Research On The Influence Of Institutional Investors On Enterprise Performance

Institutional investors actively participate in corporate governance,exercise supervision power,and strive to improve the level of corporate performance to ensure their return on investment On the other hand,innovative R&D is an important tool for enterprises to compete and grow effectively,and it can effectively improve the performance of enterprises.The ultimate goal of institutional investors’ active participation in corporate governance is the same as that of enterprises’ R&D innovation activities-to improve corporate performance while maintaining a good level of corporate performance.Based on the above analysis,this paper puts forward and explores the following questions:will institutional investors actively participate in corporate governance,improve the R&D innovation environment,thereby improving the level of corporate performance?Based on the above background analysis,after introducing the relevant concepts,this paper combs the domestic and foreign literature,and combines the principal-agent theory,stakeholder theory,technology innovation theory and cost-benefit theory to analyze the relationship between institutional ownership,R&D investment and corporate performance and put forward hypotheses.In view of the existing literature on the mail board listed companies,this study takes the panel data of 341 listed companies on the business board for five years from 2013 to 2017 as the data basis of the muntiple regression model,and conducts errpirical researcj.Furthermore,we further subdivide institutional investors into pressure-resistant and pressure-sensitive types to test whether there are differences in the degree of their different types of impact on corporate performance.Empirical research results confirm that:(1)institutional ownership has a positive impact on corporate performance;under the same other conditions,pressure-resista nt institutional investors have a more significant positive impact on corporate performance than pressure-sensitive institutional investors;(2)institutional ownership has a positive impact on R&D investment;and compared with pressure-sensitive institutional investors,pressure resistance.R&D investment has a more significant positive impact on R&D investment;(3)R&D investment has a positive inpact on corporate performance,and there is a lag,the impact of the current period is the largest,the impact gradually weakened over time;(4)R&D investment plays a part of intermediary role in the impact of institutional ownership and pressure-resistant institutional investors’ ownership on corporate performance;There is no intermediary role in the inpact of pressure-sensitive institutional investors’ shareholding on corporate performance;therefore,the state should encourage the development of institutional investors,strengthen the effective supervision of relevant markets,rationally mobilize the enthusiasm of institutional investors for R&D innovation,so as to achieve the purpose of promoting R&D innovation from the perspective of external corporate governance.Bring the steady growth to the enterprise’s performance.Enterprises and institutional investors themselves should also make rational use of superior resources.So as to achieve the good purpose of inproving enterprise performance and market value.