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Title: A Reinvestigation of Managerial Ties and Firm Performance in China’s Transition Economy
Source: International Conference on Engineering and Business Management 2012(Part 1 Enterprise Operation and Management（1）) (pp 100-103)
Author(s): Changhong Ni, Economics and Management School, Jiangxi University of Science and Technology, Ganzhou, China
Jiehui Zhang, Economics and Management School, Jiangxi University of Science and Technology, Ganzhou, China
Abstract: This paper explores the paths between manager’s two types of ties (business ties and political ties) and firm’s two kinds of related performance (financial performance and innovative performance) through the mediating roles of organizational learning. Results show that these two kinds of ties have positive direct effects on financial performance. But the two kinds of ties have different effects on innovative performance.Manager’s business ties have positive effect on innovative performance. But, it has positive indirect effect on innovative effect through mediating role of organizational learning. Manager’s political ties reduce the level of organizational learning and finally restrain firm’s innovation, indicating that political ties harm firm’s growth finally. Based on the results, these two kinds of managerial ties should be treated differently.
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