Research On The Relationship Between Leverage And Enterprise Innovation

Under the supply-side structural reform,deleveraging has become one of the important tasks in China's economic development.It is particularly important for companies to coordinate the relationship between "de-leveraging" and "promoting innovation".Because,the appropriate leverage ratio means that the company has a reasonable financing structure,which makes companies not only avoid financial risks and bankruptcy risks,but also promote the innovation activities of enterprises,especially for science and technology enterprises.In the context of the country 's innovation-driven development strategy,first of all,according to the combing of a large number of relevant literature,a theoretical analysis of the relationship between leverage and enterprise innovation is carried out;Secondly,combined with reality,the status quo of the development and innovation activities of China's scientific and technological innovation enterprises are analyzed;Then,the enterprise innovation is decomposed into three dimensions: innovation input,innovation output and innovation risk.Taking the 2012-2018 Shanghai and Shenzhen A-share science and technology listed companies as samples,a fixed effect model and a logit binary selection model are constructed to explore Empirical analysis of the relationship between leverage rate and corporate innovation.According to the results of empirical analysis,it is found that there is a “inverted U-shaped” relationship between corporate leverage and innovation input and output that rises first and then decreases,while there is a “U-shaped” relationship between corporate leverage and innovation risk that decreases first and then rises.Through calculation,this paper concludes that the optimal critical value of the leverage ratio of China's scientific and technological innovation enterprises is 36.32%,while the average leverage ratio of the sample enterprises is 34.11%,which is lower than the optimal critical value,indicating that a moderate increase in leverage ratio can help companies innovate activity.The leverage ratio is stratified according to the duration(short-term liabilities and long-term liabilities)and sources(bank credit liabilities and commercial credit liabilities),to further explore the relationship between the two.It is found that the relationship between different leverage ratios and the enterprise's innovation input remains unchanged and the effect is significant,but the relationship between innovation output and innovation risk is different and the significance level is uneven.Finally,according to the results of empirical analysis and the analysis of the status quo of the development of science and technology enterprises,this article proposes relevant policy recommendations for China's science and technology enterprises from the two levels of macro policy and corporate governance.