The Effects of Relational Embeddedness and Network Routines on Industry–University Cooperation in Chinese Construction Firms: The Moderating Role of Intermediaries

Cooperation between industry and universities is vital in the sustainable development of industries. However, research on industry–university cooperation in specific industries remains limited, which motivates our examination of this issue. Drawing on social network theory and the knowledge-based view, we discuss the effects of relational embeddedness and network routines on industry–university cooperation by Chinese construction firms as well as the moderating role of intermediaries. Using a sample of 256 members of Chinese construction firms, we show that trust and tie strength in relational embeddedness in addition to norm consensus and tacit understanding of behaviour in network routines all have significantly positive effects on firm performance with industry–university cooperation. The moderating effects of intermediaries on the links between trust and tie strength in relational embeddedness and firm performance are not statistically significant. However, intermediaries weaken the relationship between norm consensus in network routines and firm performance, and strengthen the relationship between tacit understanding of behaviour in network routines and firm performance. Overall, our study has important implications not only for construction firms seeking to improve firm performance but also for intermediaries on how to better play a positive role in industry–university cooperation.