Entrepreneurship For Private Enterprises To Enter The City Utilities Mechanism

During the transition of China economic, for the majority private enterprises, entering the urban public utilities is a process of obtaining scarce resources. Encouraging and supporting private enterprises to enter the urban public utilities, is one of the policy implemented of "new thirty-six".The scholars from different fields explained the decisive factors for the private enterprises to enter the urban public utilities from different perspective. Some scholars have gradually focused their study on the entrepreneur, and think that entry is a kind of behavior of entrepreneurs in essence. As the main decision-making of private enterprise action, the entry behavior depends on certain ability of entrepreneurs. But the empirical research on the impact mechanism between the entrepreneur ability and private enterprises entering the urban public utilities is less attention. So, based on the previous studies, the paper will attempt to explain the internal mechanism between entrepreneur ability and private enterprises entering the urban public utilities from the perspective of the resource based theory and strategic choice theory.The private enterprises of the urban public utilities is the research sample of the paper.The basic problem of this paper is "how does the entrepreneur ability influence the private enterprises to enter the urban public utilities".In order to reveal the inherent mechanism, the paper will propose the construct of barriers to entry perceived by entrepreneur, and test whether the perceived barriers play an intermediary role between the entrepreneur ability and entry behavior. The paper thinks that entrepreneur is the initiator and decision maker of private enterprises entering the urban public utilities,builds a theory framework:"entrepreneur ability-barriers to entry breakthrough-entry behavior", follows the logic analysis of the resource base and the strategic choice theory, analyzes the following four closely related sub questions:①What are the dimensions of entrepreneur ability based on the resource demands?②How is the relationship between entrepreneur ability and private enterprises entering the urban public utilities?③Does the barriers to entry affect the entry behavior, and if the impact will exist the boundary conditions? That is to say,if entry time will moderate their relationship?④Does the barriers to entry perceived by entrepreneur play an intermediary role between the entrepreneur ability and entry behavior? To solve the above issues, this paper will specify the following:(1) Literature review and theoretical development. Through systematically analysis of existing literatures on entry behavior theory of enterprises, entrepreneur and entrepreneur ability theory, and the theory of entry barriers, the paper clarifies the theory theme related to this research framework, analyses and induces the connotation of entrepreneur ability. At the same time, based on the perspective of the resources demand, the entrepreneur ability is divided into three dimensions:find opportunities, relation acquisition and risk bearing. The barriers to entry perceived by entrepreneur is divided into three dimensions:economic barriers, institutional barriers and the incumbent enterprise strategic barriers perceived by entrepreneur.(2) Exploratory case studies and the proposing of theoretical framework. Based on the multiple rounds of interviews of8private entrepreneurs entering the urban public utilities, this paper selects4of them to do exploratory case study. Through discussions within and between cases, this paper preliminarily reveals the influence of entrepreneur ability on barriers to entry perceived by entrepreneur, the relationship between barriers to entry perceived by entrepreneur and entry behavior of enterprise and as a result a preliminary research framework for the relationship between the entrepreneur ability and entry behavior of enterprise is finally developed, which provides practical ideas for the follow-up related researches.(3) Theoretical model and empirical research of the relationship between the entrepreneur ability and entry behavior of enterprise. Based on exploratory case study, the paper deeper argues related literature and established the concept model of the impact of entrepreneur ability on entry behavior of private enterprise entering the urban public utilities, the internal mechanism and the corresponding detailed assumptions of the influences of entrepreneur ability on entry behavior of private enterprise entering the urban public utilities. And through surveying with218entrepreneurs by means of questionnaires, descriptive statistical analysis, exploratory factor analysis&confirmatory factor analysis, reliability and validity test and related analysis,logistic regression, ordinal regression and multiple hierarchical regression, this paper performs empirical research for the model and hypothesis and finally the relevant theories for the correlation between the entrepreneur ability and entry behavior of private enterprise entering the urban public utilities are obtained.Through above research work, this paper finally reaches the following conclusions:(1)The statistical study for the data of218entrepreneurs found that the assumptions of entrepreneur ability and entry behavior of private enterprise actually exist. Specifically,①Private entrepreneurs find opportunity ability is stronger, more likely to enter the urban public utilities regulated by the government, the entry degree will be higher.②The entrepreneurs relationship ability such as with the government, financial institutions, peers, and media is stronger, the ability to access information, capital and other resources is stronger, more likely to enter urban public utilities regulated by the government, the entry degree will be higher.③The entrepreneurs risk bearing ability is bigger,more likely to enter the urban public utilities regulated by the government, the entry degree will be higher.(2)Barriers to entry perceived by entrepreneur have negative influence on the entry behavior of private enterprise entering the urban public utilities. Institutional barriers perceived by entrepreneur have significant negative influence on entry behavior of private enterprise entering the urban public utilities. The relationship between economic barriers,the incumbent enterprise strategic barriers perceived by entrepreneur and the entry degree of private enterprises entering the urban public utilities is sometimes significant negative correlation, sometimes correlation but not significant.(3) Entrepreneur ability may have influence on the entry behavior through influencing the barriers to entry perceived by entrepreneur. According to the summarization of above two sub-studies and based on the resource based theory and strategic choice theory etc, a theory framework of "entrepreneur ability-barriers to entry breakthrough-entry behavior" is constructed and verified through the use of many evidences, the research shows:①Institutional barriers perceived by entrepreneur plays a partial mediating role between entrepreneur ability and the entry behavior of the enterprise;②Economic barriers perceived by entrepreneur plays a partial mediating role between entrepreneur ability and the entry degree of private enterprises,between entrepreneur relationship ability and the entry decision of enterprises. But it is not a intermediary variable between entrepreneur find opportunity ability,risk bearing ability and the entry degree of private enterprises;③lncumbent enterprise strategic barriers perceived by entrepreneur plays a partial mediating role between entrepreneur relationship ability, risk bearing ability and the entry degree of private enterprises, but it is not a intermediary variable between entrepreneur find opportunity ability and the entry degree of private enterprises, between entrepreneur ability and the entry decision of enterprises.(4)Entry time has a moderating effect on the relationship between barriers perceived by entrepreneur and entry behavior of private enterprises. The empirical results show that entry time will moderate the relationship between institutional barriers perceived by entrepreneur, incumbent enterprise strategic barriers perceived by entrepreneur and entry behavior of private enterprises, will not moderate the relationship between economic barriers perceived by entrepreneur and entry behavior of private enterprises. So, compared with the late entrants, the institutional barriers and incumbent enterprise strategic barriers perceived by entrepreneur of earlier entrants have smaller extent influence on the entry behavior of enterprise.The innovation of this paper is mainly reflected in the following aspects:(1) Innovation in research framework. The paper analyses the inherent mechanism between entrepreneur ability and entry behavior of private enterprises entering the urban public utilities,builds a theory framework of "entrepreneur ability-barriers to entry breakthrough-entry behavior", proposes the logic of the study:①Private entrepreneur is the key actors in the process of private enterprises entering the urban public utilities, The most critical factor is if priority entrepreneurs have ability to break through various entry barriers;〥ifferent entrepreneurs abilities can acquire different resources,which transform push power of private enterprises entering the urban public utilities, this power depends on whether the entrepreneur can break through all kinds of barriers to entry.(2) Innovation in key constructs. There are three main concepts for the research:①The concept of entrepreneur ability on the entry behavior of private enterprise entering the urban public utilities;②The concept of entrepreneur ability on barriers to entry perceived by entrepreneur;③The concept of the role of the mediating effect of barriers to entry perceived by entrepreneur on the relations between entrepreneur ability and the entry behavior of private enterprise entering the urban public utilities. All these three concepts provides the feasibility for the research of the main logic structures. In order to achieve the above three key constructs, the study is based on two specific concept explanation:①A clear concept definition of the entrepreneur ability and dimensions divided based on the resource demand;②Different dimension of entrepreneurs ability has different influence mechanism on the entry behavior of private enterprises entering the urban public utilities. In addition, the paper study the mediating effect of three kinds barriers to entry perceived by entrepreneur on the relations between entrepreneur ability and the entry behavior of private enterprise entering the urban public utilities.(3) Innovation in access points. the access point of entry behavior can be roughly divided into the following categories:①Based on the transaction cost theory and compromise theory, the researches focus on the behavior of multinational enterprises;②Based on the industry theory, the researches focus on the behavior of industry entry;③Based on the resource difference of enterprise, the researches gradually focus on entrepreneur. The paper focuses on entrepreneur ability, which is a new access point to study the entry behavior of private enterprises. In fact, Entrepreneur or entrepreneur team is the unique resources to support private enterprises to enter the urban public utilities, entrepreneur ability is recessive element of this resource. This study attempts to integrate the entrepreneur ability (focused entrepreneurs find opportunities, relationships, risk-bearing ability) and barriers to entry breakthrough (focused on institutional barriers, economic barriers and the incumbent enterprise strategic barrier perceived by entrepreneur), analyse the influence mechanism of entrepreneur ability on entry behavior of private enterprises entering the urban public utilities.(4)Innovation in research conclusions. This paper reaches some innovative conclusions, such as entrepreneur relationship ability has positive effects on the entry behavior of enterprise. On the one hand, this conclusion responds to the suggestions of the related studies, on the other hand, enriches the research of entrepreneurs relationship ability discussion field. In addition, the moderator effect of entry time on the relations between barriers to entry perceived by entrepreneur and entry behavior of enterprise, explain the contradictory existing research conclusions.