Research On The Influence Of Heterogeneity Of Institutional Investors On Corporate R&D Investment

R&D investment is a strategic investment which affect enterprise's survival and future development.Nowadays in the strongly competitive market circumstances,especially for high-tech enterprises,enterprises must strengthen the core competitiveness by improving innovation capability.Usually institutional investors have advantages in terms of capital scale,business administration and information collecting and analysis,which gain widespread attention and acceptance of theoretic and practical field.Institutional investors are deemed to have enough ability and motivation to play a active role in corporate governance.What's the influence of institutional investors on R&D investment? whether institutional investors can increase enterprise's R&D investment? In recent years,these problems are study hotspots in field of corporate governance.This paper will research the problem in depth.Usually all kinds Of institutional investors are regarded as the same in the most existing researches,we will improve this approach by dividing institutional investors into two categories,one is ‘pressure-resisting type',and another is ‘pressure-sensitive type'.We will research the different impact of different institutional investors on R&D investment.Another innovation of this paper is to divide institutional investors' corporate governance effect into ‘value creation effect' and ‘value selection effect',and we base on this to analyze the dynamic endogenous relationship between institutional investors and corporate R&D investment.In order to explore the real impact of two types of institutional investors on R&D investment,the dynamic endogenous should be taken into account.In the part of theory analysis,the article firstly review and summary relevant literature about institutional investors and R&D investment.Then define some concepts,and sum up relevant theoretical basis,including technical innovation theory,principal-agent theory,and so on.Finally,we analysis the heterogeneity of institutional investors and the different corporategovernance effect of two types of institutional investors,then we carry out the research design basis on these theoretical analysis.In the part of empirical analysis,we take 97 Chinese listed companies of high-tech industry from 2010 to 2015 as samples,a total of 582 samples.Then we build models and respectively adopt OLS,2SLS,GMM estimation method to comparatively analyze to test and solve dynamic endogenous problem.The result have shown that pressure-resisting type institutional investors are conducive to the current and future corporate R&D investment,that is the more pressure-resisting type institutional investors' share,the more R&D investment.It suggests that pressure-resisting type institutional investors have value creation effect that they adhere to shareholder's activism and participate in corporate governance actively.However,the pressure-sensitive type don't have obvious value creation effect on R&D investment,they even can significantly reduce the future corporate R&D investment,that is the more pressure-sensitive type's share,the fewer R&D investment.This may be because of the relationship between institutional investors and R&D investment,which influence institutional investors' enthusiasm and fairness of participating in corporate governance,and then ignore the long-term development of enterprises.