Media Attention,R&D Investment And Financial Performance

As one of the traffic passwords in the information age,the media has an ever-changing impact on content creation,promotion and drainage,and community operation.For enterprises,media attention can alleviate the problem of information asymmetry,reduce moral hazard and adverse selection,and at the same time provide more ways for enterprises to finance.Media attention also represents the direction of public opinion and plays a regulatory role in the formulation of the operator’s strategy.The Party’s 20 National Congress proposed that our country is in the key year of the "Fourteenth Five-Year Plan" period.The level of innovative technology is closely related to the sustainable development of enterprises.Developing new products and researching new technologies have become an important means to improve the value of enterprises.The R&D investment is not only reflected in the reserve of basic knowledge,but also indicates the stamina of independent innovation and development of enterprises.Therefore,the Ministry of Finance emphasizes that it is necessary to continue to increase the investment in scientific research funds.Only by continuous innovation and optimization of services can it establish a good brand image,and then stand out in the increasingly fierce market competition environment,and finally usher in business opportunities and dividends of financial performance.Based on this background,the article has carefully summarized the relevant research experience of a large number of outstanding scholars at home and abroad.Taking the A-share listed companies from 2014 to 2020 as the research sample,it has put forward assumptions and built relevant economic models.Under the premise of taking media attention as the adjusting variable,the thesis has conducted empirical analysis on the interaction between media attention,research and development investment and financial performance,and conducted a robustness test.This study finds that:(1)Media attention is positively correlated with R&D investment,that is,the more media attention,the higher the amount of R&D investment of enterprises.Further research shows that,by subdividing the emotional categories of reporting,positive reporting has a more significant impact on the promotion of R&D investment than negative media reporting.(2)R&D investment is positively related to financial performance,that is,enterprises’ increasing investment in scientific research will optimize product upgrading and save production costs,and win consumers’ trust,which is conducive to improving financial performance.(3)Media attention plays a negative role in regulating R&D investment and financial performance,that is,R&D investment is a risk project investment,which may bring benefits to the enterprise and may also bring uncertain losses.Considering that the media will transmit the financial situation to the public,the enterprise will actively reduce the R&D investment with high risk coefficient to reduce financial performance.(4)In order to improve the preciseness of the experimental conclusions,this thesis adopts the age shortening method and the variable replacement method to conduct the robust test,and the regression results show that the above conclusions are still valid.