An Empirical Study Of The Impact Of Customer Concentration On Firm Performance

As an important resource of the company,customer relationship has attracted more and more attention.By making full use of customer resources,enterprises can grasp the changes in market demand in a timely manner,have a stable source of income,and even reduce competition risks.Especially at this stage,the competition in the domestic and international markets has become increasingly fierce,and the situation of oversupply in the market has been frequent.China's manufacturing industry is in urgent need of seeking new ways.Secondly,the market economy is developing at a high speed,and the demand tends to be diversified.Enterprises need to establish a stable cooperative relationship in order to grasp the market dynamics in time.It can be said that under the trend of economic integration,the competition mode between enterprises has fundamentally changed,and the confrontation form of supply chain and supply chain will become more prominent,and the importance of enterprises to customer resources is increasing day by day.But it also needs to be recognized that building close partnerships with fewer companies is not a“blessing and no harm”.According to the traditional bargaining power point of view,the increase in customer concentration may have a great impact on the company's business risk and business performance.As the number of customers decreases,the company's dependence on downstream customers will increase,and customers will take advantage of bargaining power to encroach on core enterprise interests.Once the partnership breaks down,it will have a huge impact on the production and operation of core enterprises.Therefore,there is still much controversy about the research on the degree of concentration of customers in the current business.At the same time,China's research on customer concentration is relatively simple.Given China's special institutional background and the impact of various environmental factors,the relationship between customer concentration and corporate performance needs to be further combined with objective factors such as the nature of the company's enterprise and environmental conditions.discuss in depth.Based on the existing literature on system performance and customer concentration,this paper finds research limitations,finds research entry points,and then proposes relevant assumptions based ontransaction cost theory,contract theory,resource-based theory and game theory.According to the collected sample data hypothesis1 empirical test has a nonlinear relationship between customer concentration and firm performance;Hypothesis 2 explores the relationship between the two variables in different property rights enterprises,revealing that state-owned enterprises can better resist the infringement of bargaining power and can effectively play the positive role of supply chain management,rather than state-owned The inferior position of the enterprise leads to the impact of its operating profit on the large customers;Hypothesis 3 confirms that the industry's production capacity has a regulatory effect on the relationship between customer concentration and corporate performance.In the context of overcapacity in the industry,the dependence of enterprises on customers is enhanced,and the emergence of large customers exacerbates the infringement of bargaining power;Combining with the business environment,Hypothesis 4analyzes its adjustment effect on the relationship between customer concentration and corporate performance.It is concluded that the good business environment helps the development of supply chain management,while the poor operating environment puts the enterprise in In a passive state,corporate independence is weakened.From the micro-enterprise property rights to the industry's production capacity,and finally to the macro-market,the research ideas of this paper are progressive,and it is verified from three aspects that due to the differences between internal and external conditions,the influence of customer concentration on corporate performance is also heterogeneous.Finally,the research conclusions of this paper believe that it is imperative for the government to create a good business environment.We should focus on promoting the development of supply chain management and introduce a number of policies to protect the supply chain.Enterprises should also increase the use of customer resources,establish appropriate cooperative relationships according to the characteristics of the company,and take advantage of supply chain management.This paper uses empirical methods to clarify the role of customer concentration on corporate performance and also provides some empirical evidence for existing theoretical disputes;and further integrates the nature of property rights,industry capacity and business environment.Analyze its intrinsic mechanism and expand research in this field.