An Empirical Study On The Characteristics Of Board Of Directors And R & D Expenditure Of High - Tech Enterprises

With the rapid development of international science and technology in the21stcentury and the more furious competition among enterprises allover the world,Various countries understand that, in order to expand the market share，they mustconduct the technical innovation and cultivate the core competitiveness of enterprises.The world who want to improve their position in the international market have toincreased innovation and R&D efforts, to keep a seat in the ranks of the worldcompetition. The high-tech enterprises is a major scientific and technological researchand development in accordance with the main business. Technology innovation is thebasis for the existence of high-tech enterprises. In addition, an effective corporategovernance structure is the premise of the development and growth of high-techenterprises. The board of directors are both connected to the company shareholdersconnection manager, is the center of corporate governance, a profound impact ontechnological innovation activities of enterprises. However, China’s annual R&Dspending is not enough, there is a gap compared with developed countries. Therefore,research the various factors that affect the corporate R&D investment researchinvestigation is necessary, and this will help the enterprises to improve their owntechnological innovation capability.“The Empirical Study on Board Characteristics of high-tech enterprises andR&D expenditures” for the title, according to the characteristics of the division of thefunctions of the board of directors characteristics into the incentive characteristics,human capital characteristics, characteristics of independence, this boardcharacteristics enterprise R&D and innovation research. Board motivating featuresmeans the stake of the board: the board of directors of human capital characteristics,including the board education level,director of professional background; theindependence of the board features include a state of the board of two directors, theproportion of independent directors of the Board of directors. Empirical test resultsshow that:(1) Board ownership percentage has a positive impact on innovationperformance;(2) The relationship of the board subject to the level of education has apositive impact on innovation performance; Occupational background of directors have significant impact on R&D expenditures;(3) Separation of the two roles ofboard、 the proportion of independent director have a positive impact on R&Dexpenditures. The empirical results show that the board characteristics of high-techenterprise in China is closely related to the R&D expenditures.Based on these conclusions，the paper gives the following suggestions:(1) tostrengthen the role of the board of directors as well as its central position in thecorporate governance;(2) increase the incentive intensity of the Board;(3) in theselection of directors focus on the level of education and occupational background;(4)chairman and general manager the two roles should be separated;(5)continue toimprove the system of independent directors.