Can Social Donation Increase the R&amp;amp;D Investment of Enterprises?—Analysis from the Perspective of Institutional Environment

Mu Xing,Hongmei Zhang

doi:10.4236/jss.2020.812035

Abstract

This paper selects the listed companies of Shanghai and Shenzhen A shares in China from 2013 to 2018 as the research object, empirically analyzes the impact of social donation on R&D investment, and examines how the institutional environment regulates the relationship between them. The empirical study shows that social donation has an incentive effect on R&D investment of enterprises. Both formal and informal institutional environment can encourage R&D investment. The formal institutional environment has no obvious regulating effect on the relationship between social donation and R&D investment, while the informal institutional environment has a significant positive regulatory effect on this relationship. The conclusion of this paper is helpful for us to have a comprehensive understanding of the impact of external environmental factors on R&D investment in the process of enterprise transformation and upgrading.

Highlights

At present, all kinds of “black swan” and “gray rhino” incidents occur frequently, such as the Sino-US trade war and novel coronavirus, which have a significant impact on the survival of enterprises
From the results of the table, we can see that the average (RD) of R&D investment is 18.3245, the minimum is 13.7918, and the maximum is 22.5517
Taking Shanghai and Shenzhen A-share listed companies as the research object, this paper empirically analyzes the impact of social donation on R&D investment, and examines whether the relationship between them is affected by the institutional environment

Summary

Introduction

All kinds of “black swan” and “gray rhino” incidents occur frequently, such as the Sino-US trade war and novel coronavirus, which have a significant impact on the survival of enterprises. During this special period, many enterprises take the initiative to donate to help poor areas. The donation activity of the enterprise is to transfer its inherent resources to the society free of charge, which is helpful for the enterprise to create a moral image and win the recognition of the public It can enhance brand recognition and accumulate more social capital for enterprises. In addition to the formal system, Schout & North (1990) point out that traditional culture, religious beliefs and customs as an informal environment, which has an important impact on the operation and development of enterprises

Results

Discussion

Conclusion