A Research Of Technological Innovation Base On Corporate Governance

With China facing the challenge of joining WTO and global economy, enterprise will have to live in a changing and uncertain environment of competition. For Chinese enterprise, how to face such unprecedented challenge, how to take advantage of core competition and to get longer development, is a research topic with high priority. It is common phenomena of the lower profit of Chinese enterprises and lower competition due to lack of core technology. The technological innovation is regarded as a resource of retaining the core competition of enterprises and increase of economy. From the view of corporate governance, the theme of the paper is "Technological innovation and corporate governance of enterprise". By integrating corporate theory, innovation theory and strategic management theory, making use of the methodology in game theory and information economics, this paper systemic discusses the incentive and decision-making in technological innovation, the relationship between corporate governance and technological innovation. We discover that corporate governance plays the role of determinant in technology innovation's evolutional route. Then we indicate the mechanism that the relationship between stakeholders affect technology innovation.This paper discuss such issues as following:For the technological innovation, whether it exists the optimal governance pattern is the first issue. Secondly, given corporate governance plays a role in the incentive mechanism of technological innovation, including assigning of control rights, capital structure etc. Thirdly, how the corporate governance effects the investment decision-making of technological innovation. Fourthly, seeking the countermeasure to resolving problems based on analyzing the corporate governance and technological innovation of Chinese enterprise.This paper compare with structure of corporate ownership, consists of board, the incentive for manager or employee and co-governance mechanism with stakeholders among United States, Japanese, United Kingdom, Germany, France and China. This paper also compare with accumulating of know-how, the investment decision-making of innovation and the performance of innovation among these corporate. The conclusion indicates that innovation is effected on corporate governance. Accordingly, corporate governance plays the role of determinant in technology innovation's evolutional route. Then we indicate that the determinant role leads to the difference of national industrial technology, and it will help us to explain what's the reason that industry specialization come into being. Finally, we create an evaluation system for performance of technological innovation and the difference of industrial with different corporate governance pattern. The conclusion is consistent with the conclusion above.We construct two models in this paper. The first is a two-oligarch competitive model of product market based on the methodology of Cournot game model. We use the model to analyse how the capital structure influence the decision-making procedure of technological innovation. The model indicates that the enterprise with higher leverage will be more reluctant to invest on innovation, and it will lose its competitive advantage in the differentiation competition with its rivals. For a single firm, there is a optimized relationship between the structure of human capital and the investment of technological innovation. The conclusion of the modeling analyses is consistent with the outcome of empirical study.Secondly, we construct a principal-agent model based on analysis of control rights in enterprise. We add a variable of control rights to study the incentive of control rights in technological innovation. The innovation decision-making is a balance of all the share parts of enterprise. The mechanism of balance is based on the control rights mechanism. The model states that the control rights is a viable mechanism of technological innovation incentive and control rights in technological innovation should be authorization to human resou...