The Impact Of The Belt And Road Initiative On Corporate Resilience

The leadership of the Communist Party of China is an essential guarantee for the high-level development of the Chinese economy.Since the reform and opening up,the policy support provided by the Party Central Committee has been a critical factor in the vigorous development of my country’s market economy.It has promoted my country’s enterprises to move towards high-quality products.At the 20 th National Congress of the Party held in 2022,General Secretary Xi Jinping once again pointed out that our party must continue to promote the high-quality development of the Belt and Road Initiative,form a more comprehensive pattern of opening up,and safeguard the international economic structure and stability of trade relations.The general secretary’s speech reflects the positive impact of the Belt and Road Initiative on maintaining the strength of the world economy and boosting the development of international trade.As the top-level design of my country’s opening to the outside world,the "Belt and Road" initiative has achieved remarkable results since it was put forward.Even during the three years of the COVID-19 pandemic,the Belt and Road Initiative has made significant contributions to our country’s economic growth along the route.In terms of enterprises,the Belt and Road Initiative improves the development of relevant enterprises by optimizing the investment environment of related countries,striving for a broader market for enterprises,simplifying international trade procedures,and providing financial support.Today,we are in the midst of "great changes unseen in a century." From a domestic view,china’s economic development has entered a new era,and economic growth has slowed.From an external point of view,the development of the world economy needs to deal with numerous obstacles caused by many external factors represented by COVID-19.It is precisely based on such a background that the external environment facing the development of Chinese enterprises is becoming increasingly complex.In such a changeable and complex environment,more and more people focus on corporate resilience.For an enterprise,the higher its resilience,the less negatively it will be affected by external crises.Therefore,how to help enterprises enhance their resilience has become the focus of many managers.With the continuous emergence of external crises,whether the One Belt,One Road Initiative can positively impact the resilience of enterprises and make enterprises develop steadily has become one of the questions that we urgently need to answer.Based on such a scenario,this study uses the difference-in-differences(DID)model,takes the data of Chinese A-share listed companies from 2018 to 2021 as the research sample,and uses the method of propensity score matching(PSM)to explore the Belt and Road Initiative Impact of Support on Firm Resilience.Through empirical analysis,this study finds that:(1)Support from the Belt and Road Initiative can help companies become more resilient and reduce their impact during the COVID-19 epidemic;(2)The Belt and Road Initiative support can strengthen enterprises’;(3)The industry characteristics of enterprises and the differences in the impact of the COVID-19 in their locations moderate the impact of the Belt and Road IInitiative on the resilience of supported enterprises.Specifically,the positive impact of the support of the Belt and Road Initiative on corporate resilience is mainly reflected in regions that are relatively more severely affected by the epidemic and enterprises engaged in key cooperation industries under the Belt and Road Initiative.Overall,the findings of this paper suggest that BRI support can have a beneficial effect on solid resilience.The contributions of this study are:(1)explored the positive impact of the implementation of the Belt and Road Initiative on strengthening corporate resilience,supplemented the research results on the impact of macro policies on the ability of companies to cope with external crises,and enriched the research results related to the “Belt and Road” initiative;(2)Starting from the two dimensions of profit level and investment opportunities,explored the middle path of the Belt and Road Initiative to support and enhance corporate resilience,and deepened the understanding of the core connotation of the Belt and Road Initiative Understand;(3)The data analysis results show that the positive impact of the Belt and Road Initiative on corporate resilience is more significant in areas with severe epidemics and industries that are strongly supported by the Belt and Road Initiative,clarifying the impact of the Belt and Road Initiative on corporate resilience Affected boundary conditions.The research conclusions of this paper not only help enterprises to establish a sense of urgency further but also provide empirical evidence support for relevant government departments to formulate appropriate policies to promote enterprise development,which has specific enlightening significance.