The Research On The Impact Of Research Expenditures On Firm Value

Nowadays, the one who masters the advanced science and technology grasps the initiative of economic and social development. However, R&D activities, as the support activities of scientific development, attract much more attention. Th e impact of R&D activities on firm value is a complicated process. R&D expenditures do not directly enhance corporate value. It must be formed through technological innovations, then changes into technical elements to create value. R&D activities consist o f two stages: heterogeneous strong research and development. In spite of the high risk and uncertainty compared with the development stage, the research stage is still an important source of original innovation ability, which plays an important role in cultivating the ability of independent innovation and enhancing enterprise value. Therefore, exploring the impact of research expenditures on the firm value through technology innovation, not only can enrich the R&D theory, but also provide the basis for the strategic transformation of China's economy.Firstly, this paper reviews the relevant literature on the relationship among the R&D activities, technological innovation and firm value, defines related concepts such as R&D expenditures, technology innovation and firm value, and introduces the theories such as economic growth theory, innovation theory and medium theory. Then, on the basis of theoretical analysis, using mediating effects model designs empirical program. The sample enterprises have made larger c ontribution in "research". This paper uses technology innovation as the core to discuss the mediating effect of technology innovation output on research expenditures and firm value from two dimensions of financial value and market value. The empirical resu lts indicate that: research expenditures have a positive effect on lagged one year 's firm financial and lagged three year's market value; technological innovation has partial mediating effect on the relationship of research expenditures and firm financial and market value.Finally, according to this paper's theoretical and empirical analysis, some concerns and suggestions about putting emphasis on the research stage, paying attention to R&D personnel training, improving the R&D disclosure system, strengthening firm of different industries classification guide have been proposed.