Financial Constrains,R&D And Corporate Performance

In 2015,the GDP growth in our country is 6.9%,and it’s the first time that our country’s GDP less than7%,our economy is into a deceleration phase.what’s more,accompany with the challenges from technology and economic integration,Chinese company are facing unprecedented pressure.Under this circumstances,our country has already deeply realize that economy which rely on resources and cheap labour is no longer feasible,more attention on research and development innovation should be paid,which will help us to allocate resources in a proper way and optimize economic structure,to enhance comprehensive national strength,achieve the goal of building an innovative country.For high-tech companies,research and development,is the foundation of their survival,is a reflection of their core competitiveness.R&D activities can be seen as an investment,so money becomes the key factor inevitably.However,unlike other projects,R&D are more confidential,more risky,more uncertainty.For this reason,R&D have more Asymmetric information and principal-agent problems,which make high-tech company even harder to raise their found.Under the circumstance of financing constraints,managers have to reduce the self-interest behaviors,not only more cautious when they making the decision of R&D activities by choosing projects with higher success rate,but also strengthen the supervision and management of the R&D process,increasing the efficiency of R&D activities and promote the efficiency of R&D output,increase company performance at the same time.So this article is based on the data of high-tech listed companies,analyse the relationship between R&D and corporate performance under the background of the financing constraints in the aspect of R&D input and R&D output.In fact,the result we gain is that,financing constrains will inhibit R&D input but promote R&D output;both R&D input and R&D output will increase company performance;compared with the low financing constrain companies,R&D input and R&D output will play a more significant role on the corporate performance who’s facing with more serious financing constrain problems.About writing,this thesis includes 6 parts as follows:part Ⅰ introduces the topic background and significance,research methods,research framework,and the creative point of this thesis.Part Ⅱ combs the current related research achievements on the impact of the sources of R&D and the relationship between R&D and corporate performance and then come up with this research topic.Part Ⅲ shows the relevant theories.This part is the combination concept definition and relevant theories.introduce some characters of R&D.Part Ⅳ,put forward the hypotheses,designs the empirical analysis and defines the relevant variables.Part V implements the empirical analysis and come to the conclusion.Then summarize the whole article and come up with some suggestions out in Part Ⅴ.This paper tries to do the research from several aspects,so it will come up with a more reliable and convincing conclusion.The innovation of this thesis is obvious,by defining R&D as research and development input and research and developmentoutput,the conclusion will be proved in different way,make the consequence moretrusted.In addition,divide all high-tech companies in two groups,by comparing the difference between the two groups,will help the company under different circumstances make more appropriate R&D decision,alert the firm pay more attention on R&D input and R&D output at the same time.By doing this will also confirm the hypothesis.