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Strategizing Enterprise Dominance in Standards Associations: The Power of Relational Capital and Market Dynamics

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Abstract

In the rapidly evolving technological landscape, governance and influence over association standards have become a critical strategic battleground for corporations. This study embarks on an exploratory journey to dissect the intricate mechanisms through which relational capital and market power orchestrate enterprise control over competitive standards associations. Analyzing data from 966 A-share listed businesses in China between 2015 and 2019, our findings illuminate the pivotal roles of political affiliations, social organization participation, technological innovation capabilities, and industry status in amplifying corporate sway over association standards, with a marked prominence in the manufacturing sector. By synthesizing theories of social networks, technological innovation, and institutional economics, this research advances our understanding of firms’ multidimensional strategies to navigate and dominate the standards-setting arena. The results underscore the strategic importance of cultivating robust political and social networks, fostering innovation, and solidifying industry standing as levers for enhancing enterprise influence over the creation and governance of association standards. This study not only bridges a significant gap in the literature by shedding light on the underexplored domain of corporate control in standards associations but also offers pragmatic insights for firms strategizing to leverage standards for competitive advantage. Our discourse enriches the knowledge economy narrative by highlighting the symbiosis between relational capital, technological advancement, and governance in steering the direction of industry standards, thereby underscoring a critical avenue for entrepreneurial and societal progress within the technology-driven marketplace.

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Data Availability

The datasets used and/or analyzed during the current study are available from the corresponding author on reasonable request.

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Authors and Affiliations

  1. Center for Quantitative Economics, Jilin University, Changchun, 130012, China

    Yushen Du

  2. School of Business and Management, Jilin University, Changchun, 130012, China

    Yushen Du & Hongli Bao

  3. Management School, Inner Mongolia Minzu University, Tongliao, 028000, China

    Hongli Bao

  4. Industrial and Commercial Bankof China, Dalian Branch, Dalian, 116000, China

    Fan Zhang

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  1. Yushen Du
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  2. Hongli Bao
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Correspondence to Hongli Bao.

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Du, Y., Bao, H. & Zhang, F. Strategizing Enterprise Dominance in Standards Associations: The Power of Relational Capital and Market Dynamics. J Knowl Econ (2024). https://doi.org/10.1007/s13132-024-02002-y

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