The Effect Of Export Trade And Financialconstraints On Enterprise Innovation

Financing constrains and international trade are the two most important factorsaffecting innovation activities in enterprise development.Currently,there are morestudies on international trade spillovers theories and the effect of financing constraintson innovation theories, whereas, those on export trade are relatively deficient.Moreover, the literatures which directly study the comprehensive effect of innovationby export trade and financing constrains are particularly few and far between.Withthis background, based on the survey data (from2010to2011) of241privatetechnology enterprises in Zhuhai and C-D function, an innovation production functionis constructed. In the meanwhile, through univariate test and Pooled OLS model, thepaper researched the impact that export trade and financing constrainshas oninnovation output and the transformation ability of innovative product.This paper has following conclusions:(1) The empirical results illustrate thatexport trade had a positive impact on enterprise innovation;(2) The existence offinancing constraints does have an effect on the innovation activities, and the effectare negative;(3)The results also show that in the innovation behavior refinement, theeffect of innovation output and the transformation ability of innovative productpresents the difference.Based on the study, this paper gives the following proposals:The governmentshould have been implement the policy of reform and opening up and pay moreattention to the cultivation and development of high technology industry support,promote the products of high technology industry export; Promote enterpriseindependent innovation at a reasonable allocation of human capital and R&D funds,increase R&D input and output efficiency; To improve the domestic market,deepening the reform of market and the financial system,abundant financing channelsto provides more opportunity for the development of small and medium enterprises.