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The Impact of R&D Investment on Enterprise Performance: A Perspective on Executive Motivation
- 1 School of Accounting, Tianjin University of Commerce, Tianjin, China
* Author to whom correspondence should be addressed.
Abstract
R&D investment serves as the primary driver for corporate value enhancement, while executive incentives modulate the efficiency of translating innovation into performance. Utilizing data from China’s A-share listed companies between 2013 and 2022, this study empirically examines the impact of R&D investment on corporate performance and the moderating role of executive incentives. The findings reveal that R&D investment significantly boosts corporate performance. However, compensation incentives exert a negative moderating effect, whereas equity incentives show no significant influence. Notably, R&D investment demonstrates a more pronounced effect on enhancing the performance of state-owned enterprises. To foster innovation, the government should augment fiscal and tax support for corporate R&D, implement differentiated support policies, and invigorate innovation vitality in non-state-owned enterprises. Additionally, corporations should strive to balance long-term and short-term incentive structures to optimize performance outcomes.
Keywords
Research and development investment, Enterprise performance, Executive motivation, Regulating effect
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Cite this article
Zhang,Y. (2025). The Impact of R&D Investment on Enterprise Performance: A Perspective on Executive Motivation. Advances in Economics, Management and Political Sciences,181,1-8.
Data availability
The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.
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Volume title: Proceedings of the 3rd International Conference on Management Research and Economic Development
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