Research On The Impact Of Financing Constrains On Innovation Input In Cultural & Creative Enterprise Based On Life Cycle Theory

With the continuous progress of knowledge economy and scientific technology,Cultural & Creative Industries have gradually received more and more attention.The rapid development of cultural & creative enterprises cannot be achieved without financial support and innovative activities.Capital is the foundation for this industries,and innovative activities are the driving force for the sustainable development.Due to the asset-light nature of cultural & creative industry and the high confidentiality of innovative projects,external investors are not willing to provide funds to cultural &creative enterprises,which results in financing constraints.In the production process of cultural & creative products,if the capital chain breaks at a certain stage,then the innovation activities of enterprises will fail.However,when enterprises are in different life cycles,their financial characteristics and governance structure are different.Are there differences in financing constraints faced by cultural & creative enterprises in different life cycles?Will the impact of financing constraints to innovation inputs be different?These problems have not been systematically studied in the existing literature.Based on this,this paper studies whether cultural & creative enterprises face financing constraints and the impact of financing constraints on innovation investment based on the life cycle theory.This paper takes 164 listed companies in the cultural and creative industry that disclosed their R&D expenditure between 2013 and 2017 as the full sample.According to the Comprehensive Cash Flow Method,the enterprise is divided into growth period,maturity period and decline period.Firstly,the binary Logistic regression model was built and the financing constraint index was constructed by using the regression coefficient.The closer the index value is to 1,the higher the degree of financing constraint is.Secondly,anova was conducted on the index value of financing constraint to test whether there were differences in financing constraints during growth,maturity and decline.Then,by building the multiple linear regression model to examine the relationship of financing constraints on innovation input,respectively using the whole sample and test groups sample data for the regression model,to observe the financing constraint index FCcoefficient of symbol and its significance,and to assess the impact of financing constraints on enterprise innovation ability,and whether there is difference in different life cycle.This paper mainly draws the following conclusions:First,when enterprises are in different life cycle stages,they face different degrees of financing constraints.In the mature stage,enterprises face lower degree of financing constraints.Second,the financing constraints of listed companies in China’s cultural and creative industries are negatively correlated with their innovation investment behaviors.Third,in different life cycle stages,financing constraints have different degrees of inhibition on innovation input.Combined with the research conclusions,the paper puts forward effectively Suggestions.