Will The Succession Of The General Manager Affect The Sustainability Of Corporate Innovation?

Enterprise innovation activities include several different stages,each stage requires a large amount of manpower and financial resources to transform abstract concepts into real products and services,which means that to achieve the ultimate commercialization of innovation,we must maintain innovative and sustainable investments.However,on the one hand,the technological innovation activities of enterprises have high external financing costs.Enterprises have a secrecy attitude to the knowledge of technological innovation,and it is difficult for external personnel to know the specific situation of enterprise innovation.Moreover,innovative enterprise output belongs to intangible assets,attached to the human capital of R&D personnel,it is difficult for the outside world to measure.On the other hand,the adjustment cost of enterprise technological innovation activities is very high.The benefits of innovation activities rely mainly on the "knowledge" of R&D personnel,this"knowledge" can't be measured and is difficult to store.Whether be faced of internal or external pressure,innovation activities may be forced to interrupt,resulting in a huge loss of business.Therefore,How to maintain the continuity of enterprise innovation is of important significance to China,which is changing from "extensive"to "intensive" development mode,from "unsustainable" transition to "sustainable"development mode.Due to the separation of management rights and ownership,the general manager has become an important role of the power center of Chinese enterprises,and has also become an important factor which determining the company's strategy and performance,and is responsible for the realization of the company's business objectives.Given that the successor general manager was at the beginning of his post,this paper constructs a research mechanism that examines the influence of the succession of general managers on the sustainability of corporate innovation,and the feedback effect of product market competition and expected performance feedback effect.This paper takes the panel data of A-share listed manufacturing companies from 2006 to 2014 as a research sample to form an unbalanced panel data set consisting of 1350 companies and 8142 observations,and uses STATA 12.0 for data analysis.Based on these,this paper discusses whether the succession of GM will affect the continuous innovation of enterprises,and further analyzes the moderating effect of product market competition,and the joint moderating effect of expected performance feedback.The empirical results show that:the general manager succession is not conducive to the sustainable innovation of enterprises;Relative to the weak product market competition environment,in the strong product market competition situation,the succession of the general manager has a more negative impact on the continuous innovation of enterprises;However,in the situation which actual performance is higher than the expected performance,the product market competition,the negative regulatory role is weakened.Therefore,this paper proposes the following management recommendations:Companies should establish an effective supervisory mechanism of the board of directors,and maintain a high vigilance after the successor of the general manager,not only to improve the short-term performance of the enterprise,but also to consider whether the strategy of the resource allocation of the successor general manager is in line with the interests of the enterprise in the long run.