Research On The Relationship Between The Financialization Of Corporate Assets And R&D Investment Based On The Top Management Team Characteristics

With the slowdown of economic development,the operating environment of China's real economy has gradually deteriorated,while the financial industry has shown a development trend of "a hundred flowers bloom" in recent years.Under the dual influence of operating pressure and profit motive,some real enterprises has turned to the financial market instead of the main business operation one after another.It has become a trend that financial capital replaces industrial capital,that is call:the financialization trend of enterprises.However,during the 13 th National People's Congress,general secretary xi jinping once again stressed the importance of the real economy,making it clear that the real economy should adhere to the development of the main industry,and financial work should serve the real economy.However,The development of the real economy cannot be achieved without the support of many real enterprises.The development of real enterprises must have their own core competitiveness,which cannot be achieved without innovation activities,which need financial support,namely R&D investment.Both financial investment and R&D investment are the results of decisions made by the senior management team of an enterprise,and the behavior of the senior management team is affected by its demographic characteristics.Therefore,from the perspective of the characteristics of the senior management team,this paper analyzes the moderating effect on the relationship between the financialization of enterprise assets and R&D investment.In this paper,the research samples are the companies that have disclosed their R&D input information among the A-share non-financial listed companies in Shanghai and shenzhen from 2013 to 2017.Firstly,previous literatures about the financialization of enterprises,the Top Management Team characteristics and the relationship between them and R&D investment are analyzed.Secondly,the "substitution effect" hypothesis of the financialization of enterprise assets on R&D investment is derived based on the Principal-agent Theory,and then the hypothesis that the characteristics of the senior management team have a regulating effect on the "substitution effect" of the financialization of enterprises is deduced based on the Upper-echelons Perspective.Next,we empirically test the "substitution effect" hypothesis of asset financialization and the moderating effect hypothesis of the Top Management Team characteristics.Finally,we test the robustness and make relevant policy Suggestions.The results show that the financialization of assets of non-financial listed companies in our country has a "substitution effect" to the R&D investment,especially in the manufacturing enterprise,and illiquid financial assets mainly play a role in the "substitution effect".in addition,senior management team average age,average tenure has a significant positive regulation on the relationship between financialization of enterprise assets and R&D investment,executive team technical background has significant negative regulation on the relationship between financialization of enterprise assets and R&D investment.Finally,this paper puts forward corresponding policy Suggestions :(1)strengthen financial supervision,guide the financial market to serve the real economy;(2)improve the corporate governance system and determine the appropriate reward incentive mechanism;(3)build a reasonable and effective senior management team and improve its value.In this paper,we study enriches the existing company assets financialization and researches of the R&D investment,from the perspective of Top Management Team further probes into the relationship,for enterprises in our country while is in economic transition period,it helps to guide the enterprise resources take off the virtual to real also helps enterprise attaches great importance to the Top Management Team construction,and let the enterprise investment behavior on reasonable control.