the measurement index of the relationship with the government,one of the external social capitals,is put forward.The deficiency of this writing lies in the single case study and the lack of large sample data to support the conclusion.In addition,the study of corporate social capital mainly adopts the form of interviews and questionnaires,which is subjective to a certain extent.