Do one thing under cover of another—A study of multimarket contact,rent seeking and firm performance
Competitive action and its attack-response is one of the important research branches of competitive dynamics theory.This study takes Chinese listed real estate companies as the research sample,puts inter-firm competitive interaction into a multi-market contact situation which is more in line with the competition reality,and at the same time expands the scope of action to the non-market area,and expands the scope of action to the non-market area to ex-plore the impact of multimarket contact on the rent seeking actions of enterprises.The results show that:Firstly,multimarket contact has an inverted U-shape influence on rent seeking,with mutual forbearance effects occurring in the non-market field when the indicator of multimarket exceeds a critical value;secondly,there is a negative correlation between rent seeking and firm performance,and rent seeking does not necessarily lead to improved firm performance;thirdly,rent seeking will play a mediating role between multimarket contact and performance.When faced with the pressure of multimarket competition,firms seek to enhance their performance by engaging in rent seeking behaviors in non-market domains;fourthly,institutional environment will weaken the influence of multimarket contact on rent seeking.The above conclusions indicate that when faced with multiple market contacts,firms often adopt a strategy of"Do one thing under cover of another".While mutual forbearance may be observed among firms in the market domain,they covertly seek to launch attacks through non-market competitive actions,ultimately resulting in competition spillover into non-market domains.The research findings effectively ex-pand the current theoretical research on multi-market competition and provide valuable insights for multimarket firms to better grasp inter-firm competitive interactions.
NETL
NSTL
万方数据
