Research On The Correlation Between R&D Investment And Corporate Value Of GEM Companies

The input of corporate R&D is always the focal point of theoreticaland practical fields,as the competitive advantage of enterprises,it willbring great value to enterprisesafter the formation of R&D.As international and domestic market competition becoming increasingly intense,the inputof R&D is becoming an important competitiveness,which decides that whether enterprises can take a firm stand in the markets.The GEM companies went public in 2009,after that,the GEM business caught people's attention for its promising growth.As is known to all,all the GEM companies havethecore competitiveness and the strong technical advantage.In this paper,we concentrate on the correlation between the input of corporate R&D and its value in the life cycle perspective.There are six chapters in this article,and chapter 5 is the researchfocus.The article contents are as follows:Chapter1,introduction.The main contents of this chapter include the background,purpose,meaning,research thoughts,research methods,research framework and innovation point.In addition,we propose the research contents based on both domestic and foreign literature review.Chapter2,the theoretical basis.This chaptercovers the introduction of life cycle theory,technological innovation theory,human capital theory,and government innovative subsidies theory.Chapter 3,the analysis of the input of ChiNext R&D.In this chapter,we introduce the reasons why we choose the GEM companies to research firstly.Then,we introduce the formation of ChiNext and the characteristics of the GEM companies.At last,we provide an overview of the current situation of R&D investment in China and ChiNext.Chapter 4,the research hypothesis and the model.In this chapter,we select variables and data,build models,and make assumptions.Chapter 5,the empirical research on the correlation between R&D input and enterprise value in life cycle perspective.In thischapter,we did statistical analysis to the sample data,and the stability test by multi-linear regression.Chapter 6,research conclusions and suggestions.In this chapter,we draw a conclusion by empirical analysis,and propose suggestionsthat howcompanies and government should react based on the conclusion.Meanwhile,the shortcomings,as well as thefurther practical study direction would be demonstrated in this chapter.Based on the research,the suggestions would be proposed as follows:first,pay attention to the persistence of R&D input;second,focus on the investment of core human capital;third,increase subsides for innovation,enable the companies to make use of favored polices properly;fourth,lay emphasis on R&D input of diverse life circles;fifth,intellectual property tights must be protected more effectively.