The Influence Of Cultural Distance On Business Performance Of Foreign Service Enterprises In China

With the continuous development of economic globalization,transnational operation of enterprises has become a global upsurge,which has a profound impact on the global economy.At the same time,the relationship between culture and economy is gradually deepening,and the trend of their integration is becoming more and more prominent.Culture plays an important role in the transnational operation of enterprises.At the same time,under the policy of "six guarantees" and "six stabilities",attracting foreign service enterprises to operate in China,so as to promote China’s economic development and achieve the goal of stabilizing foreign investment and foreign trade has become the current situation Key strategy.Therefore,it is of great practical significance to study the impact of cultural distance on customer performance of foreign service enterprises in China,which can provide some guidance and suggestions for attracting foreign enterprises into China and promoting China’s economic development.This paper reviews the relevant research on corporate performance,cultural distance and isomorphic behavior,defines the connotation and dimension of cultural distance,isomorphic behavior and corporate customer performance,and then selects the two variables of cultural distance and corporate performance to discuss the relationship between cultural distance and corporate performance,and discusses the influence of isomorphic behavior on Corporate performance Finally,a conceptual model of the relationship among cultural distance,isomorphic behavior and customer performance is proposed.Based on Hofstede’s cultural dimension index,this paper calculates the cultural distance,and takes the online customer ratings of 1886 hotels of 43 foreign-funded hotel groups located in 50 key tourism cities as the research data to carry out the corresponding empirical research.In order to verify the model and related hypotheses,this paper takes foreign service enterprises in China as the empirical research object,and obtains relevant data through Ctrip.This paper uses stata14.0 software to conduct a series of analysis tests on the sample data,and tests the influence of cultural distance on the performance of foreign service enterprises in China,and the moderating role of isomorphic behavior in the influence of cultural distance on the performance of foreign service enterprises in China.Finally,according to the empirical test results,the relevant hypotheses are discussed and the final conclusion is drawn.The results of this study show that culture has a profound impact on the transnational operation of foreign-funded enterprises,and the different dimensions of culture have different effects on enterprise performance.The cultural distance of individualism,power class distance,uncertainty avoidance,long-term orientation and indulgence and restraint have a significant negative impact on the performance of foreign-funded service enterprises in China has no significant effect on the performance of foreign-funded service enterprises in China.Therefore,enterprises should pay attention to the influence of cultural factors on their business performance in transnational operation.In addition,the results of this study also show that isomorphic behavior has a moderating effect on the mechanism of cultural distance’s influence on the performance of foreign service enterprises in China.Therefore,enterprises should attach importance to isomorphism to parent companies in transnational operation,so as to weaken the negative impact of cultural distance on the performance of foreign service enterprises in China.From the perspective of customer performance,the innovation of this paper is to study the business performance of foreign-funded service enterprises by customers’ evaluation,and provide strategic guidance and suggestions for improving the business performance of foreign-funded service enterprises in the Chinese market.At the same time,the paper divides cultural distance into six sub dimensions,and examines the influence of different single sub dimension distance on the performance of foreign-funded service enterprises in China,which is an in-depth supplement to the research on the influence of cultural distance on the transnational business performance of enterprises in internationalization theory.We also use isomorphism as a moderator to study the effect of isomorphism on the performance of internationalization.Based on the above empirical results,this paper gives the corresponding management enlightenment such as transnational operation of enterprise city and methods of improving enterprise performance,and provides suggestions for scholars to study the issues related to cultural distance and enterprise performance,and provides guidance for promoting transnational operation of enterprises and attracting foreign enterprises to enter China.It can not only guide foreign service enterprises to pay more attention to the factors of cultural environment when operating in China It is emphasized that foreign enterprises should pay attention to cooperation with local enterprises when operating in China,which can not only help foreign service enterprises improve their business performance in China,but also provide certain reference for Chinese enterprises to go abroad...