Banking Competition And Enterprises' Technological Innovation

In the current world,science and technology are leading the development of economy.Technological innovation has been placed at the core of the overall development of China.Based on the data of listed companies in China's high-tech industry from 2007 to 2015,the paper empirically analyzes the impact of banking competition on technological innovation in enterprises.The research finds that banking competition can alleviate the financing constraints and promote the investment of R&D in the high-tech enterprises,and further finds that long term loans are the way of its influence.Moreover,banking competition also has positive effect on the R&D output and output efficiency in the high-tech industry enterprises.Finally,we find the phenomenon that companies strategically use invention patents to get long term loans from banks.The innovations of this paper include that discovering the influence way of banking competition to enterprises' technological innovation,building multi-level banking competition indexes,and studying the technological innovation from three dimensions of R&D input,R&D output and R&D output efficiency,and further building multi-level R&D output indexes in order to measure the quality of R&D output,discovering the phenomenon of corporate strategic loans.