The COVID-19 pandemic has caused major changes in the psychological capital structure of individuals and groups, especially among members of the upper echelons of Chinese mixed-ownership reform enterprises, who are more sensitive to the environment. Based on prospect theory. In order to further study the changes in the psychological capital structure of upper echelons of the mixed ownership reform of state-owned enterprises under the influence of the COVID-19, and what impact it has on the decision-making behavior of the upper echelons (...) and the development performance of the mixed ownership reform enterprises, this paper introduces the system dynamics research method into the research field of the upper echelons for the first time, and studies the psychological capital structure of the upper echelons through simulation. This paper puts forward new research ideas for the research on the psychological capital structure of upper echelons. Using the system dynamics method, this study investigates the changes induced by the COVID-19 pandemic, on the psychological capital structure of the upper echelons of Chinese mixed-ownership reform enterprises; and assesses the concept model of behavioral psychological capital adjustment. The impact of COVID-19 on communication strategies among upper echelons, directly affects the evolution results of the decision-making system. The psychological capital structure in the upper echelons has evolutionary stability strategies in three cases. In some cases, the system evolution presents periodic characteristics. The higher the probability of group communication, the more stable the psychological capital structure, and the greater the fluctuation of behavioral integration. There is a significant correlation between the level of efficacy and resilience of upper echelons psychological capital structure and upper echelons decision-making behavior. Under the condition of improving the communication probability among upper echelon members, there is a positive correlation between the level of hope and optimism of upper echelon and the power structure of upper echelon and the development performance of mixed reform enterprises. Develop the psychological capital structure of upper echelon of mixed reform enterprises, improve the level of financing development decision-making ability and improve decision-making performance. (shrink)