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Exploring Performance Management in China's Family SMEs Based on Structural Equation Modelling and Back-Propagation Neural Network

Exploring Performance Management in China's Family SMEs Based on Structural Equation Modelling and Back-Propagation Neural Network

Kaiyang Sun, Alvin Tan, Ying Xian Wang, Rumintha Wickramasekera
Copyright: © 2022 |Volume: 30 |Issue: 11 |Pages: 18
ISSN: 1062-7375|EISSN: 1533-7995|EISBN13: 9781668464434|DOI: 10.4018/JGIM.301613
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MLA

Sun, Kaiyang, et al. "Exploring Performance Management in China's Family SMEs Based on Structural Equation Modelling and Back-Propagation Neural Network." JGIM vol.30, no.11 2022: pp.1-18. http://doi.org/10.4018/JGIM.301613

APA

Sun, K., Tan, A., Wang, Y. X., & Wickramasekera, R. (2022). Exploring Performance Management in China's Family SMEs Based on Structural Equation Modelling and Back-Propagation Neural Network. Journal of Global Information Management (JGIM), 30(11), 1-18. http://doi.org/10.4018/JGIM.301613

Chicago

Sun, Kaiyang, et al. "Exploring Performance Management in China's Family SMEs Based on Structural Equation Modelling and Back-Propagation Neural Network," Journal of Global Information Management (JGIM) 30, no.11: 1-18. http://doi.org/10.4018/JGIM.301613

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Abstract

Because of the growing competition and challenges within the global business environment, understanding performance management has become essential to small- and medium-sized enterprises (SMEs) as they have traditionally dominated the Chinese economy. In recognition of the limited studies with a specific focus on Chinese family SMEs, this study modelled and tested performance management by analysing four factors and eighteen indicators using structural equation modelling (SEM) and back-propagation neural network (BPNN). Secondary data from the Chinese Stock Market and Accounting Research (CSMAR) database were collected for this study. The results provide a better understanding of the proposed relationships between these variables through a review of their impact and correlations. This study suggested that four factors, including financial performance, external environment, internal environment, and enterprise development potential, will significantly impact performance management.