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The Impact of Embedded Network Relationship and Network Competence on Service Innovatin Against the Dynamic Environment

Author: WangTongQing
Tutor: YangZuoZuo
School: Shandong University
Course: Business management
Keywords: Embedded Network Relationship Network Competence ServiceInnovation Dynamic Environment
CLC: F719
Type: PhD thesis
Year: 2012
Downloads: 748
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Abstract


With the rapid development of economy, the service industry plays an increasingly important role in economic growth. Meanwhile, the globalization of economy and the development of knowledge economy make the service innovation more complicated and networked, which also change the core question of service innovation theory. Based on enterprise network theory, this research introduces the concept of dynamic environment, enterprise network structure, embedded network relationship, network competence and service innovation performance, aiming to explore the mechanism of promoting Chinese enterprises’ service innovation performance.The research mainly answers five questions. Firstly, it explores the impact of embedded network characteristics on enterprise service innovation. Secondly, it discusses the impact of embedded network heterogeneity on enterprise service innovation. Thirdly, it analyzes the impact of enterprise network competence on its service innovation performance. Fourthly, it demonstrates the impact of embedded network relationship and network competence on enterprise service innovation performance. Fifthly, it reveals the intermediary roles of market, technology and competition.Data in this research are collected through interviews and questionnaires from212enterprises and are processed by SPSS16.0and AMOS16.0. Besides social surveys and statistics analysis, the comparison research and theoretical deduction methods are also used in this study.The conclusions and enlightenments of this research include five aspects as follows:Firstly, the embedding degree of enterprise network relationship has a significant positive impact on service innovation performance, and furthermore, the type of this relationship decides the extent of this impact.In this study, enterprise embedded network relationship is categorized into three types, business oriented, transaction oriented and customer oriented. Service innovation is divided into four types, organization of multiple units, unique combination of services, jointly creation by customers and technology innovation. Furthermore, this paper explores how different types of embedded network relationship affect service innovation performance and how different types of service innovation affect enterprise service innovation.Secondly, in the process of service innovation, the heterogeneity of enterprise embedded network relationship has a positive impact on service innovation performance, and the extent of this impact is decided by the type of this relationship. The higher of the heterogeneity is, the higher of the score of enterprise service innovation factor will be. Therefore, the heterogeneity of enterprise embedded network relationship is helpful to improve enterprise service innovation performance. Regardless of the types of service innovation enterprise, the greater of the network heterogeneity is, the higher of enterprise service innovation will be; and vice versa.Thirdly, enterprise network competence has a significant positive impact on service innovation performance. The stronger network competence the enterprise has, the better the service innovation performance is. Enterprise network relationship ability and knowledge ability, as secondary factors for evaluation of enterprise network competence, has a positive impact on service innovation performance. As controlled variables, enterprise ownership, industry category, age and size are of no significant impact on service innovation performance. Dividing sample enterprises into four groups according to enterprise network relationship ability and knowledge ability to analyze the impact of enterprise network competence to service innovation performance, the results are different. If enterprise network relationship ability and knowledge ability are both low, the service innovation performance will be low. If at least one of the two abilities is high, the service innovation performance will be high. Obviously, unbalanced enterprise network competence does not have significant impact on enterprise service innovation performance. Fourthly, the impact of enterprise embedded network relationship and network capacity interaction on service innovation is partially proved. On one hand, the type of embedded network relationship can not change the impact of enterprise network competence on service innovation; enterprise network competence also can not change the impact from the type of embedded network relationship. One the other hand, the type of embedded network relationship or enterprise network competence can change the impact of each other on the most representative service innovation performance and financial performance.Fifthly, dynamic environment has a significant impact on the relationship between the extent of network embedings and service innovation performance; it also significantly affects the relationship of network competence and service innovation performance. However, dynamic environment does not have remarkable effect on the interaction impact of embedded network relationship and network competence on service innovation performance.The uniqueness of the research is reflected in three aspects. Firstly, it enriches the research on the theory of enterprise service innovation and enterprise network. Based on the reference of the recently developed theory on this topic, it further discusses enterprise service innovation from the perspective of enterprise network, which provides beneficial complement to the service innovation theory and promotes the development of enterprise network theory.Secondly, it builds the theory and logic framework on the impact of enterprise embedded network relationship and network competence on service innovation under dynamic environment. The process of enterprise service innovation is a process that enterprise network competence plays its role. Enterprises acquire network resources from network relations, and furthermore, improve network competence. Enterprise network competence reorganizes all types of resources to promote knowledge mining, absorption, digestion and creativity, finally achieve transformation from knowledge to service innovation. Enterprise service innovation competence is improved through the intermediary role of enterprise network competence.Thirdly, it improves the research measuring table. Most of the existing measuring tables are based on foreign researches, whether it’s suitable for Chinese enterprises and special research background in China is still unclear. This study develops the related measuring table, makes the related concept more operational and more in line with China’s practical needs.

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