Research On The Impact Of Government Subsidies On The Sustainability Of Technology-based SMEs’ Innovation

Under the background of the national innovation strategy,the scale and intensity of R&D in China has steadily increased.As the main force of technological innovation,enterprises have made significant contributions to the advancement of science and technology.With technology iterations become more frequent and market competition becomes fiercer,some high-quality companies have established long-term competitive advantages through continuous innovation and achieved fruitful innovation results.As one of the most active groups in technological innovation,maintaining the sustainability of innovation activities has become an inevitable requirement for the innovation and development of technological SMEs.However,due to the lack of their own strength and other problems,there are many restrictions on innovation activities of SMEs in science and technology.Among them,the problem of financing constraints is particularly prominent for SMEs’ further development.In order to promote the healthy development of technology-based SMEs,the government has provided a strong guarantee for its continuous innovation through a series of innovation policies.In the context of financing constraints,it is of great significance to study the impact of government subsidies on the sustainability of technological SME innovation.Based on the 2015-2018 data of technology-based SMEs,this paper conducts an empirical study on the relationship between government subsidies and the sustainability of corporate innovation.After judging the sustainability of innovation in technologybased SMEs,this study examines the direct impact of financial subsidies and tax incentives on the sustainability of corporate innovation and the regulatory role of financing constraints.The results show that:(1)the innovation activities of technologybased SMEs have sustainable characteristics both in terms of R&D investment and patent applications;(2)financial subsidies and tax incentives have incentive effect on the sustainability of technology-based SMEs’ innovation,and under the same conditions,the incentive effect of financial subsidies is greater;(3)financing constraints have a significant moderating effect between financial subsidies and the sustainability of technological SMEs’ innovation.When technological SMEs face high financing constraints,the financial subsidy has a greater incentive effect on the sustainability of corporate innovation.While financing constraint has no significant regulating effect between tax incentives and the sustainability of technological SME innovation.