Research On The Impact Of R&D Investment On The Performance Of Manufacturing Enterprises Under Equity Incentive

Technological innovation is an effective way for enterprises to obtain core competitiveness in the era of knowledge economy,and it is a key link to help enterprises occupy the market.As the basic guarantee of technological innovation,R&D activities always affect the future economic interests of enterprises.In recent years,manufacturing industry has gradually become the pillar of China’s economic industry,but it is facing an important moment of economic transition,opportunities and challenges.With the transformation of Chinese product concept from "made in China" to "created in China",more and more manufacturing enterprises are increasing R&D investment to improve their independent innovation ability.However,due to the characteristics of R&D activities,such as high investment risk and long return period,the principal-agent problem in enterprise operation has become increasingly prominent.The separation of ownership and management leads to the loss of long-term benefits brought by R&D activities.In order to alleviate the adverse effect of principal-agent problem on enterprise performance,equity incentive has become an effective way of governance.It gives managers the right to distribute the residual value of enterprises,and makes their interests converge with the interests of enterprise owners,so as to make decisions that are conducive to the long-term development of enterprises.With the promulgation of equity incentive management method in 2006,many domestic manufacturing enterprises began to implement equity incentive plan.Therefore,this paper explores the impact of R&D investment on the performance of manufacturing enterprises under equity incentive.After combing and summarizing the existing literature,this paper defines the relevant concepts,and expounds the principal-agent theory,incentive theory and core competitiveness theory.This paper introduces the current situation of equity incentive and R&D investment in China,analyzes the influence mechanism of them on the basis of theory,and puts forward relevant assumptions.At the same time,this paper selects the data of A-share manufacturing enterprises in Shanghai and Shenzhen in 2009-2018 as the sample,and uses the hierarchical regression analysis to conduct empirical research,and draws the following conclusions:(1)there is a significant positive correlation between equity incentive and corporate performance,and equity incentive can promote corporate performance.(2)There is a significant positive correlation between R&D investment and enterprise performance.R&D investment can promote enterprise performance.(3)Equity incentive has a significant positive regulatory effect on R&D investment and corporate performance.Finally,on the basis of empirical conclusions,according to China’s national conditions,put forward countermeasures and suggestions.