The Influence Of Interlocking Director Network Location On Enterprise Innovation Performance

The scarcity and high dispersion of innovation resources leave enterprises facing great uncertainty in the process of technology development.Therefore,enterprises often choose to improve their core competitiveness from the perspective of internal and external dual governance with the help of external networks,so as to achieve the goal of innovation.As an informal inter-organizational relationship,interlocking director network can provide enterprises with a variety of internal and external social resources and information.At the same time,the high efficiency of director network largely depends on the future control of CEO——the core strategic decision maker.This means that the role of interlocking director network on enterprise innovation performance is subjected to the personal characteristics of CEO.Therefore,this paper explores the mechanism of interlocking director network location on innovation performance of enterprises from three aspects: CEO’s capability,CEO’s power and staggered tenure.In order to clarify this mechanism,this paper summarized the social network theory,resource dependence theory,upper echelons theory and other related theories.Based on the AMO theory,the paper applied social network analysis method,literature research method and empirical research method,combined with the data of A-share listed companies with innovative behavior from 2015 to 2020 to construct the main effect regression model and the moderating effect regression model of CEO characteristics respectively.The regression results show that the core network location of interlocking director can promote the innovation of enterprises.CEO with rich career experience can promote the positive effect of interlocking director network location on enterprise innovation performance.CEO with high power can strengthen the positive influence of the interlocking director network location on enterprise innovation performance.The staggered tenure of CEO and CFO can provide a good corporate governance environment for the role of interlocking director network location on enterprise innovation performance.This paper focuses on the transformation of innovation and introduces the concept of entropy into the social network.From the perspective of CEO who plays a core role in the top management team,this paper makes an in-depth discussion on the influence of interlocking director network on enterprise innovation performance.It expands and deepens the previous scholars’ understanding of the interlocking director network location.It also provides a new perspective for the research on promoting the transformation of enterprise innovation resources and improving innovation performance.