Characteristics Of Executive Team,Heterogeneity Of Institutional Investors And R&D Investment

The 20 th Congress pointed out that innovation must be the first driving force.Research and development investment is the key driver and measure of enterprise innovation.Only by paying attention to and raising the level of investment in research and development can an enterprise retain certain innovative vitality in the fierce market competition.The senior management team plays a key role in the operation and management of the enterprise,which has an important impact on the research and development decisions related to the long-term development of the enterprise.Most of the existing researches focus on the influencing factors of enterprise R&D investment from the single dimension of the stability of the size and members of the senior management team,but do not consider how the stability of the senior management team affects enterprise R&D investment from the overall perspective.In addition,different governance forces have different effects on improving corporate governance and increasing the level of corporate research and development investment.Institutional investors are an important driving force for enterprise development,and their heterogeneity will affect the relationship between the stability of senior management team and enterprise R&D investment.Therefore,this paper brings “Top Management Team Stability,Institutional Investor Heterogeneity and Enterprise R&D Investment” into the same framework,in order to deeply study the influencing factors of enterprise R&D investment,thus providing more comprehensive theoretical support and practical guidance for enterprises to carry out R&D activities.Based on the data of Shanghai and Shenzhen A-share listed companies from 2012 to 2020,this paper combs the existing research and studies the following issues based on the theories of senior echelon theory and technological innovation theory: what is the impact of the stability of senior management team on the research and development investment of enterprises;What is the impact of institutional investor heterogeneity,executives’ overseas background and different industry types on the relationship between the stability of senior management team and corporate R&D investment? The research findings are as follows.(1)The stability of senior management team has an inverted U-shaped relationship with corporate R&D investment.(2)Compared with the pressure-sensitive institutional investors,the pressure-resistant institutional investors will strengthen the inverted U-shaped relationship between the stability of the senior management team and the R&D investment of the enterprise.(3)The overseas background of senior executives and high-tech industries will strengthen the inverted U-shaped relationship between the stability of senior management team and the research and development investment of enterprises.The main innovations of this paper are as follows.Firstly,it empirically tests the relationship between the stability of the senior management team and the research and development investment of enterprises,and expands the research on the economic consequences of the stability of the senior management team,which is helpful to enhance the attention of enterprises to the research and development decisions made by the senior management team.Secondly,the moderating effect of institutional investor heterogeneity and the influence of senior management’s overseas background and high-tech industry on inverted U-shaped relationship are analyzed and tested in depth,so as to better understand the role situation of senior management team stability.