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Research on the Relationship among Government Regulations, Strategy Preference and Manufacturing Performance

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DOI: 10.4236/jssm.2012.51005    4,843 Downloads   7,485 Views   Citations


Based on the environment-strategy-performance paradigm, the paper constructs a theoretical framework on the rela- tionship among government regulations, manufacturing strategy and performance. Using structural equation model and a sample of 135 SME of Jiangsu Province, this paper examines the relationship among government regulations, manu- facturing strategy and performance, the result of which shows that government regulations have a significant positive effect on cost, quality and innovation; cost, quality and innovation influence financial performance significantly and positively; quality and innovation have a significant positive effect on non-financial performance, whereas cost has not. Finally, suggestions for SME-development promoting policy and manufacturing strategy selection are putting forward.

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The authors declare no conflicts of interest.

Cite this paper

F. Cheng and W. Wang, "Research on the Relationship among Government Regulations, Strategy Preference and Manufacturing Performance," Journal of Service Science and Management, Vol. 5 No. 1, 2012, pp. 37-43. doi: 10.4236/jssm.2012.51005.


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