A Study On The Effect Of Technological Innovation And Financing Structure On Corporate Performance

Agriculture plays a vital role in China's economy.For China's agricultural listed companies,technological innovation and financing structure are important factors which can promote the development of the company.On the one hand,the technological innovation provides new impetus to the agricultural listed company.On the other hand,reasonable financing structure can help company to alleviate high risk and high cost in technological innovation.Paper makes the agricultural listed company from 2007 to 2016 as sample,using theoretical and empirical analysis.In the paper,it uses Return on Total Assets to represent the firm performance,with capital structure and equity structure to measure the financing structure,uses R&D investment to measure technological innovation.In addition,it attempts to analyze the relationship among technological innovation,financing structure and corporate performance.Through empirical research,the results found that: firstly,the technological innovation has a positive effect on agricultural performance.Secondly,we could see that capital structure is negative to corporate performance,ownership concentration is positive to corporate value.In addition,comparing the corporate shares,state-owned shares and trable shares are negative to corporate value.Thirdly,the paper takes financing structure as regulatory role.On the one hand,the regulation of capital structure on technological innovation exists negative role.On the other hand,ownership concentration and corporate shares play a negative regulatory role on technological innovation,however trable shares play a positive role.At the end,the regulation of state-owned on technological innovation does not exist significant role.According to empirical results,this paper puts forward some policies and suggestions in view of relative theory,such as innovation-driven strategy,reasonable financing structure and the adjusting effect of financing structure.The measures include how to use innovation-driven strategy to improve corporate performance;how to determine a reasonable capital structure;how to adjust the ownership structure;how to make full use of the policy dividend to realize the adjusting effect of financing structure.All are four recommendations.