Research On The Impact Of Directors' Technical Background On R&D Investment In Private Enterprise

With the global economic downturn,major economies have entered the stage of deep economic adjustment.At present,industrial structure reform has become the consensus of each country.In the transformation of industrial structure,private enterprises are the pioneer and backbone force.Ensuring the sustainable development of private enterprises and enhancing the innovation vitality of private enterprises are important ways to help China build innovative competitive advantages.As the core organization of corporate governance,the board of directors plays an important role in the strategic decision of technological innovation.Therefore,this paper focuses on the social background of our country,introduces the social capital of the board of directors into the research on the relationship between the technical director and the technical innovation input,puts the technical director in the group of top governance,and studies the social capital of the group from the three aspects of political connection,financial connection and commercial connection.In order to further explore the above mechanism,a sample of private enterprises in Shanghai and Shenzhen(2016-2020)of China is selected to empirically analyze the relationship between technology directors,social capital of the board of directors and R&D investment based on existing theories and literature.The results show that technology directors have significant effect on R&D investment.In private enterprises,the board of directors’ political connection has a negative moderating effect on the relationship between technology directors and R&D investment,while the board of directors’ financial connection and commercial connection have a positive moderating effect on the relationship between technology directors and R&D investment.Secondly,on the basis of empirical analysis,this paper analyzes the relationship among technical directors,social capital of board of directors and R&D investment in different ownership enterprises.The regression study is consistent with the typical case study.Finally,according to the results of regression analysis and case study,the paper puts forward some suggestions on the reform of board of directors governance structure of private companies.