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Performance feedback and firms’ R&D frequency: a comparison between state-owned and private-owned enterprises in China

Author

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  • Xin Chen

    (Xi’an Jiaotong University)

  • En Xie

    (Tongji University)

  • Marc Van Essen

    (University of South Carolina)

Abstract

R&D investments are an important precursor to innovation and ultimately affect a firm’s long-term performance. Prior research has treated R&D expenses as static over time, but over the last few years, scholars have switched to a more dynamic perspective of R&D investment. Using data from Chinese listed manufacturing firms, this study investigates the influence of performance feedback on R&D investment frequency, and further explores how that influence differs in SOEs and POEs. These results provide insight into the dynamics of firms’ R&D investment, which can help decision-makers properly stimulate firms’ R&D investments in China’s emerging economy.

Suggested Citation

  • Xin Chen & En Xie & Marc Van Essen, 2021. "Performance feedback and firms’ R&D frequency: a comparison between state-owned and private-owned enterprises in China," Asian Business & Management, Palgrave Macmillan, vol. 20(2), pages 221-258, April.
    • Handle: RePEc:pal:abaman:v:20:y:2021:i:2:d:10.1057_s41291-019-00092-0
    DOI: 10.1057/s41291-019-00092-0
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    1. Yabin Yu & Qian Xu, 2022. "Influencing Factors of Enterprise R&D Investment: Post-Subsidy, Sustainability, and Heterogeneity," Sustainability, MDPI, vol. 14(10), pages 1-14, May.

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