Empirical Study On Synergy Effect Of R&D Investment And Intellectual Capital On Corporate Financial Performance

With the rapid development of science and technology and the increasingly fierce competition of economic globalization, the knowledge-based economy becomes the mainstream of the 21st century economy. Driven by the knowledge economy, intangible resources such as information, technology, capacity gradually replace traditional physical resources and become the most important factor of enterprise’s economic activities. As the strategic resource, the knowledge capital that led by intellectual capital and the ability of innovation research and development attracts more and more attention from enterprise managers.In the process of development, enterprises need to keep digging and building intellectual capital on the one hand, optimizing the existing knowledge, skills and organizational models to guarantee the stability of the existing income. On the other hand, they should carry out innovation constantly, break through the existing technical patterns in response to the rapidly changing external environment, to ensure the viability of the enterprise in the future. In recent years, domestic and foreign scholars do many researches from different angles to find out how R&D investment and intellectual capital influence the corporate performance separately, and have made some achievements. But whether there is interaction between R&D activities and intellectual capital in the value creation activities, and the significance of the relationship to enterprise performance produced are rarely involved. However, the competitive external environment requires enterprises to pay attention to the integration and optimization of internal resources, focusing on the interaction relationship between production and management activities, in order to achieve continuous performance improvement. Therefore, it is necessary to simultaneously focus on intellectual capital and innovation activities to further explore the internal relations between intellectual capital and R&D investment and the mechanism of their impact on business performance.In this background, this article uses the theoretical analysis and empirical research methods, selects GEM listed companies as samples to find out the role of investment in R&D and intellectual capital on financial performance, and discuss the influences of the interaction between R&D and intellectual capital from the perspective of synergy. Intended to provide comments and suggestions for enterprises to better carry out research and innovation activities, development and utilization of intellectual capital, raise their core competitiveness of enterprises and create higher financial performance. Through the research it draws the following conclusions:1. The R&D investment has a positive effect on an enterprise’s financial performance.2. Intellectual capital can positively impact business performance growth.3. There are significant interactions between R&D investment and intellectual capital. Intellectual capital promotes the technological innovation of enterprises through the elements of high-quality personnel and high-performance organizations, technological innovation and progress in turn prompts the company further improve the knowledge density. In the presence of synergistic interaction, R&D investment and intellectual capital enhance each other’s positive impact on corporate financial performance.In conclusion, based on the study findings, this paper puts forward some suggestions in developing innovation and the management of intellectual capital. Companies should build an effective knowledge management system to strengthen R&D activities and intellectual capital management, in order to improve innovation performance and promote the realization of intellectual capital value. Managers should make overall planning from the perspective of resources integration and strategic consistency, take concrete measures to build an effective mechanism to access to the synergies of R&D and intellectual capital management, and to promote the improvement of corporate financial performance, enhance core corporate value creation.