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The Impact of Social Networks on the Operating Efficiency of Chinese Technology Business Incubators

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  • Chenghua Guan

    (School of Economics and Resource Management, Beijing Normal University, Beijing 100875, China)

  • Ye Fan

    (School of Economics and Resource Management, Beijing Normal University, Beijing 100875, China)

Abstract

Based on data reflecting 1202 technology business incubators (TBIs) in China from 2016 to 2018, this study measures the operating efficiency of TBIs in China through their use of the data envelopment analysis(DEA) and analyzes the impact of network tie strength, network size, and network centrality on the operating efficiency of TBIs through Tobit, while discussing differences among specific regions. The results demonstrate that the operating efficiency of TBIs in China is increasing. The average operating efficiency of TBIs in the eastern region has increased annually, reaching its highest levels in China in 2018. Moreover, the average operating efficiency of TBIs in the northeastern and western regions is low. Network size and network centrality have a significant positive impact on the overall operating efficiency of the TBI, and network tie strength has an inverted U-shape form of impact. The established time, size, nature, and reputation of TBIs have a significant positive impact on the operating efficiency of the TBI. In the western China, geographical location has a positive correlation with the operating efficiency of the TBI. However, in the northeastern region, the nature of the TBI has a negative correlation with the operating efficiency of the TBI. This is the first use of full sample data to study the operation efficiency of Chinese TBIs from the perspective of social networks.

Suggested Citation

  • Chenghua Guan & Ye Fan, 2020. "The Impact of Social Networks on the Operating Efficiency of Chinese Technology Business Incubators," Sustainability, MDPI, vol. 12(7), pages 1-23, March.
    • Handle: RePEc:gam:jsusta:v:12:y:2020:i:7:p:2727-:d:339031
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