The Correlation Study On Financial Costraits,R&D Investment And Enterprise Performance

The role of successful R&D investment strategies for cultivating the core competitiveness is very important,but our R&D is insufficient in comparing with developed countries. Among the factors influcing R&D investment,the scarcity of capital will undoubtedly restricted its expenditure,which,however,is rarely be researched in our country. Therefore, it’s necessary to discuss about the underinvestment problem of corporate R&D from the perspective of external financing constraints.In addition,it is still a controversial issue on the effect of R&D expenditure. Some scholars pointed that R&D input doesn’t automatically improve enterprise’s performance which is largely depend on the management of R&D. In the general case, financially constrained firms may pay more attention to the use effect of internal R&D funds,which leads to a better R&D output. So this paper tries to study how the financing constraints affects the performance of R&D investment in oder to enhance the objectivity of the conclusions.First of all,this paper combines with asymmetric information theory to analyze the financing dilemma,then using resource based theory, agency theory and incomplete contract theory to discuss the impact of financing constraints on R&D output.After that, the R&D investment and financing the status quo of Chinese high-tech enterprises are introduced.In the last,this paper chooses123high-tech listed companies which offers the R&D information from2008-2011as research objects,and use R&D data collected by hand and financing constraints index constructed by the multiple discriminant analysis method to test whether financing constraints restricts R&D investment on one hand,and on the other hand to study the regulating effect of financing constraints on R&D output.This paper found that as follows:first, R&D investment has a strong dependence on internal cash flow in chinese high-tech listed companies, especially in the non-state-owned companies and small firms,which confirms the existence of financing constraints problem.Second, external financing constraints weakened the enthusiasm of R&D investment in chinese high-tech enterprises.Third, financing constraints positively impact the effect of R&D input and output.In other words,R&D investment can stimulate performance in the higher financially constrained firms more obviously than those lighter,which is similar to foreign’s conclusions.It implies that while financing constraints restricting the R&D investment,it can also increase managers’sense of crisis and improve performance by strengthening the R&D funds management.This paper can promote the government to constantly improve our financing environment,and help the enterprise to reasonably judge the economic consequences of the R&D investment decision,and use the R&D investment and financing strategy which reaches internal consistency to form competitive advantage.