Government Subsidies,Industry Competition Environment And R&D Investment

The pressure of complex and grim situation at home and abroad and the requirements of economic structural transformation and upgrading have determined that optimizing the innovation ecology is the key kinetic energy of China's economic ecosystem construction,and the high-tech enterprises as the important role of China's innovation-driven strategy determine the success of China's economic transformation.no.On the one hand,the transmission and diffusion of high-tech enterprises and their complementary relationship with traditional industries can drive related industries to form new economic growth points faster;on the other hand,the development of high-tech enterprises can increase the overall amount of national economy.The degree of intensification of technology will reduce the consumption of unit resources,thus effectively promoting the optimization and upgrading of the economic structure.To this end,China has continuously increased its support for high-tech enterprises,and has stimulated R&D investment and technological innovation in high-tech enterprises through multiple channels such as fiscal interest subsidies,policy subsidies,and tax rebates.However,due to the limited economic resources of the country and the different competitive environments in which the enterprises are located,the government subsidies obtained between high-tech enterprises are bound to differ.Therefore,the key question that needs to be answered is: Can government subsidies promote R&D investment? Is there an optimal level of government R&D subsidies? How will the industry's competitive environment affect?Based on the theoretical basis of externality theory,information asymmetry theory,political tournament theory and competition effect,this paper analyzes the influence mechanism of government and market “two hands” on R&D investment of high-tech enterprises.Specifically,based on the heterogeneity of property rights,the research sample is divided into two groups: state-owned enterprises and non-state-owned enterprises.The effect of government subsidies on R&D investment of enterprises and the role of industry competition environment in R&D investment of enterprises are explored hierarchically.The regulatory effect of the industry's competitive environment on the relationship between government subsidies and corporate R&D investment,and the impact of the industry's competitive environment on the optimal level of government subsidies.Attempts to seek a path to expand the government's R&D subsidy promotion effect from the national macro level and the enterprise micro level.Research indicates:(1)The relationship between government subsidies and R&D investment of high-tech enterprises in China shows an inverted “U” curve,that is,the initial government subsidy has a promoting effect on R&D investment of enterprises,and the extrusion effect occurs after exceeding a certain intensity.However,under the same level of government subsidies,the R&D input intensity of non-state-owned enterprises is greater than the R&D input intensity of state-owned enterprises.(2)The more fierce the competitive environment of the industry,the more it can promote the R&D investment of China's high-tech enterprises,but there are significant differences under the heterogeneity of property rights.The fierce competition in the industry will stimulate non-state-owned enterprises to further increase the intensity of R&D investment,but the impact on stateowned enterprises is not significant.(3)Compared with the relaxed industry competition environment,in the fierce industry competition environment,the role of government subsidies for corporate R&D investment is more significant.However,companies with different property rights have large differences.Compared with state-owned enterprises,the regulation of the industry's competitive environment is more pronounced in non-stateowned enterprises.(4)Under the premise of verifying that the relationship between government subsidies and R&D investment in high-tech enterprises is an inverted “U” curve,there is an optimal level of government R&D subsidies(ie,the inflection point of the inverted “U” curve),while in the fierce industry.In the competitive environment,the optimal level of government subsidies will increase(ie,the inflection point of the inverted "U" curve will move to the right).Compared with state-owned enterprises,the industry competition environment has a more significant impact on the optimal level of government subsidies for non-state-owned enterprises.Compared with the existing research,this paper discusses the research samples in groups according to the nature of property rights,focusing on the non-linear relationship between government subsidies and R&D investment of high-tech enterprises,and further proposes the existence of the optimal level of government subsidies,in order to properly control government subsidies.Strength is a reference.Secondly,this paper selects key influencing factors(industry competitive environment)among many external conditions,studies its impact on government R&D subsidies,and the mechanism of action on the optimal level of government subsidies,which not only enriches the empirical evidence of relevant research.It also provides a newer research perspective.