Study On Interaction Among R&D Input Internationalization Speed And Enterprise Performance

40 years after the Reform and Opening-up,Chinese companies underwent of transformation from Planned Economy to Market Economy,from a following role to a leading role in the world.Their cost advantages have gradually diminished.Under such circumstances,technology innovation becomes an important driven force for Chinese companies in the international competition.Chinese Government,on the one hand,calls for strengthening technology innovation in Chinese companies by pushing forwards a wide-ranging entrepreneurship and innovation,in recent years,China's R&D Input has been increasing year by year;on the other hand,pushes forwards reform to streamline administration,delegate power and optimize government services so as to provide a better environment to the market and convenience to the going-out of enterprises.However,due to shortage of knowledge on the mechanism of R&D's influence on corporate performance,for a long period of time,it has become the “black box” difficult to solve.the results of the study could be quite different: On the one hand,the majority of research works show that R&D input has a positive effect on corporate performance,and on the other hand,there is evidence that R&D input has lagged,nonlinear or even negative effects on corporate performance.2 factors should be taken into account in research on internationalization strategy of Chinese enterprises: China is currently undergoing a economic transformation period,markets in different areas are separate and different,which may affect the internationalization strategies of enterprises in different areas;experience on internationalization will also have influence on the implementation of enterprises' internationalization strategy,a rich experience on internationalization may help enterprise adapt itself rapidly to the changing international environment.Based on literature research,the paper constructs a theoretical framework for the relationship among R&D input,internationalization speed and corporate performance.In order to investigate the affecting relationship among R&D investment,enterprise internationalization and corporate performance,the researcher establishes a mediated moderating model where internationalization speed serves as a mediator while institutional environment and internationalization experience as moderators between R&D investment and corporate performance.The proposed study constructs a theoretical framework and a conceptual model through literature review and theoretical analysis,carries out hypothesis verification in quantitative method of statistical analysis,analyzes and discusses the following two core questions:(1)What impacts does R&D input exert on enterprise internationalization and corporate performance?(2)If the impacts exist,what is the affecting mechanism and path of R&D input on enterprise internationalization and corporate performance? Through theoretical discussion and empirical analysis in the entire paper,the following conclusions are drawn:As for the manufacturing companies that have started international business,adding input for R&D will increase the opportunities to have the new knowledge and new technologies they acquire during international contact be integrated and transformed into their own capacity to promote the internationalization process,achieve the "new combination" of production factors and production conditions,and therefore accelerate the process of internationalization,and improve the performance of the companies.Due to the differences in policies in different regions in China and market segmentation,the different regional policies can also affect the process of internationalization.The regional policies that a company shall comply with can affect the transaction costs,agency costs,and the costs to adapt to the existing institutional environment.Therefore,policies can affect a company in decision-making,and the internationalization process of a company.Favorable institutional environment will facilitate a company to implement its internationalization strategies.A company's experience in internationalization refers to the knowledge resources the company has acquired in its pursuit of its strategic targets of internationalization,and in the process of adaptation to constantly changing environment,through organized learning.Rich experience in internationalization can enhance a company's capacity to identify and to respond to risks,and reduce uncertainties in decision-making and operations management,so as to promote the process of internationalization and the performance of the company.In regard of theory,It could provide a new theoretical explanation and empirical evidence,In regard of practice,this paper can facilitate companies to better understand and analyze resources and capacities when implementing strategies on internationalization,and can support governments to build a better institutional environment and to help local companies implement internationalization strategies when facilitating companies "going global".