Executive Political Connections, Strategic Behavior and Industrial Upgrading - Empirical Research Based on the Pearl River Model in China
International Journal of Economic Behavior and Organization
Volume 6, Issue 4, December 2018, Pages: 69-78
Received: Sep. 3, 2018; Accepted: Jan. 3, 2019; Published: Jan. 28, 2019
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Zhihong Wang, Business Administration Department, Guangdong University of Finance, Guangzhou, China
Xiaozhou Chen, Business Administration Department, Guangdong University of Finance, Guangzhou, China
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Based on top talents bottleneck problem in the processing of industrial upgrading of the Pearl River Model and the importance and decisive role of political connections and strategic behavior in industrial upgrading in Small and Medium-sized Enterprise(SME), from the angle of microscopic investigation, the article regards political connections and strategic behavior as the main influence factors research object, and uses Logistic regression model and probability statistic to measure influence degree of various influencing factors of executives in the Pearl River Model industrial upgrading. The result shows that executives' political connections, strategic behavior, and the inherent characteristics effect significantly on the industrial upgrading of SME in Pearl River Delta, and the executive's higher political connections may stimulate the probability of enterprise process upgrading and supply chain upgrading, the product upgrading is more influenced by executive's radical strategy in strategy behaviors, furthermore, the research shows that the supply chain upgrading needs executives some personal traits such as higher education, longer working years etc. In the environment of limited top talents resources, enterprises need to make effective structural talents matching according to the content of industrial upgrading and improve the success rate of industrial upgrading.
Political Connections, Strategic Behavior, Logistic Model, Industry Upgrading
To cite this article
Zhihong Wang, Xiaozhou Chen, Executive Political Connections, Strategic Behavior and Industrial Upgrading - Empirical Research Based on the Pearl River Model in China, International Journal of Economic Behavior and Organization. Vol. 6, No. 4, 2018, pp. 69-78. doi: 10.11648/j.ijebo.20180604.11
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