Research On The Relationship Between Overseas Background,Internal Control And Enterprise Innovation Of Senior Management Team

In the "trade war" between China and the United States in 2018,ZTE and Huawei smartphone manufacturers lacking "core" suffered unfair sanctions in the United States.On May 25,2019,SMIC went to the city in New York,indicating that Chinese companies are still in a weak position in participating in international competition.The fundamental reason is that China's enterprises have insufficient innovation capabilities.Enterprise innovation is one of the most important elements of national innovation.Especially since China entered the new economic normal,innovation has become the core key to the realization of the Chinese dream at an early date.It is the only way to achieve "Made in China 2025" as soon as possible.So how to effectively promote enterprise innovation is an urgent problem to be solved? Internal control is an effective means to ensure the normal operation of the enterprise and improve efficiency.It can effectively promote enterprise innovation,and internal control is jointly established by directors,supervisors,senior management and employees.In the modern enterprise system,executives,as the actual managers of the company,are responsible for the daily business activities of the company,and are also active promoters of enterprise innovation.Enterprise innovation is a risky activity,and executives are worried about taking responsibility and losing face and choosing to stick to the status quo.Executives with overseas backgrounds have far-sightedness,better grasp of the international situation,tend to enhance the core competitiveness of the market through enterprise innovation,have a high degree of self-confidence,and have a clearer and more specific understanding of internal control.Therefore,the selection of overseas background executives,strengthening internal control,and promoting enterprise innovation are urgent tasks for Chinese enterprises.Based on the A-share market data from 2010 to 2017,this paper studies the relationship between the overseas background,internal control and corporate innovation activities of the executive team.Research shows that the overseas background of executive teams can effectively promote corporate innovation activities.At the same time,by strengthening internal control of enterprises,we will further increase corporate innovation activities.The research shows that:(1)the overseas background of the senior management team effectively promotes the enterprise innovation activities through internal control;(2)the internal control is the partial intermediary variable of the senior management team's overseas background to promote enterprise innovation;(3)the regulation industry and the routine after the group return There is an intermediary conduction effect in the industry.After using the propensity matching score method for endogenous testing,the conclusion is still valid.Therefore,this paper puts forward the following suggestions:(1)China should establish an overseas talent introduction mechanism.(2)The state should continue to improve the internal control system.(3)The company absorbs talents with overseas backgrounds to join the senior management team and strengthen internal control to strengthen corporate innovation activities.