| In today's era of knowledge economy,the inexhaustible impetuses of enterprises to achieve sustainable development stem from the technological innovations realized through research and development activities.In the "13th Five-Year Plan" that China began to implement in 2016,it was clearly stated that an innovation-driven strategy should be implemented as one major indicator for the first time.The pharmaceutical industry is a technology-intensive one closely related to national economy and the people's livelihood.The pharmaceutical industry has a bright market prospect,and it has maintained a relatively high growth rate over the years.However,it still has the problems such as low research and development intensity,unreasonable product structure and low overall technical level.When China is experiencing economic restructuring and upgrading,it is self-evident that it is essential for the pharmaceutical industry to improve innovation capability and promote industrial innovation and upgrading.In addition,with the common practice of equity incentive in our country,more and more scholars begin to introduce executive equity as an important regulatory variable into the R&D activities of enterprises,and investigate whether the implementation of executive equity incentive can facilitate the R&D investment of the enterprise to generate a positive impact on enterprise performance.Therefore,to facilitate the enterprise development,this study investigates the impact of R&D investment of the pharmaceutical industry on the financial performance of the enterprise,and explores the executive equity incentive adjustment as an important governance factor,on R&D investment and financial performance.This paper selects pharmaceutical manufacturing companies listed in China Shangh ai and Shenzhen A-shares during 2012-2016 as research samples.The relevant data ar e collected and analyzed,and multivariate linear regression analysis is employed to e mpirically test and analyze the hypothesis.The empirical results show that the intensit y of R&D capital has a significant positive effect on the financial performance of ent erprises.The input intensity of R&D personnel has a positive effect on promoting the financial performance in the lagged period.On the whole,R&D investment has a po sitive effect on the development of pharmaceutical industry.Executive equity incentive plays a positive and moderating role in the process of facilitating the financial perfor mance of the enterprise,and belongs to the homogeneous moderating variable;input i ntensity of R&D personnel also has a positive effect on the enterprise financial perfor mance,and belongs to a purely moderating variable,indicating that in the pharmaceuti cal industry,R&D investment not only directly affects the financial performance of the enterprise,and executive equity incentive plays a positive role in regulating the two.According to the conclusion of the above research,this paper puts forward some ratio nal suggestions in the hope that the government and enterprises can pay more attentio n to the whole process of R&D activities,and ultimately the financial performance of the enterprise is improved. |
