How does the fair competition policy upgrade enterprises' value chains

Enhancing the value chain of enterprises is essential for a nation's global economic and policy standing. This study examines how A-share listed corporations from 2009 to 2023 can enhance an enterprise's value chain from a legal standpoint. This research uses the difference-in-differences (DID) technique to investigate the causal relationship between implementing a fair competition policy and enhancing company value. Implementing the fair competition policy can significantly enhance the upgrading of firms' value chains by improving total factor productivity and specialization. Moreover, the distinct characteristics of various enterprises and their respective regional legal contexts lead to different policy efficacy. This report offers critical insights for the government to establish an optimal business climate and enhance firms' value chain.