Title :
R&D Intensity and firm performance: Evidence from Chinese manufacturing firms
Author_Institution :
Financial & Accounting Res. Center, Chongqing Univ. of Technol., Chongqing, China
Abstract :
We examine whether firms´ R&D investment leads to performance. Unlike the previous studies, we employ both individual indicator and comprehensive indicator measures of firm performance for Chinese manufacturing firms. Our results show that the empirical relation between firm´s R&D and performance varies with the phase: prior R&D investments have a positive effect on current performance, and current R&D investment has a negative effect on current performance. We also find that relation between R&D and performance is shown to be much stronger when the performance is measured by comprehensive performance than when the performance is measured by ROE and EPS.
Keywords :
economic indicators; investment; regression analysis; research and development; Chinese manufacturing firm; R and D intensity; R and D investment; comprehensive indicator measure; earnings per share; firm performance; individual indicator measure; research and development; return of equity; Current measurement; Investments; Manufacturing; Marketing and sales; Regression analysis; Research and development; Technological innovation; R&D intensity; comprehensive performance; factor analysis;
Conference_Titel :
Management of Innovation and Technology (ICMIT), 2012 IEEE International Conference on
Conference_Location :
Sanur Bali
Print_ISBN :
978-1-4673-0108-4
DOI :
10.1109/ICMIT.2012.6225777
