Abstract: Behavioral theory and self-determination theory held different views on whether rewards had influence on employee innovation or not and on the process that rewards worked as well. They also had different empirical findings. Starting with behavioral theory, this study explored the effects of reward for innovation on the willingness to innovate and innovative behavior of R&D employees in Chinese context, as well as the moderating effect of materialism. Based on the paired data of 312 R&D employees and their supervisors, this study carried on an empirical study and tested the mediated moderation model. The results showed that reward for innovation had a positive effect on the innovative behavior of R&D employees. The willingness to innovate partly mediated the relationship. Individual’s materialism moderated the relationship of reward for innovation and the willingness to innovate. To employees with high materialism, the reward for innovation had a stronger effect on the willingness to innovate. Especially, the moderating role of materialism on the reward for innovation and innovative behavior was mediated by willingness to innovate.

Key words: R&D employees, reward for innovation, willingness to innovate, innovative behavior, materialism