Research On The Impact Of R&d Investment In Household Appliance Enterprises On The Management Performance

With the progress of information technology and economic globalization,the favour in the advantages like human resources and material resources have gradually lost.Yet the competition between enterprises grows more intense.Thus how to remain competitive continuously has become a hot issue that the enterprises have to take into consideration.In this context,this paper makes a careful analysis on the present situation of the investment in household appliance enterprises and shows that in order to survive and develop rapidly,the enterprises management staff have realized that it is a necessity that R&D be strengthened so as to acquire core competence.However,due to the long cycle of R&D,slow return,high risk together with comparatively high uncertainty,whether R&D investment can promote enterprise management performance and its competitiveness remains uncertain.Meanwhile,there exist many problems among enterprises such as cognition level of R&D,governance,information construction,talent introduction and training.As a result,administrators tend not invest in R&D,instead,they are more willing to devote capital to external investments with higher certainty.How to keep the competitive advantage,is a problem that The enterprises must consider.In this context.This paper analyzes the investment status of household appliances enterprises and show that the enterprise managers began to realize that they must increase R&D strength to obtain the core competitiveness,to enable enterprises to obtain the survival and development.Due to the long cycle of R&D,slow return,high risk,high uncertainty.Whether R&D investment can improve the performance of enterprises and the comprehensive competitiveness of enterprises is very uncertain.At the same time,it is found that there are many problems in the R&D of enterprises,such as cognition,governance,information construction,talent introduction and training.Managers are less willing to invest in R&D,and are more willing to invest in external investment with higher certainty.All the above considered,this paper selects the listed A shares of the appliance enterprises as the research object.Through the analysis and integration of annual financial information released and acquiring the return rate of total assets and the indicators like Tobin Q value,R&D investment and external investment as well as other indicators,it constructs a panel data regression model which stands proof and test.Furthermore it makes a careful study on how R&D investment and external investment effects enterprise performance(financial index the rate of return on total assets and market indicators Tobin_Q).Consequently,conclusions come as follows.No.l Enterprises will spend part of its capital on external investment,which brings short-term benefits.However,it effects negativly on the performance,especially when the long term lag effect obviously exposed.As the funds vary,it creates a greater impact on the development of the enterlprise.No.2 R&D investments play a positively regulatory role in management performance,especially when studying lag effect we find R&D investment obviously creates a greater impact on the management performance.With more input of R&D investment enterprise competitiveness will gradually grow,which enables itself to take the lead in the industry.At the same time,butterfly effect changes the enterprise to be technology driven business.On the whole it comes to the final conclusion that household appliance enterprises should spare no effort to keep concentrating on R&D investment,reducing external investment gradually.Meanwhile,in order to find solutions to the problems existing in R&D investing of the companies,this paper points out that the administrators' cognition of R&D investment should be strengthened,enterprise R&D investment and strategy policy should be raised to enterprise managing level,governance should be strengthened and perfected,information construction should be reinforced and talents introduction should be paid attention to and training talents should be perfected.