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Impact of R&D innovation and political background on corporate growth: A study based on private listed companies in China

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  • Xiangde Kong
  • Hongan Chen
  • Peng Wu
  • Ran Ma
  • Fei Pan

Abstract

Based on a review of related concepts and theories this study investigates the different impacts of research and development (R&D) innovation and political background on corporate growth in a particular context. Unlike other studies, we integrate these two factors. We empirically analyze 6079 sets of data from 1292 A-share private manufacturing enterprises in Shanghai and Shenzhen from 2012 to 2019. The results show that these factors directly impact corporate growth and have heterogeneous effects at different enterprise growth levels. We find the effect of R&D innovation on corporate growth is more pronounced for young firms. These findings highlight the need for firms to adjust their investments in R&D innovation and political backgrounds at different stages of development to adapt to different markets and political environments.

Suggested Citation

  • Xiangde Kong & Hongan Chen & Peng Wu & Ran Ma & Fei Pan, 2024. "Impact of R&D innovation and political background on corporate growth: A study based on private listed companies in China," PLOS ONE, Public Library of Science, vol. 19(5), pages 1-25, May.
    • Handle: RePEc:plo:pone00:0297329
    DOI: 10.1371/journal.pone.0297329
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