Does Strategic Emerging Industry Policy Support Promote Enterprise Innovation Investment

Strategic emerging industries are industries that the country is developing vigorously.Enterprises that belong to strategic emerging industries will be supported by corresponding policies.Such support may come from financial subsidies,tax incentives,or financing support,or may be derived from other enterprises specializing in strategic emerging industries.Policy offers.The purpose of this paper is to explore whether the supportive policies of strategic emerging industries have promoted innovative investment in enterprises.Industrial policies may have a positive or negative impact on a company's innovative investments.On the one hand,the support of industrial policies to enterprises can enable enterprises to obtain more government subsidies,tax incentives,financing support,etc.,which is conducive to enterprises to use resources to increase corporate innovation investment.On the other hand,the rich resources brought by industrial policy support may cause the enterprise's industrial policy support dependence,weaken the enterprise's willingness to invest in innovation,and is not conducive to the company's innovative investment.This paper uses the double difference model(DID)to explore the impact ofstrategic emerging industry policies on innovation investment in Shanghai and Shenzhen A-share manufacturing enterprises.The experimental group is a strategic emerging industrial enterprise.The selection criteria are those incorporated into the“China Strategic Emerging Composite Index” constituents;the control group is a non-strategic emerging industrial enterprise,that is,the A-share manufacturing industry that is not included in the “China Strategic Emerging Composite Index”constituent stocks.enterprise.The empirical results of this paper show that,on the whole,the positive effects of strategic emerging industrial policies on corporate innovation investment are greater than the negative effects.Strategic emerging industrial policies promote innovation investment of enterprises;the nature of property rights affects the incentive effect of strategic industrial policies on corporate innovation investment.This remarkable incentive effect only occurs in private enterprises,while the incentive effects in state-owned enterprises and foreign-funded enterprises are not significant.The economic region in which the enterprise is located influences the incentive effect of the strategic emerging industrial policy on the innovation investment of enterprises.The strategic emerging industrial policy in the eastern region has a significant incentive effect on the innovative investment of enterprises,but in the western region,the central region,and the northeast region,these are underdeveloped.In the region,the strategic emerging industrial policy has no significant effect on the innovation investment incentives of enterprises;the degree of financing constraints affects the incentive effect of strategic emerging industrial policies on corporate innovation investment,and the strategic emerging emerging industrial policies with low degree of financing constraints on corporate innovation The incentive effect of investment is significant,and the incentive effect of enterprises with high degree of financing constraints is not significant.The manager's salary structure affects the incentive effect of strategic emerging industry policies on enterprise innovation investment,the strategic emerging industry policy of managers with higher compensation structure is positively related to enterprise innovation investment,and the strategically emerging enterprise with lowermanager compensation structure The effect of industrial policy on the innovation investment incentives of enterprises is not significant.However,the salary structure of managers is not as high as possible.The higher salary structure brings financial pressure to enterprises,which is not conducive to the innovation investment of enterprises.The government support influences the incentive effect of strategic emerging industry policies on enterprise innovation investment.Government support is very small,and the positive effects of industrial policies are less than negative effects.When government support is at a high level,industrial policies will encourage companies to invest in innovation.However,when the government's support is too strong,the effect of industrial policy to stimulate enterprise innovation is not significant;the strategic emerging industry policy support increases the investment level of enterprises,increases the internal financing of enterprises and debt financing,thereby stimulating the innovation of enterprises.The investment and the result of equity financing are not significant.