The Impact of OBM and Industry Clusters on the Performance of China’s Fitness Equipment Manufacturing Industry
Date Issued
2012
Date
2012
Author(s)
Ku, Ming-Wei
Abstract
In this paper, the spatial analysis method was used to explore the impact of OBM and industry cluster on operating performance of China’s fitness equipment manufacturing industry.The subjects were 421 companies in China’s fitness-related industries in 2007.After the related variables were calculated by spatial analysis softwares, the real impact of OBM and industry cluster on operating performance can be realized by controlling manufacturers characteristic factors and spatial location factors.
Empirical results shoe that own brand manufacturers have better operating performance than original equig pment manufactures in China’s fitness equipment manufacturing industry. The firms inside the 100km cluster circle have better operating performance through resource sharing. The external effects from industry cluster have positive effects on business performance. Even though the scale of investment, manufacturing technology and design ability of China firms are inferior to foreign firms, result in China firms hard to compete with foreign firms in commercial and high level home fitness market. The China own brand manufacturers have more significant advantages than foreign own brand manufacturers by taking an efficient Pareto principle.
In addition, the paper also found that total assets, capital-labor ratio and the proportion of export factors have significant negative impact on business performance. The other spatial location factors which like road density, the distance of port and average wage would affect business performance.
Subjects
OBM
Industry cluster
Fitness industry
Spatial analysis
Operating performance
Type
thesis
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