Empirical Research Of The Relationship Between The Listed Companies’ Specific Investment And Reputation

In recent years, the product safety crisis has appeared frequently in our country,so the industry reputation crisis which resulted from the product damage crisis ofmany industries has become the focus of people’s attention. Based on the systembackground and market characteristics of our country, faced to the enterprise productreputation crisis, this paper analyses the enterprise reputation formation mechanismfrom the inner relationship between the enterprise specific investment and enterprisereputation, examines the fundamental causes of the reputation crisis, answers the twopropositions, one is the fundamental formation path and influencing factors ofenterprise reputation, the other is the inner logic relationship between specificinvestment and enterprise reputation.This paper takes the inner logic relationship between specific investment andenterprise reputation as the main line. Through the theoretical deduction, this paperdefines two key concepts, specific investment and enterprise reputation. Byestablishing the theoretical model, choosing the better structural equation model,using the index system, and combining the reflection that the product market andconsumers to the product crisis, this paper selects food, medicine and home applianceindustry to do the empirical test. On the basis of theoretical analysis and empirical test,and combined with our country’s system background, this paper aims to build areputation management system, implement reputation management strategy andpromote the enterprise reputation by optimizing the specific investment structure.The main research contents of this paper are presented as follows:Through the theoretical deduction, this paper suggests that specific investment isa generic term of many strategic investments that enterprises do for specificity assets,such as brand capital investment, R&D investment, advertising investment, the non-residual value production investment and so on, in order to improve the operationefficiency, establish and maintain the certain trade relationship, enhance the corecompetitiveness, and improve the enterprise reputation; specific investment is theoptimized matching between the reasonable allocation of specificity assets and assetstructure; specific investment is the way to provide stakeholders the crediblecommitment and show the motivation and ability to achieve the commitment; specificinvestment is also the investment in the enterprise reputation constructionmanagement and the transmission of reputation information. Enterprise reputation is acomprehensive evaluation that stakeholders show to the natural contract and socialcontract that fulfilled by enterprises; enterprise reputation is a result of counterbalancerelationship among stakeholders; enterprise reputation is the credible commitmentdegree that enterprises show to stakeholders; enterprise reputation is also theaccumulation of effect on the enterprises’ specific investment in key link of theindustrial chain.In order to analyses the inner logic relationship between specific investment andenterprise reputation, this paper establishes the model of enterprise reputationformation chain and feedback chain based on the stakeholder theory. Besides, byintroducing the credible commitment, the specific investment, credible commitmentand enterprise reputation SCR interaction model is also established, and the resultssuggest that enterprise reputation can be reflected by the combination influencebetween credible commitment degree and specific investment structure, and with theoptimization of the specific investment structure and the improvement of the crediblecommitment degree, the enterprise reputation will be enhanced gradually.Based on the theoretical model, this paper selects the2006-2010data of listedcompanies in food, medicine, and home appliance industry as empirical study samplesto do the empirical research, by designing the index system of specific investment andenterprise reputation variables, and establishing the structural equation of specificinvestment and enterprise reputation. The empirical results show that there is asignificantly positive relationship between specific investment and enterprisereputation in our country’s listed companies in food industry and home applianceindustry; and there is a positive relationship in medicine industry.According to the empirical results, combined with the system background andmarket characteristics of our country, from the perspective of engineering, this paperfollows the inner logic of enterprise reputation’s formation to establish the reputationpyramid management system of enterprise leading, government guidance and public participation from three levels, which include macro supervision and regulation,medium industry layout, and micro enterprise management. From the macroscopiclevel, in order to build good environment for enterprise reputation strategyimplementation, it is necessary to establish the policies and regulations and plans aimto deal with enterprise reputation crisis, all of these should adapt to the economicsystem, social background, stakeholder ability and market characteristics in ourcountry. From the medium level, by linking a certain enterprise with other enterprisesthat located in its upstream and downstream, setting up the enterprise reputationshared network, and optimizing the regional space layout of industrial chain, to makespecific investment in key link of the industrial chain play integrated effect in theprocess of enterprise reputation establishment and maintenance and become theimportant platform of specific investment optimization allocation in the enterprisesthat located in the panel point of industrial chain, so as to realize the dynamicoptimization of specific investment structure in key link of the industrial chain andpromote the continued ascension of enterprise reputation. From the microscopic level,it is necessary to put the concept of enterprise dealing with reputation crisis and theimplementation of reputation strategy into practice, and establish enterprise reputationstrategy implementation and operational framework by using the strategic balancescore card thought, so as to improve enterprise reputation and enhance the reputationcontinued ascension ability and reputation competitiveness through optimizingspecific investment structure and complementing reputation strategy.The possible contributions of this paper are presented specifically as follows:firstly, this paper establishes the model of enterprise reputation formation chain andfeedback chain based on the stakeholder theory to analyses the inner logic relationshipbetween specific investment and enterprise reputation, and introduces the crediblecommitment to establish specific investment, credible commitment and enterprisereputation SCR interaction model; secondly, this paper takes the structural equationmodel as the empirical research method, and establishes the structural equation modeland index system of the relationship between specific investment and enterprisereputation from a financial index perspective; thirdly, this paper establishes thereputation pyramid management system of enterprise leading, government guidanceand public participation from three levels, which include macro supervision andregulation, medium industry layout, and micro enterprise management.Based on the summary of existing researches, this paper makes theoreticalanalysis and empirical research of the relationship between specific investment and enterprise reputation and acquires some achievements, but there are also somelimitations just because of the lack of theoretical knowledge and time. The limitationsare presented specifically as follows: firstly, the established specific investment,credible commitment and enterprise reputation SCR interaction model is just a generalframework, and there is no rigorous mathematical logical deduction; secondly, thispaper does not consider all the industries, and just selects food, medicine, homeappliance industry as the empirical study samples, so it is need to be further expanded;thirdly, due to the factors such as index quantification and data availability and so on,the selection of related model index is just limited in the enterprise financial index,and not all of the stakeholders’ evaluation effects on enterprise reputation are fullyconsidered, so the research results are limited and it is also necessary to expand andperfect the enterprise reputation evaluation index system.