Top managers’ foreign experience and corporate R& D investment: based linear regression analysis

Abstract

Based on upper echelons theory and resource based theory, this paper uses the Chinese A-share listed companies in stock markets of Shanghai and Shenzhen from 2012 to 2018 as the research samples, and uses linear regression analysis to investigate the relationship between top managers' foreign experience and corporate R& D investment. Furthermore, we test whether this relationship is different among groups divided by ownership. We find that Top managers' foreign experience is positively associated with corporate R& D investment. Compared with state-owned enterprises, the foreign experience of top managers in private enterprises has a more significant impact on corporate R& D investment. This study extends the existing research on the economic consequences of top managers' foreign experience, broadens the research results on the influencing factors of R& D investment and helps to inspire private companies to promote innovation through introducing overseas high-level talents.