Research On The Influence Of Government Subsidies And R&D Input On Firm Performance

Starting from the current development form of Chinese digital economy and the national support policy for the development of digital economy industry,this paper selects the listed companies of digital economy industry during 2017-2021 as the research object to study the impact of government subsidies and R&D input on enterprise performance.It is hoped that this research will provide theoretical and practical significance for the formulation and implementation of government subsidy policy,the setting and implementation of enterprise R&D investment plan,and the sound development of digital economy industry.First of all,this paper studies the relationship between government subsidies and R&D input on enterprise performance from the perspective of short-term financial performance,long-term market performance and innovation performance.It holds that both government subsidies and R&D input can positively promote enterprise performance,but have different degrees of influence on different enterprise performance indicators.At the same time,this paper finds that government subsidies can promote the improvement of enterprise R&D input,and holds that government subsidies can affect enterprise performance by affecting enterprise R&D input,that is,R&D input plays an intermediary role in the influence of government subsidies on enterprise performance.Secondly,this paper makes a group comparative analysis of enterprises with different property rights,and finds that non-state-owned enterprises use government subsidies more efficiently than state-owned enterprises,and the R&D input of non-state-owned enterprises has a more obvious positive impact on enterprise performance.Finally,this paper selects the time when "digital economy" is first proposed as the policy boundary point to analyze the policy effect.The study reveals that although the government subsidies did not have a noticeable effect on enterprise R&D input after the policy’s implementation,the correlation between R&D input and enterprise performance has significantly improved.Based on the research conclusions,this paper puts forward corresponding policy recommendations,suggesting that the government should accurately match the needs of enterprises,enterprises should make reasonable use of government subsidies,investors should correctly interpret the financial data of enterprises,and all parties in the market should actively take actions to jointly promote the sound and sustainable development of China’s digital economy industry.