Abstract
Can government subsidies improve enterprises’ technological innovation performance? Based on the A-share high-tech listed enterprises in Shanghai and Shenzhen Stock Exchange from 2015 to 2019, this paper empirically tests the micro policy effect of government subsidies on innovation performance of enterprises under the background of economic transformation, and the moderating effect of regional corruption, market competition and enterprise ownership concentration on this effect. The results show that the high quality signal transmitted by government subsidies is helpful for innovative enterprises to broaden the source of innovation resources and encourage enterprises to actively carry out innovative activities. Moderate level of regional corruption will promote the government subsidy effect, too high or too low level of corruption is not conducive to enterprise innovation; The higher the degree of market competition, the weaker the promoting effect of government subsidies on enterprise innovation; Corporate ownership concentration has a U-shaped moderating effect on government subsidies and innovation performance. Therefore, to improve the independent innovation ability of enterprises, on the one hand, we should continue to strengthen the government innovation subsidy and improve the subsidy system; on the other hand, we should strictly crackdown on corruption activities and supervise the establishment and improvement of the internal control system of enterprises, so as to give full play to the effect of government subsidies.
Highlights
In recent years, under the background of the new normal, China has formulated a series of policies to support enterprise innovation activities in order to promote the transformation and upgrading of the economic development mode and improve the ability of independent innovation
The academic community has not yet reached a unified view on whether there is a significant relationship between government subsidies and enterprise technological innovation performance and how close this relationship is, but the current mainstream view is that government subsidies can promote enterprise technological innovation performance
Some scholars believe that government subsidies can transmit high-quality signals [3], increase enterprise income [4, 5], compensate for the loss caused by the failure of enterprise innovation activities, and improve enterprise innovation performance [6, 7]
Summary
Under the background of the new normal, China has formulated a series of policies to support enterprise innovation activities in order to promote the transformation and upgrading of the economic development mode and improve the ability of independent innovation. In view of this, based on the technology innovation theory and the signal theory, this paper empirically tests the impact of government subsidies on the innovation performance of micro firms, and the moderating effect of regional corruption, market competition and ownership concentration on the relationship by taking A-share high-tech listed companies on Shanghai and Shenzhen stock exchanges from 2015 to 2019 as the research samples.
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