An Empirical Study On R&D Expenditure Of Listed Companies

With the development of economic and the increasing competition in the market,every industry changes from reducing costs by the primary way to obtain technical advantages in the production process.They can be effective with upgrading the entire industry.However,when looking back every technological revolution in the United States during the Internet bubble,there were many dreams or nightmares for many companies due to the huge amount of research and development costs,resulting in the capital chain break.Some non-listed companies could not get financing.Facing the business difficulties,these companies ended with bankruptcy or being merged.Besides,for many listed companies,their stock prices plummeted because of the failure of R&D,which shows that R&D expenditure is a risky activities.Therefore,for enterprises,the rational arrangements for R&D activities and reasonable arrangements for corporate funds can help enterprises to overcome the dilemma.For the government and financial institutions,they should think of what kind of policy to help enterprises to survive in these activities,to upgrade the industry and to avoid the waste of financial resources,material resources and human resources.Finally we can improve the economic benefits of research and development.In this paper,we take the combination of model and empirical research together.The 875 listed companies are divided into three types of industries and two angles,with selecting data from 2012 to 2015.According to the analysis:The listed company will encounter research and development trap in the process of R&D.With the deepening of labor-intensive,enterprises need more and more durable funds and other resources to support.So the government,financial institutions and enterprises can not blindly support R&D,they should take the appropriate measures according to their industry.