Abstract
Building on resource- and knowledge-based theories, this study examines the effect of returnee employees and independent innovation on research and development (R&D) investment and innovation performance in Chinese high-tech enterprises. For this purpose, we use the data from 314 high-tech enterprises in China. Based on the findings, employees moderate the relationship between R&D investment and innovation performance, indicating that the foreign advanced technical knowledge brought by returnee employees can facilitate R&D activities and improve innovation performance. In addition, the moderating effect of returnee employees on R&D investment and innovation performance is affected by independent innovation, while such innovation attenuates the impact of returnees on innovation activities. Since limited attention has been paid on the effect of returnees on such activities, we enrich the existing literature by examining their moderating effect. Moreover, the combined effect of returnee employees and independent innovation contributes to a better understanding of how to effectively apply such innovation in an emerging economy.
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