A Studyon The Impact Of Corporate Financialization On R&D Investment

In recent years,China’s economy is in a critical stage of structural adjustment as well as transformation and upgrading,to prevent the "real to virtual",and to strengthen the real economy,is the foundation of China’s economic development towards high quality.However,the current business situation of many real enterprises in China is not optimistic,while the corresponding financial industry is thriving.Therefore,the phenomenon of financialization of real enterprises is increasingly prominent.Financialization is a double-edged sword,and it is important to explore the relationship between financial investment and technological innovation of pharmaceutical enterprises,and the impact of large amount of financial assets allocated by real enterprises on their innovation efficiency,so as to help improve the innovation ability of pharmaceutical enterprises from government guidance and enterprise practice,help enterprises achieve sustainable development,and alleviate the problem of "de-realization to deficiency" of the economy."This paper takes Yunnan Baiyao as an example.This paper uses Yunnan Baiyao as an example to explore the impact of corporate financialization on innovation R&D through a case study approach.First,this paper describes the financialization status and motivation of Yunnan Baiyao from the perspective of asset financialization and revenue financialization,and analyzes its R&D innovation status in terms of R&D input and R&D output efficiency.Second,this paper explores the mechanisms of financialization of Yunnan Baiyao enterprises on R&D investment intensity through three paths: investment rate in productive assets,risk-taking level,and executive compensation.The increased financialization of Yunnan Baiyao will affect the intensity of R&D investment by increasing the financial risk and reducing the risk-taking level of the company;the increased financialization of Yunnan Baiyao will lead to the neglect of R&D activities by increasing the executive compensation.Finally,in order to explore the relationship between the two,this paper uses the gray correlation method to investigate the financialization process and R&D innovation intensity of Yunnan Baiyao enterprises,and adds path factors and other factors that may affect R&D investment intensity to analyze the level of influence of financialization on R&D investment intensity of Yunnan Baiyao enterprises dynamically.Finally,in response to the negative impact of Yunnan Baiyao’s financialisation on R&D investment,this paper puts forward targeted recommendations aimed at giving full play to the positive role of financial assets,avoiding the negative impact of financial assets,providing reference and benchmarking for other enterprises to avoid and cope with excessive financing,helping enterprises to avoid the risk of financial assets,improving their R&D innovation and increasing the long-term development capability of their core business.