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The dilemma of asset-light firms: How does dependence on intellectual property affect financing efficiency?

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  • Li, Fan

Abstract

Drawing on data from non-financial listed companies in China's A-share market from 2014 to 2023, this paper examines the impact of intellectual property (IP) dependence on financing efficiency. The analysis introduces corporate governance (CG) as a moderating variable, further investigating its moderating effect and the heterogeneity of this effect across regions with varying levels of financial development. The results indicate that: (1) Greater dependence on intellectual property is associated with lower financing efficiency; (2) In regions with lower levels of financial development, the negative impact of IP dependence on financing efficiency is more pronounced; (3) Higher levels of CG mitigate the adverse effect of IP dependence on financing efficiency; (4) The moderating effect of CG on the relationship between IP dependence and financing efficiency exhibits significant heterogeneity across regions with different levels of financial development. This study enriches the theoretical explanation of financing efficiency in the context of asset-light enterprises and offers policy and practical implications for improving the financing performance of IP-intensive firms.

Suggested Citation

  • Li, Fan, 2026. "The dilemma of asset-light firms: How does dependence on intellectual property affect financing efficiency?," Finance Research Letters, Elsevier, vol. 88(C).
    • Handle: RePEc:eee:finlet:v:88:y:2026:i:c:s1544612325023074
    DOI: 10.1016/j.frl.2025.109058
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    References listed on IDEAS

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