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The Degree of Aggressiveness in Corporate Strategy, the Enterprise Life Cycle, and Corporate Innovation ——An Analysis Based on a Mathematical Model

Zheng Dihan

School of Business Administration, Guizhou University of Finance and Economics

Abstract:

As China's economy becomes increasingly market-oriented, enterprises face intensifying competition. Within a complex and dynamic external environment, companies make strategic decisions of varying degrees of aggressiveness, and innovation—as the cornerstone of corporate competitiveness—has drawn significant attention regarding its relationship with strategic aggressiveness. Building on the enterprise life cycle theory, this study establishes a mathematical model for optimizing corporate R&D investment, systematically analyzes how strategic aggressiveness influences innovation levels, and examines the moderating effects of the enterprise life cycle. The findings reveal: First, higher strategic aggressiveness correlates with greater innovation investment; second, as the enterprise progresses through its life cycle stages, the positive impact of strategic aggressiveness on innovation gradually diminishes. Based on these conclusions, the paper proposes management recommendations for mature-stage enterprises across six dimensions, including social responsibilities, finance, marketing, human resources, procurement, and operation principles, in a bid to help them address challenges posed by emerging competitors and ensure stable operations and sustainable development.


Key Words:

corporate strategy; corporate innovation; enterprise life cycle theory

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