The Relationship Between R&D Expenditure And Growth In High And New Technology Enterprises Based On The Moderate Effect Of The Characteristics Of Corporate Governance

Technical innovation and the advantage of technical monopoly are the deciding factors of the enterprises'survival and development,while the technical innovation and technical monopoly originates from the research and development (R&D) of the enterprise.R&D is the thought source library of enterprises'technical innovation.It is the foundation of the enterprises access to technical advantages.With the increasingly fierce international and domestic market competition,R&D is also the key of whether enterprises can survive,develop and grow in this environment.Especially in the science and technology rapid development and products'technology life cycle continuously shortening times,the function of R&D to enterprises is even more important.As the technology-intensive enterprises,high and new technology enterprises should be more willing to develop the R&D activities vigorously,it is helpful to enhance the core technology,improve the performance,and maintain competitive advantage for long-term development.But,with the increasing input of R&D,the principal-agent problem of enterprise level also highlights,this affects the enterprises'R&D input level and implementation effect,and finally influences the growth of the enterprises.The mechanism which is conducive to alleviate the agency problem and reduce the agency cost will be beneficial to the reasonable allocation of R&D resources and promote innovation,ultimately be contributed to the value maximization and realize the sustainable development and stable growth of the enterprises.The research results of the relationship between R&D expenditure and enterprise growth by scholars both at home and abroad are tend to be consistent,most of the empirical research shows that R&D spending is positive correlation to enterprise growth,only few research indicates that they don't related or negatively correlated.The research results of corporate governance variables'moderate effect between these two are relatively less,using external factors of corporate governance or single adjustment variables to discuss the relationship's influence is more frequent.But they not yet comprehensively study whether corporate governance variables impact enterprises'performance or growth.And this paper relative comprehensively studies the moderate effect of corporate governance's internal factors between R&D expenditure and enterprises growth.This paper selects high and new technology listed companies of Shanghai and Shenzhen Stock Exchange from 2008 to 2010,through establishing hypothesis and index by the principal component analysis method.Secondly,this paper tests the general relationship between R&D spending and the growth of enterprises.Finally,to study the moderate effect on the relationship between R&D spending and enterprises growth, the paper divides corporate governance variables into equity variables,the board of directors variables and executives variables.The results of the study show that: R&D expenditure and enterprise growth positively related in high and new technology enterprises;Ownership concentration,state holding,leadership structure make reverse moderating effect on R&D spending and the enterprises growth,the ratio of board ownership and executive ownership makes positive moderate effect,while ownership balance,board size,the proportion of the independent directors and executives'average salaries have no moderate effect on the relationship.Among them,ownership concentration and state holding are quasi moderator,leadership structure is pure moderator , the percentage of board ownership and executive ownership are homogeneous moderator,ownership balance,board size,the proportion of the independent directors and executives'average salaries are not moderator.To perfect the governance of listed company and further improve the positive role of R&D spending in promoting enterprises growth,this paper puts forward some policy suggestions.Firstly,high and new technology enterprises are ought to increase the R&D input and government should make effort to enhance the support strength.Secondly,corporates should optimize stock ownership structure and reduce the proportion of state holding.Thirdly,the board of directors must strengthen its function and power,perfect the system of independent directors and establish incentive system of the board's remuneration.It is not always reasonable to separate the general manager from the chairman.Finally,this paper suggests that enterprises could speed up the equity incentive plan for executives and the staff of R&D,and develop manager market.