## 4 Results
### Empirical Analysis  
A hierarchical regression model was used in this study, and three models were calculated to identify the individual explanatory power of each variable and its influence on the overall model. As shown in Table 4, a hierarchical regression analysis was carried out on enterprise performance. On the first level, the purpose is to control the influence of external factors (Figure 2). The results show that independent enterprise has a negative and significant effect on enterprise performance (t = \(-\)2.186, \(p\) \(<\) 0.05), and enterprise size has a significant positive effect on enterprise performance, with a relationship (t = 4.199, \(p\) \(<\) 0.001), while the corporate debt ratio has a negative and significant relationship with operating performance, the overall model fit achieves a significant level (F = \(-\)6.077, \(p\) \(<\) 0.001), the explanatory power is 11.2%. The overall model fit was at a significant level (F = 15.941, \(p\) \(<\) 0.001). After adding the independent variable contractual agreement strategy to Model \begin{table}
\begin{tabular}{l c c c c c c c c c} \hline \hline \multicolumn{1}{c}{**Variable**} & **M** & **SD** & **1** & **2** & **3** & **4** & **5** & **6** & **7** \\ \hline
1. Enterprise performance & 0.072 & 0.091 & & & & & & & \\ \hline
2. Independent enterprises & 25.311 & 10.541 & \(-\)0.112 * & & & & & & \\ \hline
3. Enterprise size & 3.015 & 0.808 & 0.107 * & 0.075 & & & & & \\ \hline
4. Enterprise debt ratio & 0.415 & 0.188 & \(-\)0.247 *** & 0.323 *** & 0.135 *** & & & \\ \hline
5. Contractual agreement strategy & 0.775 & 0.278 & 0.155 ** & 0.281 & 0.112 * & 0.695 *** & & & \\ \hline
6. Foreign direct investment strategy & 0.645 & 0.345 & 0.110 * & 0.279 *** & 0.030 & 0.115 * & 0.969 *** & & \\ \hline
7. Manufacturing advantage & 0.051 & 0.070 & 0.315 *** & \(-\)0.225 *** & \(-\)0.165 ** & \(-\)0.335 & \(-\)0.116 & \(-\)0.042 & \\ \hline
8. After-sales service advantage & 0.056 & 0.091 & \(-\)0.165 ** & 0.002 & \(-\)0.239 & \(-\)0.126 ** & \(-\)0.125 ** & \(-\)0.121 ** & 0.191 *** \\ \hline \multicolumn{1}{c}{N = 286; * \(p\) \(<\) 0.05, ** \(p\) \(<\) 0.01, *** \(p\) \(<\) 0.001.} & & & & & \\ \hline \end{tabular}
\end{table} 
Table 2: Mean, standard deviation, and correlations. \begin{table}
\begin{tabular}{l c c c} \hline \hline
**Variable** & **Tolerance** & **M** & **VIF** \\ \hline Independent enterprise & 0.955 & 0.452 & 1.045 \\ \hline Enterprise size & 0.787 & 0.331 & 1.282 \\ \hline Enterprise debt ratio & 0.715 & 0.315 & 1.414 \\ \hline Contractual agreement strategy & 0.651 & 0.228 & 1.336 \\ \hline Foreign direct investment strategy & 0.640 & 0.158 & 1.351 \\ \hline Manufacturing advantage & 0.811 & 0.578 & 1.235 \\ \hline After-sales service advantage & 0.886 & 0.568 & 1.131 \\ \hline \end{tabular}
\end{table} 
Table 3: Collinearity. 2, it was positive and significant (t = 2.544, \(p\) < 0.05). The independent variable, foreign direct investment strategy, was positive and significant (t = \(-\)1.981, \(p\) < 0.05). The independent variable, manufacturing advantage, was positive and significant (t = 5.917, \(p\) < 0.001). The results show that the high degree of internationalization in Taiwan's CNC machine industry directly affects its competitive advantage. Hypothesis 3 was established. The after-sales service advantage was negative but significant (t = 4.941, \(p\) < 0.001), the overall model fit was significant (F = 17.893, \(p\) < 0.001), and the overall model explanatory power increased to 25.1%. The results show that research hypothesis 2, that the high degree of competitive advantage in Taiwan's CNC machine industry has a positive impact on enterprise performance, has been established. After adding the interaction terms for the independent variables and interference variables to the third model, the interaction terms between the contractual agreement strategy and industrial environment showed a positive and significant effect on the enterprise performance (t = 3.071, \(p\) < 0.01).