OWNERSHIP CONCENTRATION, INNOVATION INVESTMENT AND FIRM PERFORMANCE——THE EVIDENCE FROM CHINESE MANUFACTURING LISTED COMPANIES
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Abstract
This paper explored the relationship between ownership concentration, innovation investment, and firm performance. Panel data between 2012 and 2017 of manufacturing businesses listed on the A-share market were sampled. Stata 14.0 statistical analysis software was employed for empirical validation. The results suggested that high ownership concentration boosts innovation investment, which, in turn, positively impacts firm performance, while innovation investment plays a mediating role between ownership concentration and firm performance. By building the study framework of ownership governance, innovation investment, and firm performance, this paper proposes and validates the mediating role of innovation investment expanding the research scope of ownership governance, corporate governance, innovation theories, and agency theories.
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Chinese Journal of Social Science and Management Editorial Division
The Office of Research and Development, Panyapiwat Institute of Management
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