Influence of Festival Activities on Enterprise Production Behavior: A Case Study of the China Bamboo Culture Festival

Abstract

At the present stage, China’s ecological civilization construction has entered a strategic period focusing on carbon reduction, which is also a critical period for achieving the improvement of ecological environment quality. The prosperity of bamboo culture and the development of the bamboo industry are of great significance in promoting the construction of an ecological civilization in China. Festival activities often have lasting impacts on the development of the host city. They not only promote urban development but also spur the growth of local enterprises in related industries. However, these impacts have been rarely explored by researchers. This paper analyzes how festival activities influence the behavior of host city enterprises from the perspective of stakeholders with a theoretical model. Taking the China Bamboo Culture Festival as an example, micro-data on bamboo enterprises in 1999–2015 were collected from the Chinese Industrial Enterprise Database and analyzed with a theoretical model to empirically verify the influence of the festival over the production behavior of bamboo enterprises. The research shows that the China Bamboo Culture Festival has a significant positive impact on the total output value and total factor productivity of bamboo product enterprises, which in turn affects the production behavior of the enterprises. In the host province/city, the enterprises that engaged in the festival surpassed the other enterprises by 1.0764% in terms of gross output; export enterprises were less affected by the festival than domestic market enterprises. The China Bamboo Culture Festival makes bamboo enterprises more sustainable and competitive in the industry, and the holding of festival activities enhances the sustainable development capabilities of enterprises by improving their business environment. In addition, significant differences were observed between enterprises in different geographical locations, of different ownerships, and in different subdivided industries. Enterprises in the eastern region are least affected by the China Bamboo Culture Festival, while those in the western region are the most impacted; those in the central region fall in the middle by the degree of influence. Bamboo, rattan, palm, and grass products are influenced by the China Bamboo Culture Festival, while the production of other manufacturing industries is basically unaffected.