The Research Of Financing Constraints' Influence On R&D Investment

Implementing innovation-driven development strategy is the basic way of promoting the upgrading of the industrial structure and the transformation of economic development pattern. The core of innovation-driven development is technological innovation and through vigorously promoting enterprises engaged in innovative activities to foster the lasting competitive advantage of enterprises. However, to promote innovation ability need to increase R&D investment. At present, the problem of financing is leading to our enterprises' lack of R&D. But the domestic academic circles pay little attention to R&D funding problems. Therefore, it is necessary to study the problem of shortage of R&D investment in our country from the perspective of financing constraints.Starting from the mechanism analysis of financing constraints' influence on R&D investment and based on the existing literature, we first put forward some hypothesis. Then, by using the sample of biological pharmaceutical listed companies disclosing R&D expenses during 2011-2013 in Shanghai and Shenzhen stock market and using SPSS 17.0, we tested the relationship between financing constraints and R&D investment with all samples, we then tested whether ownership structure can alleviate financing constraints'influence on R&D investment, including nature of equity ownership and the concentration of ownership, trying to optimize the structure of equity to alleviate the financing constraints'influence on corporate R&D investment and increase enterprises' R&D ability. This paper used both normative research method and empirical research method, combining qualitative analysis and quantitative analysis, to study financing constraints'influence on R&D investment.We find that:(1) Financing constraints and R&D investment has significant negative correlation relationship, namely the more the financing constraints faced by enterprise is, the less R&D is. Financing constraints restricted R&D. (2) The higher concentration of ownership the enterprise is, the smaller the financing constraints' negative influence on R&D investment is. (3) In non-state-owned holding companies, financing constraints' negative influence on R&D investment is smaller than state-owned holding companies. So this paper puts forward some suggestions to ease the financing constraints'impact on R&D:strengthening bank credit support for enterprise R&D activities, accelerating reform of the stock market, actively promoting risk investment to participate in the enterprise innovation, improving large shareholders' shareholding and speeding up the reform of state-owned enterprises.