A Study Of The Relationship Between The Parent-subsidiary Company With Social Capital And Enterprise Performance

From the beginning of the 1970 s,a new form of capital,which is different from financial capital,material capital and human capital,has begun to be paid attention to by some scholars.This new form of capital is social capital.Today,social capital still do not have a unified definition and quantitative way.The purpose of this paper is to show the influence of the social capital accumulated by the subsidiary on the performance of the company from the perspective of the group enterprise.Through the research method of literature review and case analysis,it reviews the social capital and its related study on the impact of corporate performance.It is understood that the classification of social capital can be summarized as follows: individual level,organizational level and the mix level.Based on this article,this paper puts forward the use of the individual level as the perspective of Board of Directors Supervisors and the organizational level of the parent company's attention to measure the social capital owned by the enterprise.The way of social capital quantification formed by Board of Director,Supervisors and TMT is mainly through three Sub-route: the pluralism relationship,the alumni relationship,furthermore the parent company's attention is replaced by the number of subsidiaries mentioned in the news public opinion reported by the parent company's official website.Based on three theories(high-level echelon theory,embedded theory,resource dependence theory)and literature discussion are used to elucidate the four propositions of social capital and enterprise performance.After combining the data in this case,showing the impact of Corporate Members' Performance with different social capital.In the conclusion,Board of Director,Supervisors and TMT's intercession,co-operation and alumni relations show the specific performance in the case.The role of the parent company's attention and the impact on corporate performance is not in the number of the more the better results,but when the subsidiary has a relatively high autonomy conditions,the more attention parent company pay,the higher the corporate performance,otherwise it will only make enterprises lose their autonomy,reduce the marginal role of improving performance.