Research On Technological Innovation Ability Based On Corporate Governance In Electronic Information Industry

As the arrival of the era of knowledge economy and economy globalizing accelerates, technological innovation has become the driving force of economic development. Enterprise is the main body of technological innovation and the most flexible cell that promotes the technology progress in China, while the electronic information industry as a high technology industry has huge demand for technology innovation to continue to maintain the competitiveness. However, the shortage of enterprise innovation power and innovation consciousness has great limited technological innovation ability of electronic information industry enterprises in China. However, the awareness and power of technological innovation depends on enterprises’ the whole institutional arrangements, corporate governance is the institutional arrangements which can precisely ensure effective operation of enterprises and affect the enterprises’ strategic decision and realize the interests of shareholders. Therefore, it is crucial to explore how corporate governance influences the technological innovation ability and what kind of governance structure can facilitate the electronic information enterprises to promote technological innovation, which are also the focus of this paper.This paper firstly introduces the research background and theoretical and practical significance, then reviews the literature about the factors of corporate governance influence technological innovation capacity from the view of the internal and external governance structure. After this paper discusses the related theories about corporate governance, technological innovation and the electronic information industry, it builds the theoretical analysis framework about corporate governance affect technology innovation and analyses the influence mechanism of technological innovation ability based on corporate governance. Next, the paper analyzes the current situation of technological innovation of Chinese electronic information industry and the specific problems existing in corporate governance and their influence to technological innovation ability. The part of empirical analysis, this paper, based on the theoretical analysis, puts forward some hypothesises of corporate governance factors influence technological innovation ability and builds the empirical model. Then, the paper uses 49 Chinese electronic information enterprises’ panel data from 2011 to 2013 years to test the specific factors of corporate governance affect technological innovation ability and analyses the results.On this basis, this paper puts forward specific measures to improve corporate governance to enhance technological innovation ability of electronic information industry. These measures including improving the external environment, raising the degree of ownership concentration, introduction of multiple ownership subject, expanding the scale of board of directors, enhancing the independence of board of directors, improving the management equity incentive and the introduction of creditors and other stakeholders to join in governance mechanism.