Research On Product Market Competition,Fiscal And Tax Concessions And Enterprise Technology Innovation

Today,with the rapid development of science and technology,innovation has become an important driving force for China to adjust its economic structure and transform its economic development mode.It is also an important guarantee for the transformation and upgrading of Chinese enterprises.As the core link in the innovation process,technological innovation investment is the only way to improve scientific and technological achievements.At present,China presents an excellent situation in which the masses of entrepreneurs are innovating.The investment in technological innovation has increased substantially,the scientific and technological achievements have continued to grow,and China's overall scientific and technological innovation capability has reached an unprecedented level,but the technological innovation capabilities of developed countries such as Europe and the United States are comparable.Compared with China,there is still a certain degree of disparity.There are two possible ways to improve the technological innovation capability of enterprises: First,in the fierce market competition environment,companies will spontaneously increase their R&D investment in order to survive and maintain their unique advantages.,to enhance its own core competitiveness.Therefore,the external product market competition environment will act on the company's technological innovation investment behavior,that is,the "invisible hand" itself has a regulatory role in the company's technological innovation investment;Second,the government's fiscal and tax concessions have a guiding role,especially for public products The technological innovation activities of the property,that is,the “government hand” can promote technological innovation activities of enterprises through effective intervention.In the current economic environment,because the market itself has certain flaws,it is necessary for the government to make proper use of macro-control to remedy this defect.Based on this analysis,combining information asymmetry theory,positive externality theory,and technological innovation theory,it is necessary to study the relationship between product market competition,fiscal and tax concessions and corporate technological innovation investment.This paper examines the relationship between the three.To further explore the different effects of the government's fiscal and tax policies on the technological innovation of enterprises in different product market competitions,and to provide reference for the government to formulate more targeted fiscal and tax concessions in conjunction with the market environment.In order to study the role of product market competition and fiscal and tax concessions for investment in technological innovation of enterprises,this paper selected the Shanghai and Shenzhen A-share listed companies from 2010 to 2016 to conduct empirical tests for the sample.The empirical results show that: First,product market competition and enterprise technology innovation investment is not a simple linear relationship,but an inverted U-shaped relationship.In an environment where the product market competition is generally weak,the higher the product market competition,the greater the investment in corporate technological innovation;when the product market competition reaches a certain height,product market competition will weaken the innovation investment.Reverse relationship.Second,from a whole point of view,fiscal and taxation preferential policies can play a significant role in promoting technological innovation investment of enterprises,but from the perspective of corporate ownership grouping,government subsidies are more powerful than tax incentives.Thirdly,further grouping of product market competitions found that government grants and tax concessions do not play the same role in corporate technological innovation investment in different product market competition environments and in different companies.In the highly competitive market of products,government subsidies and preferential taxation policies have all played a significant role in promoting,indicating that fiscal and tax concessions play a good role in regulating the competition in the product market;in moderately competitive and low competition groups Among them,tax incentives have not always played a very good role in promoting stability.It may be that government subsidies have been more targeted and have promoted the investment in technological innovation of enterprises at a certain level.However,from the results of the three sets of regression of product market competition,this paper also finds that under different product market competition environments,government subsidies have been playing a positive role in promoting the impact of non-state-owned enterprises on technological innovation investment.Based on the above,under the fierce competition in the product market,the company's innovation investment behavior is reduced.The government's fiscal and tax concessions play an effective regulatory role.Therefore,the government should give full play to the market and fiscal taxation in the highly competitive market environment.The role of preferential policies;and in moderate and low competition,we should appropriately use fiscal and tax concessions to regulate when we fully play the role of competition in the product market.The management authorities should be able to do something and do something wrong,and really let the market play its main role.