An Empirical Study On The Relationship Between Corporate Governance Structure And Technology Investment

In the recent decade, in order to get rid of the negative situation of economicgrowth, many countries around the world are relying more and more on technologyinnovation to create new economic growth points and development mode. In themeanwhile, the capitalization of technology is prompting science and technology totransform into productivity really. Technology capital has become the key capital ofthe sustainable development of enterprise. Under this situation, this thesis studies therelationship between corporate governance and technology capital using capitalstructure as a moderator.This thesis uses empirical analysis as its study method. Mainly research therelationships among corporate governance, capital structure and technology capital,and explore the internal relationship between corporate governance and technologycapital. This research firstly made some literature review and found that there is avacancy on the study of the mechanism of "Corporate Governance Structure-CapitalStructure-Technology Capital". Basing on this situation, this thesis firstly discussesthe theories of corporate governance, capital structure and technology capital, andthen selects suitable samples and variables as the foundation of empirical study. Usingprincipal component analysis method and multiple linear regression method, theempirical study tests the mechanism and the empirical relationship among corporategovernance, capital structure and technology capital.The thesis is composed of five chapters. The first part makes an introduction ofthe background and significance of this study. The second part includes the literaturereviews and the theoretical basis of this thesis. In this section, the paper firstly sortsand summarizes the composition of technical capital, and then introduces theprogresses and flaws of empirical study on the relationship among the relevantcomponents of technology capital, corporate governance mechanism and capitalstructure. Moreover, the paper cites relevant theories as the theoretical basis of thestudy. In the third part, basing on previous study and the topic of the study, the thesispresents some hypotheses and builds empirical models to test the hypotheses. Thefourth part includes data analysis and empirical test. In this section, the thesis firstlymakes descriptive statistics and correlation analysis about the sample data. After that,the thesis uses empirical models to verify the hypothesis, and then analyzes the empirical results of different models. Furthermore, because of the specialcharacteristics of property rights, this paper also tests the hypotheses from differentproperty perspective. The empirical results show that there is a positive correlationbetween corporate governance structure and technology capital. In other words, themore reasonably corporate governance structure is designed, the higher efficiency ofgovernance would be, and the level of technology capital is usually higher. In themean time, capital structure has a negative regulatory effect on the relationshipbetween corporate governance structure and technology capital. To be specific, thehigher the corporate debt level is, the greater the influence it has on the relationshipbetween corporate governance structure and technology capital, and the moreconstraints it will exert on the investment of technology capital. At last, the fifth partmakes some conclusions and points out the flaws of the study. The study shows thattechnology capital exists objectively in the production and operation process. What’smore, there is a difference between different property rights’ effects on the regulationof capital structure. Moreover, basing on the findings of the study, it puts forwardsuggestions from macro and micro perspectives.