As a core indicator for measuring the level of economic development,GDP has become a globally recognized economic metric since it was established by Simon  Smith Kuznets in the 1930s. However,as China's economic and social development enters a new stage,the limitations of the traditional GDP indicator have become increasingly apparent,making it difficult to meet the comprehensive assessment needs of development quality in the context of Chinese modernization. Constructing a new economic measurement that can address the shortcomings of GDP and align with the development orientation of Chinese modernization is not only an optimization and improvement of the existing accounting system but also a necessary requirement to provide scientific and quantitative support for advancing Chinese modernization. 

This paper proposes the concepts of Effective GDP and the adjustment factor, in which we apply the adjustment factor to convert GDP into Effective GDP. The Effective GDP and the adjustment factor reflect the goals of sustainable development, providing an innovative, scientific, and practical solution to address the pitfalls of traditional GDP measures. Our further analysis, based on the data from 248 countries and regions, shows that the adjustment factor performs much better than traditional measures in measuring the level of sustainable development. Specifically, the adjustment factor shows a significantly stronger correlation with well-being indicators such as the World Happiness Report (WHR), compared to Sustainable Development Goals Index (SDG Index). These results show that the Effective GDP better captures aspects of development quality beyond what is reflected in GDP alone. Unlike the United Nations' SDG framework, which encompasses hundreds of indicators, Effective GDP relies on an adjustment factor constructed from only seven core indicators. This streamlined approach explains the majority of variations in well-being, and level of sustainable development, which makes the metric easier to monitor, compare, and apply.

According to World Bank data,China's per capita GDP in 2024 is $13,300,placing it 73th globally. However,our calculations show that China's adjustment factor is 1.10,placing it 35th globally. The change in ranking suggests that when accounting for the quality of development guided by Chinese modernization,China's actual development level is much higher than its nominal per capita GDP rank implies. Meanwhile,some resource-rich countries with high per capita GDP may have adjustment factors significantly below 1 due to deficiencies in productivity,equity,and other dimensions,resulting in lower rankings in adjustment factor compared to their nominal GDP rankings. The adjustment factor and its performance across sub-indicators thus provide a more precise framework for countries to assess their development status and identify areas for improvement.

Consumers desire to maintain self-subjectivity and control over their lives, yet advertising often objectifies them into subjects aligned with promoting specific products. This transformation frequently provokes resentment, disgust, and complaints. While such resistance reflects consumer dissatisfaction, it also hinders access to valuable shopping information, disrupts decision-making, and reduces marketing efficiency and business outcomes.

Despite the growing complexity of advertising strategies and their profound impact, neither academia nor industry has provided a viable solution for addressing advertising resistance. This study explores how advertising shapes consumer subjectivity and the forms of subjectivity that emerge as a result. Without viewing consumers as moldable subjects and analyzing the issue from this perspective, it remains challenging to interpret resistance behavior or reconcile the relationship between advertising and consumers. The research addresses two central questions:How does advertising shape consumer subjects? What kind of subjects do consumers become under such influence?

Among theoretical frameworks, Michel Foucault's perspective on power, discourse, and subjectivity provides a compelling lens. Foucault explains how power and discourse interact to shape subjects and offers insights into resulting subjectivities. Building on his concepts, this study defines the consumer subject as a “moldable form” and views advertising as a mechanism for exercising power and practicing discourse.

This study adopts a temporal perspective to trace how advertising has shaped consumer subjectivity across different historical periods and analyzes the mechanisms by which contemporary advertising continues to shape consumer behavior. In doing so, the research aims to propose effective strategies to address the challenges of advertising resistance. At the theoretical level, this study utilizes the power-discourse-subject framework to conduct a holistic and process-based analysis of the role of advertising in shaping consumer subjectivity. It aims to expand the research boundaries of marketing, advertising, and consumer behavior. At the practical level, the study seeks to establish a reconciliation pathway between advertising and consumers, ultimately improving the effectiveness of advertising communication and promoting the sustainable growth of corporate performance by mitigating advertising resistance. 

The findings reveal that in the classical era, advertising's power and discourse mechanisms were underdeveloped, resulting in minimal influence on consumer subjectivity. Consumers could easily resist advertising's effects. During the print era, institutionalized power strategies, discursive dividing practices, and truth-based knowledge dissemination enabled advertising to exert greater influence. Consequently, consumers found it harder to resist, aligning their behaviors more closely withadvertising goals.The electronic era saw further advancement, with institutionalized and systematized power mechanisms, authoritative discourse, and repetitive messaging amplifying advertising's influence. Resistance became even more challenging, and consumer behavior became more aligned with advertising objectives.

In the digital-intelligent era, advertising reached unprecedented sophistication, employing personalized, programmatic, and systematized strategies. Functions such as discourse commenting and purification further refined its influence. This led to the emergence of two distinct consumer identities:highly controlled consumers and self-driven, active shoppers. The latter actively engage in consumption, shaped by advertising mechanisms. The digital-intelligent era thus underscores advertising's profound impact on consumer subjectivity.

To reconcile advertising with consumers and address resistance, the study proposes six strategies:respect consumer autonomy and avoid manipulation; adopt a co-creation model for equal collaboration; emphasize advertising's supportive role by providing meaningful information; foster an independent advertising industry to ensure ethical practices; involve third-party institutions as checks on advertising power; and encourage consumers to become ethical, autonomous subjects who resist passive shaping.

This study examines how firms' adoption of industrial robots reshapes their value-added tax (VAT) burden under China's credit-invoice system,explaining why automation can both reduce and raise VAT over time. We propose and test a timing-based mechanism—“credit first,leverage later”. When a firm purchases robots,the equipment arrives with substantial input VAT that is immediately creditable,easing the net VAT burden in the short run. As robots are integrated,efficiency improves,capacity expands,and taxable sales grow; output VAT then rises faster than routine input credits from ordinary purchases,producing a rebound of the VAT burden in subsequent years. Whether robotization ultimately lowers or raises VAT depends on the relative speed and strength of these two forces.

We build a large firm-level panel linking markers of robot adoption—identified from standardized product codes in customs and procurement records—to the Annual Tax Survey (ATS),China’s official micro database with invoice-based measures of output VAT,input VAT,and net VAT,plus detailed financials. This construction supports multiple definitions of “VAT burden”, including theoretical liabilities based on invoices and actual VAT paid relative to sales. Tracking firms around their first recorded robot purchase,our empirical strategy leverages staggered adoption across otherwise similar firms,includes firm and time fixed effects,anchors dynamics with event-time profiles,and probes credibility with design-consistent checks.

Three core results emerge. First,in the purchase year,the net VAT burden falls meaningfully across normalizations—using theoretical VAT over sales,actual VAT paid over sales,or invoice-based netting. Flat pre-trends in event time support identification. Second,the decline is short-lived:in the first and second years after adoption， the VAT burden rebounds and often overshoots pre-adoption levels,aligning with rapid growth in taxable sales as production scales. Third,invoice-flow decomposition clarifies the mechanism:purchase-year input VAT credits jump due to large,lumpy capital buys,while output VAT normalized by sales barely moves,consistent with integration lags; after adoption,output VAT rises with sales while incremental input credits revert to routine levels,yielding the predicted dip-and-rebound path.

Heterogeneity reveals where each force is strongest. Purchase-year easing is larger for higher-priced or precision-grade robots (bigger embedded credits,longer integration). Firms with tighter liquidity constraints see more pronounced short-run easing,underscoring cash-flow salience of timely input-VAT crediting. Financially stronger firms transition faster to the leverage phase,showing earlier rebounds. Regional capabilities matter:thinner knowledge ecosystems (lower research intensity or weaker global value-chain exposure) exhibit larger immediate relief and slower returns to baseline,indicating longer absorption lags.

Complementary real-outcome evidence supports leverage:post-adoption,asset turnover,capacity-utilization proxies,and total factor productivity rise;employment,wage bills,and patenting increase with a lag. Robots are part of a broader reorganization that expands taxable activity and thickens the VAT base.

The paper contributes along three dimensions. First,it brings indirect taxation to the center of the automation debate. Most existing work focuses on corporate income tax incidences or on aggregate fiscal effects. By exploiting invoice-level mechanics inside a credit-invoice regime,we provide micro evidence on how technology adoption maps into VAT flows,which are central to public finance in China and many other economies. Second,the timing framework'credit first,leverage later'reconciles claims that automation both eases and tightens tax burdens. Both statements can be true,but they refer to different horizons governed by accounting rules and real adjustment dynamics. Third,we highlight how technology complexity,financial frictions,and local capability endowments shape the path from purchase to performance,thereby explaining cross-sectional variation in the magnitude and speed of the rebound.

Policy implications are direct. In the short run,administrative frictions that delay recognition of input-VAT credits can magnify financing stress exactly when firms are making lumpy frontier investments. Streamlined invoice processing,prompt and predictable crediting,and clear documentation standards can reduce those stresses and support diffusion. In the medium run,the observed rebound in VAT burden should be interpreted as the fiscal shadow of successful scaling rather than a policy failure. As firms integrate robots,taxable sales expand and the VAT base becomes broader and more resilient. Complementary policies that compress absorption lags support for systems integration,workforce upskilling,and process redesign can accelerate the transition from purchase-year relief to productivity-driven base expansion. For tax administrators,recognizing the predictable dip-and-rebound profile around adoption events can improve the targeting of taxpayer services,facilitate risk monitoring,and guide communication with stakeholders who may otherwise misread short-term fluctuations in filings.

In sum,robot adoption triggers immediate relief via input-VAT credits,followed by integration-driven growth that lifts output VAT;understanding this temporal interplay is essential for evaluating tax consequences and designing policies that catalyze high-quality investment while sustaining a robust VAT base.

We study sell-side analyst reports in China and ask why many reports forecast a wide set of non-EPS indicators and what this diversity implies for information quality and investment value. Prior research shows that analysts often forecast sales,operating cash flows,pre-tax income,cash dividends,and other metrics beyond earnings. A common interpretation is signaling mechanism:analysts who disclose more categories of forecasts are thought to hold superior private information or to exert greater research effort. Under that view,richer non-earnings disclosure should improve earnings-forecast accuracy and raise the investment value of stock recommendations.

We question whether that mechanism holds in China. In the United States and Europe,analysts face broad discretion over whether and how to disclose non-EPS forecasts,so cross-sectional diversity plausibly tracks individual skill,effort,and strategic choices. By contrast,our industry interviews and institutional facts indicate that brokerage firms' compliance functions issue guidance on which financial indicators analyst reports should cover. This guidance likely drives much of the observed diversity. In this setting,the number of indicators forecasted may reflect the form and intensity of broker compliance rather than analysts’ private information.

We therefore propose a compliance-regulation mechanism. Under broker compliance frameworks,reports must disclose specified forecast values for designated indicators. When compliance requires a broader set of forecasts,analysts must maintain self-consistency across indicators. This requirement compels more rigorous financial analysis and narrows the scope for arbitrary embellishment or optimistic bias in earnings forecasts,thereby reducing both forecast errors and optimism bias. However,because compliance regulation does not generate private information,greater indicator diversity should not increase the investment value of stock recommendations.

We define forecast-indicator diversity as the number of distinct financial categories for which a report provides explicit forecasts. We first examine the relation between diversity and earnings-forecast errors and optimism bias.The results show that higher diversity is associated with lower errors and less optimism bias. We then test investment value by relating diversity to abnormal returns around recommendation revisions. However,we do not find a significant relation. Taken together,these results support the compliance-regulation mechanism and do not support the signaling mechanism.

Next,we separate diversity into broker-level and analyst-level components. At the broker level,analysts employed by the same broker are expected to exhibit similar diversity for two reasons. On the one hand,a common research platform and shared resources could create correlated information advantages,in which case broker-level diversity might improve both earnings-forecast quality and recommendation value. On the other hand,if brokers’ formal compliance reviews and template requirements drive convergence in what indicators must be forecasted,broker-level diversity should primarily improve earnings-forecast quality while having little effect on recommendation value.At the analyst level,individual analysts retain discretion over which indicators to emphasize. If the signaling mechanism were correct,analyst-level diversity should positively affect both forecast quality and the investment value of recommendations.

Operationally,we measure the broker-level component as the monthly average diversity across a broker's reports and define the residual as analyst-level.We find that 91.2% of the total variation in forecast-indicator diversity is explained by variation at the broker-by-year-month level,indicating that most variation arises from broker-level forces rather than individual analyst discretion.

We then estimate the separate effects of broker-level and analyst-level diversity on earnings-forecast errors,optimism bias,and the investment value of recommendations. The broker-level component significantly reduces both forecast errors and optimism bias,whereas the analyst-level component has no significant impact. Neither component improves the abnormal-return payoff to recommendations revision. Overall,the evidence favors the compliance-regulation mechanism over the signaling mechanism.

To probe how broker-level diversity improves earnings-forecast quality,we conduct two mechanism tests. First,in the six months after an administrative penalty imposed by the CSRC on a broker,the negative association between broker-level diversity and both forecast errors and optimism bias becomes more pronounced.This amplification suggests that external regulatory pressure is transmitted through internal compliance to discipline forecast production. Second,greater broker-level diversity increases the self-consistency of reported indicators,constraining arbitrary forecasting behavior and improving the rigor of analysis. These results provide additional support for the compliance-regulation mechanism.

Finally,we study implications for market quality.Although offering more forecast indicators does not appear to reflect private information advantages,it generates positive externalities. Broker-level diversity significantly improves stock liquidity and price information efficiency while reducing both overall price volatility and noise-driven price volatility. However,analyst-level diversity does not significantly improve market quality.

This study contributes to two strands of research.First,on non-earnings forecasts,we show that in China,forecast-indicator diversity is shaped more by formal broker compliance than by analysts' private information or incremental effort. Compliance enhances the self-consistency of disclosed indicators,thereby improving earnings-forecast quality without increasing the investment value of recommendations. Second,it complements work on the determinants of analysts’ earnings-forecast quality. While prior explanations emphasize information access and conflicts of interest,our findings indicate that brokers' form-focused compliance requirements—though not expanding analysts’ private information—induce greater self-consistency cross indicators and thus higher-quality earnings forecasts.

This study investigates the phenomena of issuance price distortion,underlying issuance motives,and minority shareholder protection in China's convertible bond market,and elucidates the intricate interrelationships among these factors. Empirical analysis reveals a pronounced distortion in the primary market: the average first-day excess return upon listing reaches 19.1%,substantially exceeding the approximately 1.1% observed in developed economies.

The origin of this distortion is traced to controlling shareholders' propensity to set the conversion price at the regulatory minimum,thereby inflating the embedded call option value of convertible bonds. Consequently,the fair value of these securities significantly exceeds their fixed issuance par value (RMB 100 per unit),effectively amounting to a discounted issuance.

The incentives underpinning this arrangement are dual in nature. At the corporate level,convertible bonds serve as a de facto equity financing instrument-evidenced by an eventual conversion rate as high as 95.2%. At the individual level,for controlling shareholders,the mechanism functions as a concealed channel for share divestment and liquidity extraction. Notably,this divestment occurs in an indirect or disguised form: rather than disposing of existing equity holdings in the secondary market-which may be subject to regulatory lock-up constraints or adverse price impacts-controlling shareholders exercise preemptive subscription rights to acquire significant quantities of convertible bonds at par value,proportionate to their shareholdings. Subsequently,they exploit the considerable spread between primary and secondary market prices by liquidating these bonds shortly after listing. In the longer term,when the bonds convert into equity,the controlling shareholders' ownership is diluted,thereby completing the cash-out process. Further evidence indicates that shareholders facing lock-up restrictions and those in privately-owned enterprises exhibit a greater propensity to adopt this strategy.

By contrast,minority shareholders-hampered by information asymmetries and limited familiarity with convertible bond mechanisms-frequently fail to exercise their preemptive rights. As a result,their equity is diluted at undervalued conversion prices,yet they derive no compensatory gains from the discounted issuance. This process imposes a net economic loss,estimated at RMB 83.63 million per issuance,on minority shareholders. This loss does not stem from a direct expropriation of minority shareholder rights by controlling shareholders,as typically characterized in the traditional corporate governance literature. Rather,the losses borne by minority shareholders constitute the key factor that attracts external investors to participate in convertible bond offerings. The successful issuance of convertible bonds,in turn,facilitates controlling shareholders in achieving their own objectives-namely,equity financing and the divestment of shareholdings for controlling shareholders.

Moreover,the substantial issuance discount incentivizes short-term arbitrage activity,thereby undermining share price stability. Investors seeking preemptive rights engage in concentrated stock purchases following issuance announcements,only to rapidly liquidate positions after the record date. This behavior yields pronounced abnormal return patterns,characterized by “announcement-date surges” followed by “post-record-date reversals.”

We put forward policy recommendations in the following four areas:First,raise the lower bound of the conversion price to reduce the discount issuance of convertible bonds. Second,improve the system of preferential allocation for existing shareholders and regulate the self-subscription behavior of controlling shareholders. Third,improve the trading system for convertible bonds and regulate the share-disposal behavior of controlling shareholders. Fourth,strengthen investor education related to convertible bonds in order to protect the rights and interests of minority shareholders.

Judicial protection of intellectual property rights (IPR) plays a central role in China's IPR protection system. On the one hand,judicial protection offers institutional advantages such as stability,long-term effectiveness,clear rules,and definitive authority,safeguarding the legitimate rights of holders both substantively and procedurally. On the other hand,it serves as the primary and ultimate means for IPR holders to enforce their rights,with the judicial system absorbing a large volume of IP-related disputes. According to the White Paper on China's Intellectual Property Protection published by the China National Intellectual Property Administration,the total number of first-instance intellectual property cases—including civil,criminal,and administrative cases—accepted annually by courts across the country remained at around 100,000 between 2011 and 2014,before increasing rapidly after 2015 and reaching 570,000 by 2021. The latest China Patent Survey Report released by the CNIPA indicates that in 2023,over 80% of Chinese enterprise patentees actively resorted to judicial channels (including “sending cease-and-desist letters through attorneys” and “filing lawsuits in court”) to protect their rights after encountering patent infringements. Moreover,the proportion of enterprise-involved patent infringement cases that resulted in court-awarded damages,court-mediated settlements,or out-of-court settlements exceeding RMB 5 million increased to 8.4%,a significant rise compared to the 3.1% recorded during the 13th Five-Year Plan period. Against the backdrop of a new round of technological revolution and rapid industrial transformation driven by innovation,intellectual property has become a strategic national resource critical to scientific and technological advancement. It enables and amplifies other factors of production with multiplier and amplification effects,playing a vital role in developing new quality productive forces. The strength and quality of judicial protection for intellectual property directly influence the effectiveness of protecting innovation outcomes and stimulating innovative vitality,thereby shaping the implementation and progress of the innovation-driven development strategy.

The “Three Trials in One” judicial reform,which enhances incentives through institutional improvement and strengthens protection through legal enforcement,represents a major institutional innovation aimed at building an efficient intellectual property (IP) judicial protection system and accelerating the development of new quality productive forces. This paper theoretically investigates the mechanism through which the “Three Trials in One” reform influences innovation among Chinese firms,manually collects data on the implementation progress of the reform across local courts,and employs a multi-period difference-in-differences model to empirically examine its impact on corporate innovation. The findings reveal that the reform significantly promotes innovation by strengthening IP protection,reducing institutional transaction costs for firms,and raising executives' awareness of IP rights. These effects are more pronounced among firms facing higher litigation risks,those in industries with high R&D spillovers,and those located in regions with weaker IP intermediary services. Further analysis indicates that intellectual property courts and the“Three Trials in One” model have a stronger innovation-enhancing effect compared to IP tribunals and the “Two Trials in One” model. Moreover,the reform not only increases the quantity of innovation but also improves its quality,demonstrating a dual effect of “increasing both quantity and quality”.

This study makes several important contributions. First,by manually compiling detailed data on the rollout of the “Three Trials in One” reform at various local courts,we provide a systematic and long-term policy evaluation at the national level,which offers important insights for advancing the specialization of IP adjudication and the reform of the judicial system. Second,recognizing that the effectiveness of judicial trials,the efficiency of rights protection,and senior management’s awareness of institutional reforms are key drivers boosting judicial confidence and stimulating innovation,this paper clarifies the mechanism through which the “Three Trials in One” reform influences firms' innovation in China from three perspectives:the protection of firms' legal rights,the reduction of institutional transaction costs,and the enhancement of executives' IP protection awareness. Third,by exploring the heterogeneous effects ofthe reform across implementation models,industry characteristics,regional environments,and firms' litigation experiences,this study provides practical guidance for refining IP judicial protection policies.

The paper is structured as follows:The introduction outlines the background and motivation of the research. The second section reviews the policy evolution and theoretical underpinnings of the relationship between the “Three Trials in One” reform and corporate innovation. The third section describes the research design,including the empirical model,variable definitions,and data sources. The fourth section presents the main empirical results,along with mechanism and heterogeneity analyses. The fifth section concludes and discusses policy implications. This study not only evaluates the impact of the “Three Trials in One” reform from the perspective of corporate innovation,but also provides important decision-making support for further optimizing the IP judicial system and supporting the development of new quality productive forces through high-level judicial protection.

As an important innovation subject,enterprises have significant spillover effects of their innovation activities on upstream and downstream in the supply network. In this context,exploring how supply networks affect enterprise innovation and its transmission mechanism has become a key issue in understanding the coordinated development of industries and enhancing overall competitiveness. This not only helps to enrich the theoretical research related to supply networks and enterprise innovation,but also has important practical significance for promoting the high-quality development of China's industrial chain and supply chain,and enhancing the overall efficiency of the national innovation system.

Although there have been a substantial body of  research  on the relationship between supply networks and enterprise innovation,there are still certain shortcomings. Firstly,there is relatively little discussion on the innovative impact of joining the supply network itself. Secondly,research mostly focuses on the impact of customers on supplier innovation,with less examination of the influence of suppliers on customer innovation. Thirdly,there is a lack of micro empirical evidence on spillover mechanisms,especially causal empirical evidence.

Considering the current situation in China,listed companies are undoubtedly leading enterprises that occupy a core position. Their every move profoundly affects the changes in the entire industrial chain and supply chain. Therefore,studying listed companies is the key to understanding the relationship between supply networks and corporate innovation output. Therefore,this article aims to examine the impact of client companies joining the supply network of listed companies on their innovation level,attempting to answer the following two questions:Can client companies enhance their innovation capabilities after joining the supply network of listed companies? What is the mechanism for enhancing its innovation capability? This article first constructs the supply network of listed companies in China from 2010 to 2022 based on the top five suppliers and customer relationship data disclosed by listed companies. Using the annual supply network of listed companies,the exogenous event of enterprises joining the supply network of listed companies is identified and regarded as a quasi-natural experiment. A multi-time difference in differences model is used to test the causal relationship between customer enterprises joining the supply network of listed companies and their innovation output. Mechanism analysis,heterogeneity analysis,and further analysis are conducted in sequence. The main research conclusions of this article are as follows:Firstly,joining the supply network of listed companies can significantly improve the innovation level of customer enterprises,and this effect still exists after excluding conventional channels such as increased operating income or R&D investment. Secondly,the improvement of customer enterprise innovation capability mainly comes from the technology spillover effect of purchasing products from listed companies,which is achieved through three micro paths:updating machinery and equipment,optimizing material resources,and increasing added value. Thirdly,there is significant heterogeneity in the effects of joining the supply network of listed companies to enhance innovation levels. From the characteristics of the industries in which the enterprises are located,the innovation effect is more significant in asset-intensive industries,industries with high market concentration,and upstream industries in the value chain; From the perspective of the characteristics of the enterprises that have joined the network,the innovation effect of large-scale and state-owned enterprises is more significant; From the perspective of supplier characteristics of networked enterprises,the innovation effect is more significant when the supplier concentration is high and the supplier and networked enterprise industries are the same. Furthermore,the innovation effect of joining the supply network of listed companies is negatively affected by the innovation level of the participating enterprises and positively affected by the innovation level of their suppliers.

Compared with existing research,the possible marginal contributions of this article lie in the following three aspects. Firstly,in terms of research perspective,previous studies have mostly focused on the transmission and spillover of innovation activities in the supply network,while this article focuses on the innovation effects brought about by the event of “joining the supply network of listed companies” itself. Secondly,in terms of causal identification,most existing studies have used bidirectional fixed effects models to test the innovation correlation between enterprises in the supply network. This article attempts to construct and identify the supply network,and provides empirical evidence of the causal relationship between adding the supply network and enterprise innovation. Thirdly,at the level of mechanism explanation,this article enriches the micro mechanisms of technology spillover in supply networks through empirical research based on enterprise-level data. Previous studies on the mechanism analysis of supply network innovation have mostly focused on dimensions such as increasing R&D investment and alleviating financing constraints. However,the results of this study indicate that customer enterprises can improve their innovation level by enjoying technology spillover through purchasing high-quality products.

In the context of intensifying global competition, rapid technological change, and increasing supply-chain uncertainty, collaborative innovation has become a key strategy for firms to integrate external resources and build resilience. However, extant literature largely treats interorganizational relationships as stable and focuses on individual firm performance, thus overlooking the dynamic nature of market-side supply-chain ties—particularly customer relationships. This study addresses this gap by examining how changes in key customer relationships influence firms' collaborative innovation, along with the underlying mechanisms and boundary conditions.

We develop a dynamic framework linking customer relationship changes, relationship-specific investment, market competition and collaborative innovation. We conceptualize customer relationship change as a form of demand-side supply-chain uncertainty that restructures cooperative networks rather than simply altering trading volume. Frequent turnover among major customers is argued to weaken trust, disrupt relationship learning, destabilize coordination routines and heighten perceived risks of knowledge spillover, thereby exerting a sustained negative impact on collaborative innovation. Relationship-specific investment—firms' specialized commitments to key customers in the form of customized assets, co-developed processes and relational governance—plays a core mediating role： unstable customer ties induce firms to scale back such investments, which in turn undermines cross-organizational knowledge sharing and co-creation. Market competition is introduced as a crucial contextual moderator that both stimulates firms' general incentives to collaborate and amplifies the risks associated with relationship turbulence and sunk specialized investments, giving rise to a moderated mediation mechanism.

Empirically, this study is based on panel data for non-financial firms listed on the Shanghai and Shenzhen A-share markets over the period 2010—2023. Customer relationship changes are used to capture the instability of firms' major customer portfolios; collaborative innovation is employed to depict the depth and breadth of firms' joint innovation with external partners; and relationship-specific investment reflects the extent to which firms allocate resources in a highly customer-dependent manner. Methodologically, we estimate panel regression models incorporating firm-level control variables and fixed effects, and further conduct tests of mediation effects, moderation effects, and moderated mediation effects. In addition, a series of robustness checks and procedures to address endogeneity are implemented to mitigate potential endogeneity bias and enhance the reliability and robustness of the results.

Our findings are threefold. First, customer relationship changes have a significant and robust negative effect on collaborative innovation, establishing relationship continuity as a fundamental driver of collaborative capacity. Second, relationship-specific investment is a key transmission mechanism. Customer turbulence reduces such investment, which is positively associated with collaborative innovation. Mediation analyses confirm a significant indirect negative effect, alongside a persistent direct effect, indicating partial mediation. Unstable customer structures discourage dedicated commitments, thereby eroding trust, raising coordination costs, and weakening collaborative innovation. Third, market competition shapes these effects. It significantly amplifies the detrimental direct impact of customer relationship changes and strengthens their negative association with relationship-specific investment, resulting in a stronger indirect effect in more competitive environments. The heterogeneity of this moderating role is concentrated in the direct path： the competition-enhancing effect on the negative impact of customer relationship changes is particularly pronounced in non-high-tech industries and low-growth firms, whereas high-tech and high-growth firms appear better able to offset or absorb relationship shocks. Additional heterogeneity analyses show that the negative main effect of customer relationship changes on collaborative innovation is present across subsamples but is stronger for firms located in eastern and central regions, larger firms and firms facing tighter financing constraints, reflecting their greater exposure to competitive,and resource pressures.

Overall, this study contributes by： ① introducing demand-side relationship dynamism into collaborative innovation analysis, shifting focus from static structures to relationship evolution; ② identifying relationship-specific investment as a central micro-level transmission channel, articulating a “relationship turbulence-investment contraction-innovation disruption” pathway; ③ incorporating market competition and firm heterogeneity to clarify when and for which firms customer relationship shocks more severely undermine collaborative innovation. These insights enrich theoretical dialogue between supply-chain and innovation research and inform the design of resilient customer portfolios and relational investment strategies under uncertainty and competition.

China is currently at a pivotal stage in its transition from high-speed growth to high-quality development. The 2025 Government Work Report clearly identifies the priority of “developing new quality productive forces in ways that suit local conditions and accelerating the creation of a modern industrial system”, while further emphasizing the need to “improve employment and entrepreneurship services and broaden employment and entrepreneurial channels for college graduates and other young people”. These policy directives echo the Recommendations adopted at the Fourth Plenary Session of the 20th CPC Central Committee,which explicitly place “building a modern industrial system and strengthening the foundation of the real economy” at the forefront of the nation's strategic agenda. Within this national context,entrepreneurial activity,which has long been recognized in the economic literature as a fundamental driver of growth,job creation,and the efficient allocation of resources,has acquired a new historical mission. Entrepreneurship is now expected to serve as a crucial force for promoting economic upgrading and supporting broader social progress.

Household entrepreneurship,as an important manifestation of microeconomic vitality,plays a particularly significant role in this process. It has the potential to invigorate the development of new quality productive forces through the adoption of new technologies,the exploration of innovative business models,and the enhancement of human capital. At the same time,it forms an essential micro-level foundation for consolidating the real economy. Since the beginning of the Thirteenth Five-Year Plan period,nearly nine million individuals have returned to or relocated to rural areas to start businesses,generating more than 35 million jobs. This phenomenon provides vivid evidence of the important role of entrepreneurship in job creation and in stimulating market dynamism. A systematic review of the literature on household entrepreneurship is therefore necessary for clarifying the evolution of research in this field,synthesizing fragmented empirical findings,and identifying gaps that deserve further exploration. Such a review can help scholars better understand the characteristics,determinants,and mechanisms associated with household entrepreneurship. It can also provide policymakers and practitioners with a more solid foundation for promoting the integration of household entrepreneurship with the development of new quality productive forces and for strengthening the micro level bases of the real economy.

This study differs from existing reviews of household entrepreneurship in two primary respects. First,it focuses specifically on the determinants of households' decisions to engage in entrepreneurial activity,summarizing why households choose to start businesses and what challenges they encounter. Prior reviews predominantly focus on the conceptual frameworks of entrepreneurship research,theoretical syntheses,or the interplay between theory and practice. However,entrepreneurship begins with the decision to start a business. By examining the literature on the antecedents of entrepreneurial choice,we can uncover the factors shaping households' entry into entrepreneurship,identify the difficulties and constraints they face,and propose corresponding solutions. This not only informs policymakers and nascent entrepreneurs but also promotes the further development of household entrepreneurship and the sustained flourishing of entrepreneurial activity more broadly.

Second,this review is anchored in the Chinese context. Existing surveys of the field are largely based on foreign research,while limited domestic reviews often rely heavily on international literature to discuss the development and challenges of the broader entrepreneurial landscape. Although some previous studies adopt a China-centered perspective,they do not provide a systematic analysis of household entrepreneurship from the standpoint of its determinants. Given the unprecedented global changes and China's transition from high-speed to high-quality development as the world's second-largest economy with immense potential,a systematic review of domestic scholarship can better capture the distinctiveness and practical challenges of household entrepreneurship in China and offer a localized evidence base for policy making.

The main contributions of this study are fourfold. First,it constructs an analytical framework that integrates “internal motivations-external drivers”, systematically reviewing the multidimensional factors,ranging from individual characteristics and family background to social culture and institutional environment,and their interactive mechanisms that shape households' entrepreneurial choices. This framework provides a comprehensive perspective for future research. Second,it places explicit emphasis on the initiation of entrepreneurial decision-making. Unlike existing studies that predominantly examine entrepreneurial performance or subsequent stages of entrepreneurial activity,this paper focuses on why households choose to start businesses and what determines these decisions,offering crucial early-stage insights for policy intervention. Third,grounded in the Chinese context,it systematically synthesizes domestic research to uncover the unique features and practical constraints of household entrepreneurship in China,thereby providing localized guidance for policymaking. Fourth,it emphasizes practical orientation,offering not only theoretical support for academic research but also policy recommendations for optimizing the entrepreneurial environment and promoting the integration of entrepreneurship with new quality productive forces.

In sum,this study provides a comprehensive review of the determinants of household entrepreneurship. It advances academic understanding of micro-level entrepreneurial behavior and offers insights for policymakers seeking to stimulate household entrepreneurship,strengthen the real economy,and support China's transition toward high-quality development.