How do Supply Chain Shareholdings Affect Enterprise Capacity Utilization?

Shi Fuan, Zou Ying, Qi Ya

Journal of Shanghai University of Finance and Economics Vol. 27, Issue 05, pp. 78 - 92 (2025)  DOI:10.16538/j.cnki.jsufe.2025.05.006

Summary

At a critical juncture for comprehensively upgrading the modernization level of industrial and supply chains and advancing the economy toward high-quality development, it is crucial to strengthen collaboration among supply chain enterprises, establish stable, secure, and mutually beneficial supply chain relationships, and improve enterprise capacity utilization. This is a key measure for China to promote supply-side structural reform, build a modern industrial system, and reshape the landscape for high-quality economic growth. Drawing on a sample of China’s A-share listed companies from 2008 to 2023, this paper systematically investigates the impact of supply chain shareholdings on firm-level capacity utilization and its underlying mechanisms. The findings reveal a significant positive relationship between supply chain shareholdings and capacity utilization, indicating that such shareholdings can substantially enhance enterprise efficiency in utilizing production capacity. Mechanism testing suggests that supply chain shareholdings exert this positive effect primarily by curbing overinvestment, fostering technological innovation, and mitigating supply chain risks. Heterogeneity analysis across macro-, meso-, and micro-level dimensions further demonstrates that this positive effect is more pronounced during periods of heightened economic volatility, in regions with more favorable institutional environments, in industries with lower competition intensity, and for enterprises in their growth stage. An assessment of the economic consequences shows that beyond improving capacity utilization, supply chain shareholdings contribute to enhancing enterprise resilience, thereby empowering enterprises to better withstand external shocks and sustain development. This paper offers valuable implications for constructing a secure and stable modern supply chain system and addressing the issue of excess capacity.

Keywords

supply chain shareholdings; capacity utilization; overinvestment; technological innovation; supply chain risks