An Empirical Study On The Impact Of Technological Innovation To SMEs’ Growth

SME has an important position in the national economy,which is gradually becoming themain force in the development of social productivity. SME is adaptability to market changesand has a wide operating range,but its weak capital and poor financing ability can’t beignored.With the current international trade situation, traditional advantage which based inlow-cost labor is facing a growing number of new challenges.SME should promotetechnological innovation strategy actively to obtain the opportunity to survive and grow.Butin practice,the promoting effect of technological innovation to SMEs’ growth has somethingto do with corporate governance.So the research on the effect of technological innovation toSMEs’growth is very important,and so is the corporate governance’s regulation.Three research methods have been used,such as normative and empiricalanalysis,qualitative and quantitative analysis,and systems analysis.The first part summarizesthe basic theory about technological innovation, corporate governance and the growth ofenterprise,and analyzes the driven, regulation effect among them theoretically.The secondpart references domestic and abroad scholars’ research findings to build a measure of SME’sgrowth,besides,this part has chosen some relevant variables of technological innovation andcorporate governance to build empirical models.The last part uses SPSS and Stata to processdata for results.The empirical analysis has come to some results.First,the proportion of technical personnel has an uncertainty effect on SME’s growth,besides,R&D investment intensity has asignificant reverse U effect in the lagged on SME’s growth,and the effect of authorized patentnumber on SME’s growth is not significant.Second,variables related to corporate governancehave a significant effect on SMEs’ growth except the proportion of independent directors.Ownership concentration have a significant role in promoting SME’s growth with a positivelinear moderating effect.Executive compensation have a significant moderating effect onSME’s growth,no matter linear or nonlinear.The proportion of state-owned shares has asignificantly negative influence on SME’s growth,and so does the moderating effect ontechnological innovation to SMEs’ growth.The proportion of corporate shares has asignificantly positive influence on SME’s growth,but its moderating effect on technologicalinnovation to SMEs’growth is not so significant.