Research On R&D Expenses Plus Deduction And Innovation Performance Of Enterprises A Case Study Of Fosun Pharma

In recent years,China's pharmaceutical industry is in an important transition period.In this context,the R&D innovation ability of pharmaceutical manufacturing industry is more important for enterprises to gain competitive advantage.However,the R&D of new drugs often requires a lot of resources from enterprises,and the R&D cycle is long,so it is difficult to produce results in a short time,resulting in high R&D cost and risk in pharmaceutical manufacturing industry.In order to effectively reduce the risks and input costs in the R&D process of enterprises and increase policy support for technology-based enterprises,the Chinese government officially confirmed the preferential policy of additional deduction for R&D expenses in legal form in 2008 and introduced the additional deduction rate of 50%.In 2018,trade frictions between China and the United States made Chinese people have a deeper understanding of scientific and technological innovation.For Chinese science and technology,in the face of the complex and volatile international situation,we must increase investment in basic research to provide strategic guidance for the exploration of scientific and technological "no man's land" alone.Against such a background,the government has extended the 75% deduction rate of R&D expenses to all enterprises to encourage further investment in innovation.How will it affect China's pharmaceutical manufacturing industry?Using case analysis,this paper selected the investment in research and development in recent years,large and fast-growing Fosun Pharma for the case enterprise,combining with the endogenous growth theory,cost management theory,market failure theory,a detailed analysis of the impact of policy change to the enterprise R&D,on the basis of the study enterprise R&D effect on innovation performance way,and use entropy TOPSIS method to the enterprise innovation performance evaluation.Finally,the conclusion is drawn: the change on the policy of deducting R&D expenses increases the enthusiasm of Fosun pharmaceutical R&D investment.With the increase of R&D investment,the innovation performance of Fosun pharma is also gradually improved.Combined with the actual situation of Fosun pharma,the paper puts forward specific suggestions on increasing R&D investment,making full use of policies and improving innovation output and business profitability.