Research On The Impact Of Market Concentration In Registered Regions On Enterprise Performance And Growth Ability

Centralized regional or cross regional business strategies have been the research focus of scholars at home and abroad for many years,and enterprises will also choose their business strategies based on their own development situation at different stages of development.Centralized regional business strategy refers to the concentration of a company’s main business in a certain region,with the aim of better utilizing limited resources and quickly increasing market share within that region.If a company focuses its operations on its registered location,it can receive more government subsidies and tax incentives,as well as local protection from the local government.However,cross regional operation of enterprises not only expands the market,but also enables resource allocation and integration between different markets,achieving optimal business models within the group.Cross regional operations can connect suppliers,governments,and distributors from different regions,enhance the company’s image while enhancing its bargaining power,and further reduce the cost of raw material supply.At present,China’s transportation network is developed,and the convenience and efficiency of railway,highway,and air transportation provide sufficient conditions for domestic enterprises to operate across regions.In summary,it can be concluded that the centralized market operation of enterprises in the registered area is a "double-edged sword",and it is difficult to form a unified conclusion on the impact of market concentration in the registered area on enterprise performance.Therefore,it is of great significance to study the impact of market concentration in registered regions on corporate performance and growth capacity under specific conditions.This paper takes all A-share listed companies in 2011-2021 as the research object,and from the perspective of the concentration of the market where domestic enterprises are registered,discusses the impact of centralized operation of enterprises in the geographical region where they are registered on enterprise performance and growth ability under specific conditions.This article explores the following issues:(1)From the perspective of the characteristics of the place of registration,will differences in the economic development level of the place of registration have different impacts on the relationship between market concentration,enterprise performance,and enterprise growth ability in the registered area?(2)From the perspective of the characteristics of the place of registration,will different institutional environments in the registered area affect the relationship between market concentration,enterprise performance,and enterprise growth ability in the registered area?(3)From the perspective of the characteristics of the registered location,does the different intensity of environmental regulations in the registered location affect the relationship between market concentration,corporate performance,and growth capacity in the registered areaThrough empirical analysis,This article draws the following conclusions:(1)Regional market concentration for registration in regions with higher levels of economic development can have a positive impact on enterprise performance and growth ability.(2)Regional market concentration for registration in regions with better institutional environments can have a positive impact on enterprise performance and growth ability.(3)Registering in areas with high environmental regulation intensity will have a negative impact on corporate performance and growth capacity due to regional market concentration.The research results of this article provide theoretical guidance and practical evidence support for Chinese listed companies to choose centralized regional or cross regional business strategies.