Innovation Based On The Executives Holding The Empirical Research On Corporate Performance

In the era of knowledge economy, the capability of self-innovation plays a crucial role in an enterprise's development as well as a nation's sustainable development. All countries around the world gradually recognize the importance of innovation. As the enterprises are the main bodies of self-innovation ,it has realistic meaning for studying the self-innovation situation, and then studying the empirical evidences of patent for enterprises'performance, between Corporate Governance and self-innovation, corporate governance and Corporate Governance,which will promote China's building of innovation oriented country and guide the enterprises to formulate self-innovation's strategy as well as enhance the ability of the enterprises to self-innovate.A patent is the most suitable quantified indicator for weighing self-innovation output, A large number of papers use patent application numbers or authorized patents measured self-innovation.So this article will put authorized patents as innovation output indicators, the net return on assets, Tobin's Q value as the business performance indicators, Executives holding stocks or not as corporate governance variables ,and listed manufacturers companies as range of study,finally selected 58 listed companies Manufacturing Machinery and Equipment for the study sample,from 2001 to 2008, an empirical study on relevance between three types of accumulation patent and Corporate Performance, respectively. Based of senior managers holding on stock or not, self-innovation, business performance's empirical analysis.The research results show that the manufacturing of machinery and equipment of three listed companies authorized to accumulate patents, utility patents has a positive relation with the follow-up corporate ROE; patent of invention is conducive to enhancing enterprises current and subsequent market value. In the descriptive statistics, utility and design patents granted greater impact on firm performance, the accumulation of patent invention are the fewest. Preliminary analysis of this single patent and performance regression coefficient to determine if exist lagged effects, the results of current patents and business performance has no effect; So we study the cumulative patents on firm performance ,it found that different types of patent has the different lagged effect on the different of business performance Indicators, but did not reach the same lag periods. At the same time, empirical results also show that a senior manager are holding on stocks or not has significant relationship on self-innovation of enterprises and business performance. By contrast, the companies of senior management holding stocks, their capacity for self-innovation, is better than companies without holding stocks. Finally, based on research findings, the thesis puts forward some policy advice on improving the level of the enterprise's patent output and enhancing the capability of self-innovation of the enterprise.