Research On The Impact Of Political Connections And Social Responsibilities Of Manufacturing Private Enterprises On Enterprise Performance

The relationship between government and enterprises and its impact have always been a hot topic in academic circles.Political connection,generally taking executive political background as an agent variable,embodies the recessive relationship between the government and the enterprise,which is often considered to bring competitive advantage and scarce resources to the enterprise,and is beneficial to the improvement of enterprise performance and enterprise value.But at the same time,political connections bring about the requirements of corporate social responsibility and have a complex impact on the performance of enterprises.There is no consensus on the relationship between the three literatures.Relative to state-owned enterprises,private enterprises need to get government support to promote their own sur vival and development,so the significance of political connection is more important to private enterprises.With the development of social economy,the requirement of fulfilling corporate social responsibility is the most prominent in the manufacturing in dustry with high pollution and high energy consumption.Therefore,this paper takes the manufacturing private enterprises as an example to explore the relationship between political connection,social responsibility and corporate performance.Based on the theories of government intervention theory,rent-seeking theory and resource dependence theory and other literature,this paper selects 2012-2017 of the data of the 2012-2017 private enterprises in Shanghai and Shenzhen stock market listed in the manufactu ring industry.This paper puts forward the hypothesis of the relationship between political connection,social responsibility and enterprise performance respectively and carries out the corresponding evidence analysis.First of all,we study the impact of political relevance and its level on enterprise performance;secondly,study the impact of corporate performance on corporate performance by corporate social responsibility;finally,study how both political relevance and social responsibility work together on corporate performance,and further analyze the impact of enterprise norms on the relationship between the three.The empirical analysis shows that there is no significant relationship between the political relevance and the level of the enterprise exe cutives,that is,the political connection does not necessarily improve the performance of the enterprise.The social responsibility of the enterprise has a significant positive correlation with the performance of the enterprise,indicating that the performance of social responsibility can promote the performance of the enterprise.There is a significant positive correlation between the joint role of the corporate performance and the performance of the corporate social responsibility,which indicates that the political connection promotes the enterprise performance improvement by the enterprise's performance of social responsibility.Finally,we find that the scale of enterprises affects the above relationship to a certain extent.