The Study On The Influencing Factors Of R&D Investment

Enterprise innovation is an important part of independent innovation strategy in China. Since the strategy of building an innovation oriented country, the expenditure of science and technology is continuing to increase, the expenditure on R&D is strengthening. Financial subsidy of the enterprise’s expenditure on R&D by the government in Jiangsu is higher than the other provinces. It promotes the R&D activities effectively. Compared with developed countries, the level of R&D in Jiangsu enterprise is lower, and the crowding out effect is happened in some enterprises. What factors are mainly affected the R&D activities of the enterprise? By using samples of the hi-tech listed companies, we tested the independent innovation of enterprises when they get subsides. We discuss the relationship by adding venture capital and ownership concentration. It has certain theoretical and practical significance for the influencing factors of R&D investment and optimizing R&D policies.In this paper, based on the previous literature reviews, we analyze the related concepts and theories firstly, then analyze the present situation of Jiangsu R&D and innovation policy. Meanwhile, using 79 hi-tech listed enterprises’panel data from 2011 to 2013 in Jiangsu, we analyze the relationship among government subsidies,venture capital, ownership concentration and R&D investment. We also analyze the effectiveness of the R&D subsidy policy in Jiangsu. By the analysis, we get the following conclusions. First, the R&D subsidy in Jiangsu is positive correlated with the R&D investment significantly. Second, venture capital is positive correlated with the R&D investment, but it has no significant effect on it. Third, ownership concentration is negative correlated with the R&D investment. Fourth, the R&D subsidy in Jiangsu promotes to the R&D investment of the enterprises significantly, but it also exists crowding out effect. The main reason is that the enthusiasm of R&D investment by the enterprises is not high, the industry-university-research cooperation is not close. Last, based on the results, the paper presents the relevant policies and measures.