On The Impact Of R&D Subsidies On JAC's Innovation Performance

With the rapid development of China's auto industry,a series of social problems such as energy,transportation,and environmental protection have also emerged.Under the current situation of saving resources,energy saving and emission reduction,and circular economy,the state has issued a series of policies.Undr the guidance of these policies,China's automobile industry has begun to develop towards lightweight and new energy vehicles.However,due to the late start of the new energy automobile industry,there are many problemS,such as high R&D costs,high sales pric,low market demand and so on.Therefore,in order to promote the development of emerging industries,the government needs to give strong support.Government subsidy is one of the impor:tant means for the governmen to use social public resources to guide the sustainable development of the market and enterprises and accelerate the adjustment of industrial structure.In recent years,China's government subsidies for new energy industries of automobile enterprises are stronger,but with the promulgation of the new policy of new energy subsidies,the impact of the sharp decline in government subsidies on corporate status of fund is thought-provoking,so it is necessary to study the impact of government subsidies on the operation of automobile enterprises.Through the annual report of JAC,it was found that the amount of government subsidies for JAC decreased by 84.89%in 2017,and the new energy subsidies were directly reduced to zero.In addition,the net profit of JAC decreased sharply,and the net profits after deducting abnormal losses was negative.This phenomenon caused the author's attention,and decided to take JAC as a case study object,and cary out a further research and analysis.This paper uses the literature research method,case analysis method,etc.,fistly introduces the situation of government subsidies for the new energy automobile industry and the government subsidies of JAC for the past six years.After that,the financial data of JAC from 2012 to 2017 is Based on the foundation,it is found that the increase of government subsidies directly leads to the increase of net profit of enterprises and the profitability of enterprises.However,through the in-depth analysis of,the financial status of JAC's profitability,solvency and cash flow,it finds huge government subsidies.JAC has experienced a situation in which the surface profit is actually losing money.In this case,this paper further analyzes the impact of its currcent innovation performance,and finds that government subsidies have an important impact on JAC's R&D investment and R&D efficiency.The injection of government subsidies has increased R&D investment and led to R&D innovation results.The output,and correspondingly can improve product performance and quality,to meet market demand,but JAC does not fully use government subsidies,so that R&D investment has not increased significantly,and with the adequacy of research and development funds,it is easy to cause the work of R&D personnel slack,The low efficiency of work makes the output rate of technological innovations low and the value is low,which in turn leads to the market quality and performance of JAC's main business products,and the sales volume is reduced.Through a series of influences of government subsidies on the innovation performance of JAC,we can find that the motivation of local governments to provide subsidies to JAC is mainly to "protect the shellr" to meet the local economic output value and the number of listed companies.In response to the analysis of the impact of governmment subsidies on the innovation performance of JAC,in order to improve the status of JAC R&D and improve the government subsidy related policies,the paper puts forward the following suggestions:First,the company increases R&D investment,and the government strengthens support for R&D innovation.And to improve subsidy standards and innovation incentives;second,to stimulate talent innovation,improve research and development effiency;third,in the technical strategic cooperation,clear cooperation content and tasks,rational diversification development;Fourth,strengthen the main,business operations,Improve the number of high-value patents and properly use them to improve product quality and enhance product market credibility;fifthly,the government should strengthen the supervision of subsidized funds,compulsorily stipulate that enterprises sh,ould improve the way of disclosure of government subsidies,and supervise enterprises to use subsidized funds rationally to improve innovation and improvement.Business operation,and implement the subsidy policy of innovation first and reward later,to promote technological innovation of enterprises.It is hoped that these suggestions can provide some help for the future business activities and government policy making of JAC,provide some guidance for the development of China's emerging industries,and provide reference for future scholars to study new energy vehicles.