Government Subsidies,Financing Constraints And Technological Innovations

Enterprises are not only the subject of economic activities,but also the innovative activities.Technological innovation is an important way for an enterprise to enhance its core competitiveness to maintain its survival and even expand its market share in the fierce market competition environment.The technological innovation achievements of enterprises can not only improve the competitiveness of the enterprise itself,but also promote the development of the whole industry,and macroscopically improve the innovation ability of the country.More than 70% of China's technological innovation comes from the contribution of small and medium-sized enterprises and they play an important role in building an innovative country.However,China's SMEs are generally facing financing constraints,hindering their technological innovation.After reviewing the related literature,this study combines the method of inductive and logical deduction with empirical research.And this paper takes 2009-2018 in Shenzhen Stock Exchange listing of SMEs as the research object,subdividing the technological innovation of enterprises into two dimensions: technological innovation input and technological innovation output,respectively discussing the government subsidies on effects of the two.On this basis,this paper studies moderating effect of financing constraint on the relationship between government subsidies and technological innovation.Furthermore,the sample companies are further divided into state-owned enterprises and non-state-owned enterprises according to the nature of property rights to explore whether there are significant differences in the relationship between government subsidies and technological innovation among enterprises with different property rights.The study found that government subsidies significantly promoted technological innovation input and technological innovation output of enterprises,and there was no significant difference between state-owned enterprises and non-state-owned enterprises.It shows that after receiving government subsidies,in order to maintain or enhance the core competitiveness of the company,most of the small and medium-sized enterprises spend the funds on independent innovation and achieve innovation results."seeking subsidies" and adverse selection are not the mainstream.State-owned enterprises have not invested more R & D funds than non-state-owned enterprises after receiving government subsidies because they have resource-rich external controllers,and they have not lost their motivation for innovation because of long-term administrative protection and resource monopoly.Further inspection found that financing constraint has a significant negative moderating effect on the relationship between government subsidy and technological innovation input,while there is no significant moderating effect on the relationship between government subsidy and technological innovation output.In view of the conclusion of empirical research,from the point of view of government and enterprises,This paper puts forward some Suggestions on how to make full use of government subsidies to promote the technological innovation of small and medium-sized enterprises and how to improve their technological innovation level and sustainable innovation ability.