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201179 https://hdl.handle.net/2286/R.2.N.201179 http://rightsstatements.org/vocab/InC/1.0/ All Rights Reserved 2025 136 pages Doctoral Dissertation Academic theses en Ran, Xiaofeng Wang, Yimin Cheng, Shijun Zhang, Yixuan Hu, Yu Arizona State University Partial requirement for: Ph.D., Arizona State University, 2025 Field of study: Business Administration In the past three years, the growth rate of urban construction investment has slowed down, the real estate industry has fluctuated downward, and unfavorable macroeconomic changes have led to a decline in the growth rate of the building interior design market. Against the backdrop of declining fundamentals, market competition has intensified, and undertaking new design projects becomes difficult. The interior design industry is facing many challenges, such as fierce market competition, incomplete industry regulation and standard systems, insufficient driving force for enterprise innovation, insufficient synergy in the supply chain, longer project payment cycles, and limited development of small and medium-sized enterprises. Fully recognizing these difficulties, this study aims to assist interior design companies to build and enhance their core competitiveness, and achieve breakthroughs in their business.This article uses public panel data to study the management expense ratio of 163 listed companies classified as construction industry under the CITIC industry classification standard. This study confirms a significant difference in management expense ratios between architectural design and service companies and construction companies, highlighting the value of using on-site interviews with the founders of 6 interior design companies to obtain in-depth understanding of competitiveness of interior design firms. A survey questionnaire is designed, and finally, a cross-sectional linear regression model and structural equation model are constructed to test the relationship between core competitiveness and performance of medium-sized interior design companies. The study found that: (1) In the current context, enhancing innovative design capabilities does not significantly promote the performance. Instead, stronger organizational and management capabilities improve their performance; (2) Further research shows that when dividing performance into financial performance and non-financial performance, the stronger the organizational management ability, the better their financial and non-financial performance; (3) Team management, organizational operations, company strategy, and customer relationship management abilities in organizational management are all significantly positively correlated with financial and non-financial performance; (4) The structural equation model further support that enhancing organizational management capabilities can significantly improve the performance of interior design companies. Business Administration Architectural Design and Services Core Competitiveness Corporate performance Interior Design Management Cost Ratio Research on the Relationship between Core Competitiveness of Interior Design Companies and Its Performance Under the Circumstance of Decline