The Impact of Diversification Strategy on Service Innovation Performance of Community Service Platform Companies in the Context of Economic Recession- a Further Exploration of the Computer Simulation of the Impact Mechanism

During the market downturn, enterprises focus on cost reduction and efficiency improvement. However, some platform - based service enterprises paradoxically and actively expand their business scope during this period, accompanied by more active resource integration and organizational change. According to the computer - simulation research on enterprise operations, different combinations of organizational change, diversification strategies, and resource integration have complex impact mechanisms on enterprise innovation, especially during complex market environments. This paper conducts an empirical research through enterprise surveys. It studies, through data analysis and statistical computing methods such as mediating effect analysis and path analysis based on data modeling, as well as quadratic fitting for key impact relationships, the impact mechanism of diversification expansion on the service innovation performance of such enterprises in special environments, and observes the influence of the two behaviors of active resource integration and organizational change, so as to verify and to make a further exploration of the conclusions of the impact mechanism in computer - simulation research. According to the research results, the diversification expansion of platform - based service enterprises during this period can indeed effectively promote service innovation performance and thus enhance enterprise competitiveness (but there are problems). The two factors of resource integration and organizational change play a mediating role therein. Through further in - depth analysis of independent variables and mediating variables based on computer - simulation research results, it is found that organizational change has an inverted U - shaped impact on innovation performance, indicating that some enterprises have relatively obvious over - change. In addition, diversification expansion also shows an inverted U - shaped impact on innovation performance, that is, the phenomenon of diminishing marginal returns brought about by blind expansion, suggesting that enterprises need to improve the success rate of diversification expansion at the strategic management level.

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Publication Details

Published
2025-03-28
DOI
https://doi.org/10.1145/3745238.3745409
Primary Topic
Digital Platforms and Economics
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article
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The Impact of Diversification Strategy on Service Innovation Performance of Community Service Platform Companies in the Context of Economic Recession- a Further Exploration of the Computer Simulation of the Impact Mechanism

J. Li, Wu Bo
Digital Platforms and Economics
article

The Impact of Diversification Strategy on Service Innovation Performance of Community Service Platform Companies in the Context of Economic Recession- a Further Exploration of the Computer Simulation of the Impact Mechanism

J. Li, Wu Bo
article en

Abstract

During the market downturn, enterprises focus on cost reduction and efficiency improvement. However, some platform - based service enterprises paradoxically and actively expand their business scope during this period, accompanied by more active resource integration and organizational change. According to the computer - simulation research on enterprise operations, different combinations of organizational change, diversification strategies, and resource integration have complex impact mechanisms on enterprise innovation, especially during complex market environments. This paper conducts an empirical research through enterprise surveys. It studies, through data analysis and statistical computing methods such as mediating effect analysis and path analysis based on data modeling, as well as quadratic fitting for key impact relationships, the impact mechanism of diversification expansion on the service innovation performance of such enterprises in special environments, and observes the influence of the two behaviors of active resource integration and organizational change, so as to verify and to make a further exploration of the conclusions of the impact mechanism in computer - simulation research. According to the research results, the diversification expansion of platform - based service enterprises during this period can indeed effectively promote service innovation performance and thus enhance enterprise competitiveness (but there are problems). The two factors of resource integration and organizational change play a mediating role therein. Through further in - depth analysis of independent variables and mediating variables based on computer - simulation research results, it is found that organizational change has an inverted U - shaped impact on innovation performance, indicating that some enterprises have relatively obvious over - change. In addition, diversification expansion also shows an inverted U - shaped impact on innovation performance, that is, the phenomenon of diminishing marginal returns brought about by blind expansion, suggesting that enterprises need to improve the success rate of diversification expansion at the strategic management level.

Industry, innovation and infrastructure
Openalex Percentile: Top 72%
Digital Platforms and Economics
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The Impact of Diversification Strategy on Service Innovation Performance of Community Service Platform Companies in the Context of Economic Recession- a Further Exploration of the Computer Simulation of the Impact Mechanism — J. Li, Wu Bo · (2025) | TGRS Research Map | TGRS