| With the continuous development of economic globalization and the continuous improvement of China’s capital market,private equity capital is playing an increasingly important role.The government has repeatedly issued relevant policies to support and guide its active participation in the economic market.Under the implementation of "supply side" reform,the innovation ability of an enterprise has a significant impact on its future development.As the most important link in the daily innovation of an enterprise,the efficiency of R&D investment activities will directly affect the innovation results of the enterprise.For Listed companies on GEM,innovation ability is the embodiment of the vitality of the enterprise,and the cash holding level of the enterprise is an important foundation in the process of business activities.The level of cash holding reflects the company’s financial management level and sustainable ability of business strategy.A reasonable cash holding level has a positive effect on the company’s business activities,investment activities and financing activities.Private equity financing as external capital can adjust the impact of cash holding level on R&D investment efficiency.The existing literature studies the impact of cash holdings on R&D investment efficiency,but does not explain the role of private equity financing in it.Therefore,this kind of research is of great significance to both private equity financing and listed companies on GEM.Based on the review of the existing literature,this essay combines the financing constraint theory,social network theory and information asymmetry theory to deduce the research problems.First,according to the theory of financing constraints,this essay analyzes the impact of cash holding level on the efficiency of R&D investment,and then analyzes the impact of private equity investment on the efficiency of R&D investment through information asymmetry theory and social network theory.On this basis,it further divides private equity investment into domestic background and foreign background,and compares their differences.Then,the influence of different shareholding ratio on R&D investment efficiency is investigated.Around these problems,the author takes 2009-2017 GEM listed companies as samples,using fixed effect model,applying normative research and empirical research methods to verify.It is found that the level of excess cash holding will lead to inefficient R&D investment,excessive cash holding will lead to excessive R&D investment,and insufficient cash holding will lead to insufficient R&D investment.Private equity investment can adjust the inefficient R&D investment caused by excess cash holding level,and alleviate the problem of insufficient R&Dinvestment caused by insufficient cash holding.Further research shows that compared with foreign background of private equity investment,domestic background of private equity investment can improve the efficiency of R&D investment.The higher the proportion of private equity,the more able to alleviate the lack of R&D investment caused by the lack of cash holding.The higher the shareholding ratio,the lower the inefficient investment caused by excess cash holding.These conclusions provide empirical evidence for the development of private equity and the improvement of R&D investment efficiency,and enrich the relevant literature of R&D investment efficiency. |
