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The heterogeneity of innovation, government R&D support and enterprise innovation performance

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  • Pan, Jiadong
  • Lin, Gaobang
  • Xiao, Wen

Abstract

The heterogeneity of enterprise innovation is private information which government can not capture, leading that traditional innovation support can not achieve its goals. The paper introduces heterogeneity into the traditional signal transmission model to study how heterogeneity of innovation affects the government R&D support. The conclusion shows that the innovation scale effects caused by government investment support will be greatly reduced when considering the innovative heterogeneity. Especially when the innovation efficiency is significantly different, the original scale effect will be significantly reduced. Based on R&D resources inventory data, the paper demonstrates that the role of government support will be weakened in the case of heterogeneity.

Suggested Citation

  • Pan, Jiadong & Lin, Gaobang & Xiao, Wen, 2022. "The heterogeneity of innovation, government R&D support and enterprise innovation performance," Research in International Business and Finance, Elsevier, vol. 62(C).
    • Handle: RePEc:eee:riibaf:v:62:y:2022:i:c:s0275531922001295
    DOI: 10.1016/j.ribaf.2022.101741
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    2. Liu, Guixian & Sun, Wei & Kong, Zhaoyang & Dong, Xiucheng & Jiang, Qingzhe, 2023. "Did the pollution charge system promote or inhibit innovation? Evidence from Chinese micro-enterprises," Technological Forecasting and Social Change, Elsevier, vol. 187(C).
    3. Li, Quan & Chen, Huimin & Chen, Yang & Xiao, Tong & Wang, Li, 2023. "Digital economy, financing constraints, and corporate innovation," Pacific-Basin Finance Journal, Elsevier, vol. 80(C).
    4. Yuanyuan Kou & Huiying Chen & Kai Liu & Huajie Xu, 2023. "Multinational Corporations and Technological Innovation Development of China’s High-Tech Industries: A Heterogeneity-Based Threshold Effect Analysis," Sustainability, MDPI, vol. 15(9), pages 1-19, April.
    5. Yan Han & Cheng Pan & Fengjun Jin, 2023. "Does the Improvement of the Business Environment Improve the Innovation Efficiency of Enterprises? Evidence from the Listed Companies in China," Sustainability, MDPI, vol. 15(14), pages 1-25, July.
    6. Tong Tong & Norzalina Binti Zainudin & Jingwen Yan & Azmawani Abd Rahman, 2023. "The Impact of Industry Clusters on the Performance of High Technology Small and Middle Size Enterprises," Sustainability, MDPI, vol. 15(12), pages 1-16, June.

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