Enterprise Social Capital, Dynamic Capability and Technological Performance among Textile Industries in Zhejiang, China

Drawing from 500 managers of 30 textile enterprises in three different cities, this paper presented the textile industry profile including the nature of company, subdivision type, number of years of incorporation and enterprise scale. This study aimed to determine the enterprise social capital, the dynamic capability, and the technological performance among textile industries, test the difference among the three variables when grouped according to profile variable and the significant relationship across the three variables, in order to propose the plan of action to improve dynamic capability and technological performance of textile enterprises in Zhejiang province. Findings revealed that enterprise social capital, which is composed of structural dimension, relational dimension, and cognitive dimension, as well as enterprise dynamic capability composed of resource acquisition ability and resource integration ability, is the necessary condition for the improvement of enterprise technological innovation performance. Furthermore, this study found out that enterprise dynamic capability plays an intermediary role in the positive effect of social capital on the technological innovation performance of textile enterprises.

Keywords: Enterprise social capital, Dynamic capability, Technological performance, Textile industries, Zhejiang