A Study On Mangers Incentive’s Influence On Enterprise’s R&D Input

Along with the arrival of the knowledge economy age, the process of the economic globalization is speeding up, the international competition intensified day by day, the competition between countries is more and more for the performance of the independent innovation ability of competition. And the enterprise is the important support of a country’s economic development. Our government has put to promote technological innovation to rise to major development strategic height. China’s enterprises have already realized that technology innovation on the importance of enterprise development. Although our country enterprise’s R&D input in increased year by year, but with the western developed countries, there are still a large gap.The researches on the influence factors of our country enterprise’s R&D input has increased gradually in recent years. The modern enterprise ownership and the right of management separation led to the mutual principal-agent problem and then appear professional the managers. The modern enterprise decision-making power is usually in the hands of general the managers. Therefore, the managers of the enterprise for certain incentives should avoid the superficiality behavior and opportunism behavior and more for the long-term development of the enterprise consideration, and also perform of the technical innovation activities.This paper reviews the incentive theory, technological innovation theory, principal-agent theory, analyzes and researches the relationship between the incentive and enterprise R&D input. on this basis, this paper selected1244listed companies from2008to2010as research samples, and empirically test the relationship between the managers incentives and the enterprise’s R&D input.The main content of this paper is divided into seven parts. The first chapter is the introduction. This part mainly introduces research background and put forward research problem. The second chapter mainly reviews related literature of the managers incentives and enterprise’s R&D investment. The third chapter is mainly to analyze the current situation of our country’s R&D input and stock ownership incentives. The fourth chapter mainly reviews the theoretical basis and puts forward research assumptions. First of all is explain the concept of the enterprise managers and R&D input; the second is discus the related basic theory on the managers’ motivation and enterprise’s R&D input;at last, it puts forward the hypothesis. The fifth chapter is mainly to the executive incentives and enterprise R&D input of the relationship between research design, including design research variables, build the multiple regression model, and select the sample data. The sixth chapter is the empirical research on the relationship between the managers incentives and enterprise’s R&D input. The seventh chapter is the conclusion and Suggestions.This study concluded that the listed company’s managers incentives has significant positive influence on enterprise’s R&D input. Compared to the monetary compensation, managers’stock ownership incentive can motivate the managers more to promote technical innovation activities and to increase R&D input. Therefore, the enterprise managers to proper stock ownership incentive will make the interests of the managers and shareholders interests keeps consistent, make the managers more tend to through the technology innovation activities to promote enterprise’s long-term sustainable development. Incentive to the listed company’s R&D investment incentive effect has significant differences between different industries. In the high technology enterprise, the managers’ motivation especially the equity incentives can stimulate the managers for technical innovation activities. The listed company of the remuneration committee establishment of the managers incentive effect also has certain influence. In the establishment of the remuneration committee of the listed company, the managers incentives especially equity incentive effect is more remarkable. Manager market competition to incentive effect is not significant. Manager market competition did not play its due incentive for the managers of technology innovation effect.