Archive

20 April 2020, Volume 41 Issue 4 Previous Issue    Next Issue

---

For Selected:

Download Citations EndNote Ris BibTeX

Toggle Thumbnails

Select

Reverse technology spillover effect of China′s outward FDI: A perspective based on dual margin#br# Chen Peiru, Xian Guoming 2020, 41(4): 1-10.  Abstract ( 306 )    Traditional foreign direct investment theory holds that only enterprises with high productivity and competitiveness will invest overseas. However, in recent years, the outward foreign direct investment of emerging economies has increased substantially, and the proportion of investment flows in global flows has increased year by year. From 2003 to 2015, China′s outward FDI reached an average annual growth rate of 38.8%, far exceeding the global average. At the same time, China′s innovation capability have also been rapidly improved. The National Innovation Index Report showed that China jumped from 38th place in 2000 to 18th place in 2015. The Global Innovation Index′s evaluation of China′s innovation capability was 43rd in the world in 2010, and entered the top 25 for the first time in 2016. Whether China′s outward FDI has technology-seeking motivation and whether China′s technological innovation capability have benefited from cross-border investment has aroused widespread concern in academia.Although many scholars have carried out a lot of tests on the existence of reverse technology spillover effect of outward FDI, no unified conclusion has been formed so far. Two notions of "significant technology spillover" and "no spillover effect" coexist. For the differences in conclusions, scholars have analyzed from the perspective of sample selection, technology measurement methods, regional characteristics, industry categories and so on. Surprisingly, from the literature we hold, there is currently no scholars to explain it from the perspective of dual margin of investment. In fact, the divergent conclusions may also be due to the neglect of the structural characteristics of outward FDI. Thus, we attempt to decompose the new outward FDI into two investment margins, defining the investment of newly increased overseas enterprises as the extensive margin and the investment of existing ones as the intensive margin, and then explore and compare the reverse technology spillover effects of two different investment margins.Based on the international technology spillover theory framework of Bodman and Le(2013), we extend the R&D spillover calculation model of LP(2001), and decompose the total technology spillover effect obtained by outward FDI(ODI) into previous ODI spillover effect and new ODI spillover effect. The latter is further decomposed into the intensive margin′s and extensive margin′s. Additionally, we identify and elaborate the impact mechanisms of outward FDI with different stages and different ways on domestic technology, and use data from 30 provinces in China from 2007 to 2014 for empirical tests.The results show that, firstly, China′s outward FDI has a positive reverse technology spillover effect on the whole. Secondly, the foreign R&D capital obtained by the previous ODI and the new ODI can both enhance technological innovation ability of our country, but the former is stronger. The possible reasons are as follows: on the one hand, it takes time for overseas subsidiaries or branches to develop new technology independently or cooperatively with the host countries; on the other hand, parent companies will also need time to absorb and digest the newly acquired technology that overseas subsidiaries or branches return back. Thirdly, only the extensive margin from the new ODI can significantly help promote China′s technology innovation while the intensive margin cannot. The possible reasons are as follows: the intensive margin makes excess profits by expanding production scale and invest some in the domestic R&D, but it also crowds out domestic investment. These two impacts are opposite on domestic technology innovation. In addition, although the extensive margin will also squeeze domestic investment, it can quickly obtain the advanced technology by cross-border mergers and acquisitions from the acquired enterprises. And the strengthening awareness of competition will promote multinational enterprises to increase R&D efforts as well.The above conclusions have important policy implications. First of all, our government should encourage competent enterprises to "go global". It is beneficial for technology-seeking multinational enterprises to establish R&D institutions in developed countries with better R&D environment. They can make full use of the human capital and innovation environment there, and then return as many R&D outcomes as possible from overseas subsidiaries or branches to the parent companies, which will finally enhance the technological innovation capability of our country. For multinational enterprises, they should optimize investment methods, allocate funds rationally, and establish more overseas subsidiaries or branches. That allows them to make links with more host countries and thus have more opportunities to acquire advanced technology from different countries which is significant to technological progress promoting. At the same time, decentralized investment can also reduce the investment risk.There are three main contributions in this paper. (1) Theoretical mechanism. Previous studies on the relationship between outward FDI and domestic technology are mainly based on the aggregate analysis, that is, focusing only on the overall reverse technology spillover of outward FDI and ignoring the impact of its structural characteristics. This paper makes up for this disadvantage by identifying and systematically elaborating the impact mechanisms of previous ODI and new ODI including the intensive and extensive margins on domestic technology, which will help deepen our understanding of the inherent mechanism of reverse technology spillover of outward FDI. (2) Extension of LP model. We insist that the technology protection of host countries will hinder the technology acquisition of investor countries, so that we introduce the factor of technology protection into the traditional LP model. Besides, considering the structural characteristics of outward FDI, the LP model is further extended to measure the reverse technology spillover effects of ODI at different stages and in different ways. Last but not least, we also provide the selection criteria for the destination countries of technology-acquired ODI in LP model. (3) Empirical findings. We build an econometric model to test the impact of outward FDI on domestic technology, and provide empirical evidence from China. We use generalized method of moments (GMM) to correct the endogenous problem in the model. It is found that the extensive investment margin has a significant promotion effect on domestic technology, but the intensive margin has not. The introduction of the dual margin perspective allows us to explain the coexistence of the two views above under a unified analytical framework, which is a new discovery. Related Articles | Metrics

Select

Integrity culture and corporate innovation Tang Wei, Cai Wenjing, Cui Yeguang 2020, 41(4): 11-22.  Abstract ( 298 )   Corporate culture has great influence on corporate performance. On the one hand, corporate culture can shape the driving force of the company. According to the Enterprise Resource Theory, the heterogeneous resources owned or controlled by enterprises, which are valuable, scarce and difficult to be imitated and replaced, determine the competitive advantage and sustainable development of enterprises. Corporate culture is heterogeneous resource which is unique and hard to be imitated and copied within the enterprise, which is the core "driving force" of enterprise development; on the other hand, corporate culture shapes corporate cohesion. Corporate culture is the "soul" in the development of enterprises. As a soft system constraint, corporate culture can improve corporate performance by directly influencing the values and behavior of organizational employees and reduce the coordination cost of management strategy. Enterprise performance is an output of quality and efficiency, which has a multi-dimensional structure, covering short-term profitability, market value, innovation ability and international market performance. The innovative behavior of enterprises is endogenous from the institutional environment. Look through the previous literatures, we can find that most of experts pay more attention to the impact of formal system（such as legal system, marketization process, government regulation, etc.), while the impact of informal system, such as culture and religion, on enterprise innovation is less studied. As for China, which is in the transition period, the formal system is becoming more and more perfect but is still lacking. It may has more practical significances to study the innovation of enterprises from the perspective of informal system. "Integrity" culture as the core of corporate culture is the foundation of enterprise management, which helps to attract investment, reduce transaction costs, improve operation efficiency, and thereby improve enterprise performance. However, throughout the existing research results，we can find that there is no corresponding empirical evidence to support the view that "Integrity"-oriented corporate culture can promote the improvement of corporate innovation capabilities.In view of this, this paper attempts to examine the effect of "integrity" culture on corporate innovation, and then provides empirical evidence from another dimension for the influence of corporate culture on enterprise performance. Firstly, the "integrity" culture has positive externalities. As a kind of signal transmission, "integrity" culture can reduce information asymmetry and moral hazard in market transactions, and effectively improve the business credit level of enterprises. At the same time, "honest" enterprises have higher credit ratings, are easier to obtain bank loans, and are more favored by capital market investors, all of which help enterprises obtain financing facilities and alleviate the shortage of funds in the research and development process. Secondly, the culture of "integrity" affects corporate behavior. On the one hand, "integrity" culture has the function of behavior guidance and restraint. "Integrity", as an internalized code of conduct for enterprises, opposes the selfish opportunistic behavior, which will reduce the self-interested motivation of enterprise managers and help alleviate agency problems in innovation activities. On the other hand, the value culture with "integrity" as the core can enhance enterprises′ sense of social responsibility, drive enterprises to be willing to invest more in technology, research and development, and enhance their awareness of independent innovation. Finally, the psychological view holds that positive emotional experiences promote individual behavior. In the positive emotional atmosphere shaped by the "integrity" culture, enterprise R&D personnel are more active in their innovative thinking, and at the same time, they can better contribute to the implementation of innovation and promote enterprise innovation.This paper holds that enterprises that emphasize "integrity" culture have stronger innovation ability. Furthermore, from the perspective of institutional background, under the guidance and edification of Confucianism for thousands of years in China, the informal system has been highly praised, especially still in the emerging stage of imperfect formulation and implementation of the formal system in China, where the status of the informal system is more important. Therefore, when the enterprise is in the adverse situation, that is, when the formal system is in a poor environment, the role of the informal system such as culture will be more prominent, or there is an alternative role for the formal system. At the micro level, the difference of the nature of the enterprise and the governance structure may lead to the heterogeneity of the influence of the "integrity" culture on the innovation of the enterprise. For this reason，this paper effectively identifies the integrity-oriented corporate culture data through the text analysis approach and empirically analyzes the relationship between integrity culture and corporate innovation using a sample of A-share listed firms at Shanghai and Shenzhen Stock Exchanges from 2007 to 2015. And we further examine the difference of this influence from the perspective of the micro-level corporate characteristics and macro-level institutional environment. The empirical results show that firms that treat "integrity" as their primary culture have more patent applications and stronger innovation ability; further study finds that the “drive” effects of "integrity" culture on corporate innovation are stronger for state-owned enterprises, firms whose board chairman also serves as a CEO, and firms that are located in poor-institution areas.The research contributions of this paper are as follows: First, by examining the influence of "integrity" culture on the innovation ability of enterprises, this paper enriches the literature of the antecedent fields of R&D and innovation, and expands the understanding of the economic consequences of corporate culture; Second，by examining the regulatory role of macro environmental factors and micro enterprise characteristics in enterprise management, the paper can make people have a deeper understanding of the effect of corporate culture on corporate performance; Third, under the current predicament of the lack of endogenous power development of China′s real economy, this paper explains the promotion path of Chinese enterprises′ innovation ability from the perspective of universal culture, which has important practical value. Related Articles | Metrics

Select

The optimal R&D strategies for local manufactures under the background of competitive disadvantage and buyer power Li Shijie, Li Wei 2020, 41(4): 23-31.  Abstract ( 210 )   Innovation is an important way for companies to gain and maintain core competitive advantages. However, at present, the overall R&D level of China′s manufacturing industry is relatively low, and the independent R&D capability is relatively weak, which restricts the high-quality development of the manufacturing industry. In this context, enhancing the R&D level of local manufacturers plays an important role in improving the international competitiveness of China′s manufacturing industry and promoting the upgrading of industrial structure. There are many factors influencing the innovation ability of local manufacturers. Existing literatures mostly focus on the impact of foreign manufacturers on China′s manufacturing innovation after the reform and opening up. They believe that foreign manufacturers have brought advanced technology. The industry has produced a technology spillover effect that has boosted the level of manufacturing innovation. However, foreign manufacturers tend to have relatively mature technology and business models compared to local manufacturers and their products are higher quality, which makes local manufacturers in a competitive disadvantage. Competitive disadvantages may have a negative impact on the innovation of Chinese manufacturers. In addition, in the field of circulation, with the merger and development of large retail organizations such as Carrefour, Wal-Mart, and Tesco, the concentration of the retail market continues to increase. While these large retailers continue to meet the changing needs of consumers, they have mastered a large number of consumer resources, formed a huge brand and channel advantages, enhanced their position in the supply chain, and enhanced the buyer power relative to local manufacturers. Buyer power may also be an important factor in the decline in the level of R&D by local manufacturers. In summary, Chinese local manufacturers stay in a comparative competitive disadvantage position when facing the multinational companies with mature technology and business models; while large retail organizations with brand and channel advantages, enhance their comparative advantages with Chinese local manufacturers. The horizontal competitive disadvantage and vertical buyer power together worsen the market environment of Chinese local manufacturers. This paper studies local manufacturers′ innovation from the perspective of industrial organization theory, examines the impact of the competitive relationship between foreign manufacturers and local manufacturers on the level of innovation of local manufacturers, and explores strategies to promote local manufacturers to improve their innovation level. Specifically, this paper constructs a vertical relationship model composed of a foreign manufacturer and a local manufacturer in the upstream and a retailer in the downstream, and studies a fur-stage game model. In the first stage of the game, foreign manufacturer and local manufacturer decide their optical R&D input; in the second stage of the game, the foreign manufacturer negotiates with downstream retailer to determine trade contract; in the third stage of the game, the downstream retailer set up trade contract for the local manufacturer, and the local manufacturer either accepts it or leave it; in the fourth stage of the game, the foreign manufacturer competes with local manufacturer for retail price competition. By solving the game model, this paper discusses the optimal R&D decision of local manufacturer when foreign manufacturer has horizontal competition with local manufacturer and large buyer has buyer power relative to local manufacturer. The study shows that the horizontal competitive disadvantage and vertical buyer power are important reason for the weak innovation of local enterprises. With the increases of the horizontal competition disadvantage of the local manufacturer, the level of R&D of the local manufacturer declines with the increase of buyer power of the downstream retailer, the R&D level of the local manufacturer also declines. Based on this conclusion, the paper proposes a coping strategy for local manufacturer which is vertical cooperation between the local manufacturer and the large retailer. By constructing a cooperative R&D decision-making model under three cost-sharing forms, the optimal cooperative R&D model choice for local manufacturers′ cooperative R&D is studied. The study found that when the buyer′s power is small, the optimal cooperative R&D strategy is to determine the R&D cost sharing ratio according to the profit increment; when the buyer′s power is large, the optimal cooperative R&D strategy is to determine the R&D cost sharing ratio according to the local manufacturer′s own profit maximization decision. Related Articles | Metrics

Select

New energy vehicle policy effect: Does scale or innovation serve as an intermediary? Gao Wei, Hu Xiaoyue 2020, 41(4): 32-44.  Abstract ( 274 )   China′s new energy vehicle industry subsidy policy aimed at encouraging enterprises to develop global competitiveness through R&D and innovation, but it has merely accelerated the rapid expansion of industrial scale in the short term while the enthusiasm for R&D investment is seriously insufficient. The new energy vehicle industry is facing risks such as technological disruptive innovation expectations and market demand uncertainty. It is difficult to ensure the normal development of the industry with the "invisible hand" of the market alone. China′s new energy vehicle subsidy policy, while stimulating the rapid increase of the industrial scale, has also caused enterprises to invest in low-tech projects, and the industry faces a structural imbalance. Under the background of the verification of new energy vehicles′ fraudulent behavior, it is very important to evaluate the effects of subsidy policies from the perspective of policy transmission and provide theoretical basis for policy optimization. The effects of subsidy policies have been controversial. One view is that the positive incentive effect of the subsidy policy is obvious, which promotes investment. Frequently subsidized companies will increase R&D investment, thereby promoting corporate R&D behavior, and subsidized companies often have stronger innovation output. Another view is that although industrial policies such as subsidies have a stimulating effect on industrial development, this effect is achieved by expanding supply and stimulating demand, rather than R&D and innovation; Moderate subsidies will stimulate manufacturers′ R&D investment, but it will have a crowding effect when it exceeds a certain amount. At the same time, due to the existence of many transaction costs, the subsidy policy is difficult to effectively promote the technological upgrading of the new energy automobile industry, and to a certain extent, it even has a restraining effect. These studies focus on the effects of subsidies and provide enlightening empirical evidence for the selection and formulation of policy tools. However, few studies involve the penetration process and focus of policy tools, so it is difficult to determine the drawbacks of the current new energy vehicle industry policy from the mechanism. Recent studies have recognized that the effect of industrial policy is not only related to the type of policy tools, but also to the mechanism of the influence of policy tools on the behavior of innovation subjects. This study uses empirical research to compare whether scale or R&D innovation plays a significant intermediary role in the transfer of subsidy policies to corporate performance, and in-depth reveals the mechanism of subsidies for China′s new energy automobile industry at the enterprise level. Methodologically, this article uses the content analysis method and Bootstrap mediation effect model to combine text analysis with empirical evidence. First of all, an in-depth text analysis of the content of the policy was conducted to obtain the direction and mode of action of the policy. Furthermore, this study compares the mediation paths of enterprise′s scale and patent behavior in the relationship between subsidy policy and enterprise performance. The design of the text part introduces Rothwell and Zegveld′s three-level division of policy tools (demand side, environment side, and supply side), and refines it based on industry characteristics. At the same time, combining the key events and industrial characteristics in the development of the new energy vehicle industry, the four major links of the innovation value chain are introduced, namely research and development, production, sales and use. The logic structure of the analysis revolves around the transmission of policy tools on the new energy vehicle innovation value chain, and finally forms a two-dimensional policy analysis framework for the new energy vehicle industry. The empirical study of the intermediary relationship uses the Bootstrap method proposed by Preacher and Hayes. Bootstrap does not require a distribution hypothesis, which prevents the coefficient product test from violating the distribution hypothesis. And it does not rely on standard error, thus avoiding inconsistencies in the results of different standard error formulas. The simulation study found that Bootstrapping has higher statistical power than other methods, so it is currently the ideal test for mediation effects.The text analysis results show: There are policy disadvantages in the investment of science and technology in the policy tools and the R&D link in the innovation value chain. From a policy point of view, the content of the policy clause itself affects industrial scale more than product development. Based on this, we draw the conclusion that the policy effect is biased in the transmission process. In order to further verify this, we use the mediation model for further analysis. The empirical results show that public subsidies have significantly promoted the improvement of the enterprises′ financial performance, scale and patent output. Moreover, the size of the enterprise and the patenting behavior play significant mediating roles in the policy effect on the enterprise′s performance, and the enterprise scale exerts stronger effect than the patenting behavior. Therefore, new subsidy policies such as dual-credit policy should take into account factors such as institution, subsidy tools and industrial characteristics in a comprehensive way to avoid policy deviation in the "government-enterprise interface". The innovation of this article is reflected in: (1) theoretically, using the expansion of enterprises and R&D innovation behavior as an intermediary, and analyzing the phenomenon and mechanism of policy action point deviation through text content analysis, further deepening the transmission mechanism of policy effectiveness. (2) In terms of methods, the policy text analysis and empirical analysis are combined, and the content transmission method and Bootstrap mediation effect model are used to analyze the policy transmission path, and the research logic is more complete. (3) In terms of practice, this paper proposes that industrial policies need to be implemented in the area of corporate R&D promotion. Related Articles | Metrics

Select

Corporate innovation incentive: An explanation made with the peer effect#br# Peng Zhen, Lian Yujun, Dai Yiyi 2020, 41(4): 45-53.  Abstract ( 575 )   There is an interesting relationship between corporate R&D investment intensity and innovation efficiency of A-share listed companies in recent years. The R&D investment intensity is increasing year by year, but the innovation efficiency is not improving or even getting worse, which makes people wonder what is driving enterprises to continuously increase innovation investment? According to the existing research conclusions, product demand, innovation cost and the innovation behavior of other enterprises are the three factors that directly influence the decision-making of enterprise innovation. Obviously, due to the mismatch between innovation input and output, the driving force of innovation cannot be fully explained from the perspective of product demand and innovation cost. To some extent, this may have something to do with the behavior of other companies. Different from the theories of industrial cluster and social network, this paper explores the influence of other enterprises′ innovation behaviors on enterprises′ innovation behaviors from the perspective of peer effect.Based on the data of A-share listed companies which belongs to the industrial enterprises from the year 2006 to 2014 in China, this paper used the classical linear in means model and empirically tested the influence of peer effect on corporate R&D investment behavior. The results show that, firstly, the peer effect is an important external force to stimulate enterprises′ R&D investment. Enterprises will pay close attention to the innovation behavior of peer firms and take them as the reference point and driving force for themselves′ strategic decision of innovation. When the peer firms spend more on R&D in the previous year, the enterprises will increase themselves′ R&D investment in the coming year. Just because of the pull and catch-up effect between peer firms, the corporate R&D investment intensity is still increasing steadily despite the lack of profitability. Secondly, the more intense of the industry competition, the more susceptible that the enterprises′ innovation investment to the peer effect. Enterprises will pay more attention to the innovation strategies of competitors in highly competitive market. Fierce competition will prompt enterprises to respond more actively to the innovative behaviors of competitors. The more intense of the market competition, the higher the possibility of enterprise innovation strategy free riding. Thirdly, compared with enterprises with higher market position, the R&D investment of enterprises with lower market position are more susceptible to the peer effect. They are true followers. The innovation behaviors of the peer firms are valuable signals, which help the followers reduce the uncertainty of innovation investment. What′s more, imitating their peer firms especially the industry leaders are effective way for followers to catch up and surpass their competitors.In order to test the robustness of the above results, a series of supplementary tests were carried out. First, the linear mean model may have reflection problem. Specially, peer firms′ behavior can influence the firm′s decision, meanwhile, the firm′s behavior can also affect its peer firms′ decision. This simultaneous movements like a man and his reflection in a mirror. It′s hard to tell whether this mirror image cause the person′s movements or just reflect them. This simultaneity implies that the linear in means model may have endogenous problem. To solve this problem of endogeneity bias, this paper adopted the instrumental variable approach and choose peer firms′ idiosyncratic equity return shocks as an instrument for peer firms′ R&D investment intensity. The peer firms′ idiosyncratic equity return shocks is related to the peer firms′ R&D intensity but have nothing to do with the firm i′s R&D intensity, which means this instrumental variable has good representativeness. After testing, we know that this instrumental variable is not a weak instrumental variable. The empirical results after considering endogeneity are consistent with those before. Second, in addition to mutual imitation, the consistency of corporate innovation behavior may also be influenced by common factors. For example, industrial policies may make enterprises produce consistent expectations, which leads to the convergence of enterprises′ innovation behaviors. Although the correlation factors such as industry and year are controlled in the classical linear in means model, they may not be enough to explain all the common factors and then lead to biased conclusions. In order to improve the robustness of the research conclusions, samples which are greatly affected by industrial policies during the sample period will be removed and the regression test will be conducted again. As the national industrial policy is mainly inclined to strategic emerging industries during the sample period, we believe that strategic emerging industries are greatly affected by national industrial policy factors and 367 enterprises in strategic emerging industries are excluded from our sample. The results based on the remaining samples are consistent with the above conclusions. Third, consistent with most existing literatures, we used the new model which exclude contextual effect factors and re-examined the samples. The findings are not change. To sum up, after endogeneity test and a series of robustness tests, the above conclusions are still hold.This study contributes to better understanding of the external driving force of corporate innovation investment and provides some helpful ideas for stimulating corporate innovation. First, in order to stimulate enterprise innovation, the government should focus on fostering the industry competition atmosphere. Industry competition can promote innovation competition among the peer firms, and then improve the innovation level of the whole society. Second, the enterprises with lower market position are more susceptible to the peer effect means that most listed companies in China are still used to adopting the passive innovation strategy. Therefore, in order to lead more enterprises to investment in innovation with high efficiency and high quality, the government can set up some innovation models in various industries and widely publicize and greatly reward these enterprises. Through the demonstration and driving role of these benchmark enterprises, the innovation level of the whole society will be improved gradually. Last but not the least, in addition to seeing the positive side of peer effect, the government should be alert to the problem of inefficient investment under the influence of the peer effect at same time. Related Articles | Metrics

Select

Implementation efficiency of the policies for earnings management and pretax additional deduction Chen Haisheng, Lian Minchao 2020, 41(4): 54-63.  Abstract ( 258 )   Through studying the literature on pretax additional deduction policy in recent years, investigating enterprises and analyzing the information and data from the investigation, this paper found out that companies may use pretax additional deduction policy to manage earnings. According to the literature, investigation and analysis, we proposed two hypothesizes. The first one is that companies would increase the R&D expense after they enjoy the preferential policy and the second one is what we have obtained from our investigation. We found some evidence and get some valuable conclusion through analysis. Firstly, the complexity of R&D makes the possibility for earnings management. During the implement of pretax additional deduction policy, the companies must make their bookkeeping methods standard and employee a person to do this. Due to the complexity of R&D activities, it is difficult to separate the expense into different subjects in practice. Though investigation, we found that the R&D activities would happen with other types of activities in many aspects. For example, some of the salary would belong to the research personnel and we should record this part as R&D expense, but it is difficult for us to know how much should be recorded as R&D expense because the research personnel can also do some other things, such as management, which are not R&D activities. Another example is that the site, where research and development department work, may be shared with other departments, which make it difficult to divide the rent. Secondly, pretax additional deduction policy allows some subjective choices during accounting, which provides the possibility for earnings management. For example, R&D can be separated into two parts: research and development, and the research expense should be expensing and the development expense should be capitalized, but the partition of research and development is decided by the person. Thirdly, the policies about R&D expense were changeable and different, which may cause earnings management. Pretax additional deduction policy enacted in 2008 said that the subject which can enjoy preferential policies must fall in the scope regulated by the New and High Technology Areas with the Government′s Primary Support, but the rules became laxer in 2013. The companies may be not able to follow the change and even make more expense which can be deducted, but the extra expense may be unusable for R&D. Lastly, the inadequate supervision may also cause earnings management. According to the policy in 2008, the companies can only submit the materials when they apply for the privileges and did not have to wait for approval. Companies can decide which expense to be deducted by themselves. According to the previous analysis, we proposed the second hypothesize which is that the companies made more use of the R&D expense to make earnings management after pretax additional deduction policy enacted.In this paper, we do not use the common method to check earnings management. We all know that there are two types of earnings management: real earnings management and the other. The real earnings management is that the companies make earnings management thought changing the production and operation. Although, the type of earnings management is real earnings management, it is difficult to find out through the common model. For example, when the companies increase the R&D expense which is used to research and develop, the administrative expenses can also increase and then the model will fail. So we verify the second hypothesize in two stages. The first is that the change of ROA of the companies decreased after pretax additional deduction policy enacted. We use this method to check whether the companies make earnings management because we think that decreasing the change of ROA is an important goal of the companies when they make earnings management. The second is that the discretionary accruals of the companies decreased after pretax additional deduction policy enacted. According to the previous research, we found that it is difficult to find out real earnings management and if companies can use pretax additional deduction policy to do more real earnings management, they will do less other earnings management. By checking whether the change of ROA of the companies decreased and whether other earnings management decreased, we can find out whether companies do the real earnings management. If the companies do the real earnings management after pretax additional deduction policy enacted, we can draw a conclusion that the companies make earnings management by making more use of R&D expense. In order to verify the hypothesizes, we make some empirical analysis. This paper tested the effectiveness of pretax additional deduction policy by using the methods of double difference and sectional study. The research objects we chose are pretax additional deduction policy enacted in 2008 and expanding the deduction range in 2013 promulgated by the ministry of finance. This paper chose the listed companies which were high-tech enterprises during 2006 and 2014 as the test group, and chose the list companies which were not high-tech enterprises during 2006 and 2014 as the control group.The research showed that (1) after pretax additional deduction policy enacted ,compared to the controlled group, the R&D expense of the test group increased significantly, which showed that the policy facilitates the investment of R&D; (2) the policy had no significant effect on the improvement of the R&D efficiency; (3) compared to the controlled group, the change of ROA and the discretionary accruals of the test group decreased significantly, which implied that after the implementation of the policy, the enterprises had used the policy to achieve the purpose of smoothing the profit instead of using accrual earnings management, a noticeable earnings management method.At last, this paper made some suggestion that the government should consider the characteristics of industries, increase the enforcement and transparency of the policy. From the perspective of earnings management, this paper provided new literature and data on the effect of pretax additional deduction policy implementation to R&D efficiency. Related Articles | Metrics

Select

The construction and an empirical study of the policy supply and demand migration test model——A quantitative research on policies based on expansion of breadth and depth Xu Deying 2020, 41(4): 64-74.  Abstract ( 186 )   Based on the investigation and analysis of innovation and entrepreneurship policies from the micro-view, the differences between actual and expected implementation are studied, and the deeper relationship between them is analyzed. In order to measuring their distance more visible and quantifiable, the clearly distinction between policy supply and demand is pointed out, and the location theory, similarity theory and Pearson correlation test are used in the whole study.Most importantly, the migration mechanism and measurement model are constructed to analyze the relationship and differences between policy supply and actual demand, while expanding the connotation of the policy breadth and depth.In the model, the policy migration index is constructed, while the migration breadth is denoted by angle deviation and the migration depth is denoted by relative distance. Then the environment variables together with this index were used to measure the offset of policy supply and demand. Furthermore, the criterion is proposed to determine the policy migration degree based on Pearson correlation test theory. At last, the model is proved to satisfy the actual migration characteristics of policy supply and demand.Based on the above studies, the innovation and entrepreneurship policy text is sorted out, and further quantitative analysis is done. As the result, the system of innovation and entrepreneurship policy is constructed, and the effective measure scale is designed, which contains seven first-degree elements and twenty-one branches. While the first-degree elements are capital, talents, research and development, services environment, manufacturing, new products market, technology transfer and knowledge diffusion. All these are used as an empirical to validate the model and identify the policy mediation priorities.The research points out that the model can be used to do more in-depth quantitative research and comparative analysis effectively, and can help to improve the policy adjustment precision from the top-level design view. It also provides an important quantitative analysis method and theoretical support for the policy research, which will enrich the previous studies.The empirical results also indicate that, innovation and entrepreneurship policies demand exceeds supply at the overall level for all the Beijing′s scientific and technological enterprises. And they have the strongest policy supporting demand in technology and new product market, which will be strengthened through various measures at a later stage. As well as, it is weaker in capital, talents, research and development. Especially, small and micro enterprises, private enterprises, joint ventures and foreign enterprises have higher migration degree between all the policies supply and actual demand. On the other hand, capital, talent, research and development policies show better satisfaction with policy demands for all kinds of scientific and technological enterprises. Seen from various practical situations, the study gives the following suggestions. Derivative development mode, science and technology industrial park mode and cluster development mode are the very effective new ways to solve the problem of China′s technology industry development and a best choice for facing the challenges of global innovation. Most importantly, these are also feasible paths to strengthen new products market expansion, technology introduction and knowledge diffusion for Beijing science and technology enterprises. Moreover, in order to further improve the level of policy information sharing, guidance and supervision efficiently, we can take a series of measures. Such as building the resources interaction platform with the help of the enterprise cloud, which will brings far-reaching implications for policy system construction. Related Articles | Metrics

Select

A research on the government′s behavior in the development of Taobao Village: A perspective from inclusive innovation theory and policy text analysis#br# Li Hongling, He Xin, Zhang Xiaoxiao 2020, 41(4): 75-84.  Abstract ( 317 )   Inclusive innovation has become a world topic ever since it was first put forward by the World Bank in 2007. Unlike the traditional innovation theory, the inclusive innovation insists taking the BOP(Bottom of Pyramid)as the main body of innovation. Taobao Village is such an inclusive innovation model under the era of Internet which makes it possible for a common villager to use the CIT (communication& information technology) to create value without any exclusive requirement. Until the end of 2017, 2,118 Taobao Villages were formed in China and the annual sales volume reached 120 billion RMB. What has the government done by using public policy or how to make the model to develop better by using public policy has attracted more and more attention．Based on the theory of inclusive innovation and the practice of Taobao Village development in China, while with the guiding of the theory of Industrial Cluster, this paper first set up a 4-dimension analysis framework to explore the government behavior by tracing its policy texts. The framework consists of the time when the policy being released, the policy themes, the department who releases the policy and the policy tools used in the policy, as shown in Figure 1. Next, by reading, tracing and selecting the website of national government departments whose businesses are relevant to the development of Taobao Village and some professional website on e-commerce, the paper collects 67 policy texts which were issued during the year of 2005 to 2016 as shown in Table 1. All the policy texts are coded according to the framework, as shown in Table 2. The study gets the following findings.First, from the view of the time dimension in the framework, the first national policy about e-commerce was issued much earlier than the appearance of the first Taobao Village in China. When the number of Taobao Village increased at low speed, few policies were published on it; While when it develops so fast and brought various problems, nearly 200 policy provisions were released to regulate it to grow in a healthy way. That means, in the development process of Taobao Village, the role of the government experienced such a change, that is from constructing the environment to limited action, and from limited action to active guidance. Second, from the view of the promulgator dimension in the framework, during the 12 years, 33 departments at national lever including the CCCPC, the State Council, the department of business affairs et al released 67 policies from their own function respectively. At the time when Taobao Village develops fast, different departments take close corporation to serve it. By using the bubble chart, the paper shows all the policy issuers′ behavior by describing its intervention time and intervention intensity in Rural E-commerce Industry, as shown in Figure 3.Third, from the view of the policy theme dimension in the framework, the paper finds that different policies push Taobao Village to develop from such 8 main aspects as raising the rural residents′ consciousness of e-commerce, constructing the infrastructure in rural areas, drawing up the on-line trade regulation, setting up the express delivery system, establishing the regional brands of native special products, motivating the e-business entities, providing the financial aid and offering other supporting or service. These are regarded as the 8 key elements for the growth of Taobao Village. Since different policy theme appears at different development stage of Taobao Village′s growth, the paper describes the policy theme′s evolution process by using a fishbone chart, as shown in Figure 4.Forth, from the view of the policy tools dimension in the framework, with the classification method of Rothwell & Zegveld about policy tools, the paper identifies the total 884 policy tools used in the 67 policies and encode them according to its category. It is found that during the 12 years, 42.8% policy tools are used for establishing environment, 19.3% tools are used for creating demand and the rest 37.6% are used for creating supplying ability. Anyway, since Taobao Village model has experienced 3 stages, at each stage policy tools are always used to establishing environment but not to intervene it directly, as shown in Table 4 and Figure 5.Taobao Village is a typical embodiment of inclusive innovation. This paper has given answers to two questions on its development.The first is “Is it necessary for local governments to offer helpto Taobao Village?” The answer is YES. Since the development of Taobao Village in China has been in the state of grass-roots barbaric growth for a long time, people usually neglect the government′s power in pushing its development. But by data analysis, the paper finds that the government plays an indispensable role in the growth process of Taobao Village and acts as promoter to supervisor from the beginning to the end. So, in the future, we suggest the local government give necessary support and assistance to cultivate and to develop Taobao Village with its “visible hands”. The second is “How does a local government offer help to Taobao Village?” The practice of national government departments give inspiration on the question. Maybe the answer lies in 3 aspects. The first is to follow the market rules. Taobao Village is the product of the development of market economy. The government should pay more attention to how to provide service and create healthy environment for its growth but not to interfere with it directly. The second is the polices should focus on guiding the gathering of key elements of Taobao Village. The paper identifies 8 main elements, which may the critical resource for the growth of a Taobao Village. The third is to strengthen cooperation among different departments. The experience of departments of the central government shows that the development of Taobao Village needs the joint promotion of business department, agricultural department, transportation department, legal department and some other departments, which is also a good experience for the local government to follow. Keywords: Related Articles | Metrics

Select

Measurement of China′s regional innovation patterns and their redesign of innovation policies#br# Zhang Wei, Gong Jian 2020, 41(4): 85-93.  Abstract ( 203 )   Regional innovation is the foundation of national innovation, and it is the growth point and power source for building an innovative country. The goal of a regional innovation policy is to enhance the competitiveness of the regional economy, which must be achieved by strengthening regional innovation capabilities. At present, more and more innovation policy reformers have proposed that there is no “one-size-fits-all” innovation policy applicable to all types of regions. The perfect regional innovation policy design needs to take into account the innovation foundation, innovation efficiency and innovation potential of different regions, base on the regional innovation situation, and make differentiated flexible adjustment based on the regional innovation pattern. This study intends to divide China′s regional innovation pattern by referring to the knowledge differentiation model theory and the "smart innovation policy" system, in order to form regional innovation policy system based on knowledge growth, creating" knowledge base "characteristics in different regions of diversified innovation growth pole, it is of great theoretical value and practical significance for the top-level design of China′s regional innovation strategy.Firstly, this paper reviews in detail the knowledge differentiation model of regional innovation pioneered by European scholars. The KIT project in Europe divided the innovation patterns of 262 EU regions through empirical methods. Through cluster analysis of measurement indicators, the research team found five categories of innovation pattern: science-based area (pattern 1), applied science area (pattern 2),smart technological application area (pattern 3), smart and creative diversification area (pattern 4) and imitative innovation area (pattern 5). Based on the empirical classification, the "Smart Innovation Policy" was formally proposed by Camagni and Capello. Two scholars define this policy as a dynamic policy that can able to increase the innovation capability of an area and to enhance local expertise in knowledge production and use, acting on local specificities and on the characteristics, strengths, and weaknesses of already-established innovation patterns in each region. It focuses on R&D elements, and emphasizes that policy design must consider the two principles of "embeddedness" and "connectedness", that is, innovation policies have to be embedded in the local reality, in local assets and strategic design capabilities, and have to guarantee the achievement of external knowledge through strong and virtuous linkages with the external world. The purpose of this policy is to design targeted support measures for each type of "regional innovation pattern" through external policy interventions to enhance the effective characteristics of the innovation pattern and enhance innovation efficiency. Camagni and Capello focus on regional innovation patterns in terms of policy goals, policy actions for local knowledge generation (embeddedness), policy actions for exploitation of knowledge spillovers (connectedness), policy style, and policy beneficiaries. According to the innovation pattern of different regions to carry out the differential design, forming a complete set of policy guidelines.Secondly, referring to the European regional innovation pattern and measurement index system, the quantitative evaluation of the innovation factors and knowledge base of 31 provinces, cities in China was conducted. Specifically, five first-level indicators were designed: knowledge creation, innovation creation, regional preconditions for knowledge creation, regional preconditions for innovation creation, Inter-regional knowledge and innovation flows. Subsequently, 11 secondary indicators were designed under the primary indicators. Through cluster analysis, this paper divides into five types of regional innovation patterns, which are science-based area, applied science area, creative application area, imitative innovation area, and innovation enlightenment are. In this paper, ANOVA was used to analyze the innovation factor indexes of five types of patterns. The mean values of each index were calculated and the significant differences were tested. Combining the representative regions of each pattern, it can be seen that China′s regional innovation elements and innovation capabilities show obvious characteristics of strong east and weak west. In addition, due to the obvious differences in industry foundation and region, the five regional innovation patterns in China have different characteristics.Finally, this paper makes a differentiated redesign of China′s regional innovation policy system according to the situation of innovation knowledge in differentregions.In view of the five types of regional innovation patterns in China, this paper proposes the following suggestions: (1) adopt the "bottom-up" mode and encourage the differentiation and contextualization of innovation policy objective design; (2) the science-based area (pattern 1) is in the leading position in innovation capacity and resources in the country, and the goals of innovation policies should clearly maximize the return on R&D investment. We should make full use of the advantages of local scientific research and technical talents, integrate existing intellectual resources, establish a stable network of industry-university-research cooperation, and encourage research institutions, universities and enterprises to actively participate in the design and decision-making of regional innovation policies; (3) the innovation policy objectives of applied science area (pattern 2) and creative application area (pattern 3) should be clear to maximize and specialize the return of application cooperation, and quickly transform the innovation of basic scientific research into commercialization and industrialization results. It is important to establish a cross-regional coordination mechanism, optimize the spatial distribution of innovation resources, concentrate innovation resources, and support superior industries to become more sophisticated and stronger; (4) the innovation policy goal of the imitative innovation area (pattern 4) should be positioned to maximize return to imitation and stimulate the vitality of enterprises with the innovation of system and mechanism as the core. Based on the existing foundation of innovation, we need intensively cultivate in the advantageous and characteristic industries, build an innovation platform for the government, scientific research institutes and enterprises to share and promote the transformation of government functions; (5) the innovation policy goal of the innovation enlightenment area (pattern 5) should position and focus on industries with ecological characteristics and build an endogenous innovation drive based on the application of green technologies. It is necessary to combine the actual development of the region, develop distinctive products and brands, provide corresponding technical guidance and financial support for the advantages of local innovation resources, promote the rational flow of talents and other scientific and technological resources, enhance the competitiveness and entrepreneurship of local enterprises, improve the overall innovation capacity of the region.and promote the regional innovation pattern to evolve into applied science area or creative application area. Related Articles | Metrics

Select

A research on the impact of inclusive human resource practice on individual creativity——The effect of ambidextrous learning and charismatic leadership#br# Zhao Fuqiang, Lu Qian, Chen Yun 2020, 41(4): 94-102.  Abstract ( 427 )   With the aggravation of the volatility, uncertainty, complexity and ambiguity of the external environment, the enterprises can maintain their own survival and development only through continuous innovation. As we all know, the individual creativity can promote the organizational innovation. It is found that the multiple heterogeneous knowledge is the source of individual creativity, and human resource practice affects the individual attitude, behavior and performance through its impact on their ability, motivation and opportunity, so it will influence the formation of individual creativity. At the same time, with the development of the economic globalization, the workforce in the workplace becomes more and more diversified. Therefore, it has increasingly become the focus of the industry and academia how to stimulate individual creativity by making full use of their knowledge heterogeneity and integrating their differentiative cooperation through the human resource practice. According to the relevant literature, the current research shows that human resource practice can not only affect individual creativity, but also stimulate the individual innovative thinking, for example, high performance work system, high commitment work practice, relational human resource practice. What′s more, the inclusive atmosphere and leadership are similar to them. However, the existing research pay more attention to the impact on team creativity after the coupling of undifferentiated individuals, and ignores their impact on individual differential creativity.It is well known that the formation of individual creativity requires not only the use of existing knowledge, but also the acquisition of new knowledge. So the ambidextrous learning has become an important way to enhance individual creativity, and human resource practice can affect individual ambidextrous learning. Inclusive human resource practice, that is IHRP, is a series of interrelated, complementary and dependent management activity combinations that includes personalized configuration, multiple selection, inclusive development, participatory assessment, and targeted compensation and so on, which are adopted by the organization to improve diversified employees′ ability to seek common ground and use different things, stimulate the motivation of hundreds of schools of thought and provide opportunities for hundreds of flowers to bloom. This kind of human resource practice respects individual differences, recognizes their values, pays attention to their demands, plays their strengths, tolerates their mistakes and failures. As an important supplement to the current human resource practice, it can affect the ambidextrous learning motivation, ability and opportunity of diversified employees so as to promote individual creativity. In addition, the matching of human resource practice and leadership style can further play its role. Charismatic leadership can stimulate their innovation enthusiasm, novel ideas and change behavior, but whether they can affect the role of the inclusive human resource practice on employee creativity is not well studied.The diversified employees can bring not only the heterogeneous knowledge for the innovation, but also the management threats for the organization. Thus, the inclusive human resource practice is becoming the focus in the academia and industry. Based on the conservation of resource theory, the paper illustrated their impact mechanism and boundary condition of the inclusive human resource practice on the individual creativity through defining its conceptual composition and conceiving the moderated mediation model. The empirical research found the follows through confirmatory factor analysis and stepwise regression. Firstly, the inclusive human resource practice consists of the personalized work assignment, the multiple recruiting and selection, the inclusive career development, the participatory performance appraisal, and the individualized reward. Secondly, the inclusive human resource practice can enhance the individual creativity. Thirdly, the ambidextrous learning has the mediation between the inclusive human resource practice and the individual creativity. Finally, the charismatic leadership moderates not only the direct effect of the inclusive human resource practice on the ambidextrous learning and the individual creativity, but also the indirect impact of the inclusive human resource practice on the individual creativity through the ambidextrous learning. These conclusions can provide the following implications for the practice of the organizational diversified management. Firstly, the conclusion that the inclusive human resource practice promotes individual creativity can guide the enterprises to build and implement the inclusive human resource practice, make the diversified employees contend for a hundred flowers, and then improve organizational performance. Secondly, the conclusion of the mediation role of ambidextrous learning can guide the enterprises to build an ambidextrous learning atmosphere, so as to learn more knowledge, acquire more ability, and improve creativity through making full use of the resources provided by the inclusive human resource practice. Thirdly, the conclusion of the moderation role of the charismatic leadership guides the enterprises to change their leadership style in order to play the role of charismatic leadership in the process of individual ambidextrous learning, which can not only include the diversity of demographic characteristics, but also accommodate mistakes, tolerate their failure, show understanding and sympathy for them, and think in their position. So, the diversified employees are more willing to learn more knowledge and transform their learned knowledge into their creativity. Finally, the conclusion that charismatic leadership regulates the indirect role guides the organizational managers to match human resource practice with appropriate leadership style, so as to better improve individual creativity.Based on above, the main theoretical contributions of this study are as follows. Firstly, there is no systematic definition of the connotation of the inclusive human resource practice in the existing research, but through exploring the connotation of the inclusive human resource practice and its role in individual creativity, this study complements the previous research that only pays attention to the informal organizations support such as inclusive leadership, culture and atmosphere. Secondly, by examining the mediation of the ambidextrous learning between inclusive human resource practice and individual creativity, and integrating multiple inclusion and ambidextrous learning organically, this paper expanded the theoretical perspective of the research on the mechanism between human resource practice and creativity, and responded to the research initiative of inclusive management practice in the context of China. Finally, through the introduction and adjustment of charismatic leadership, this paper clarified the impact mechanism and its boundary condition of the inclusive human resource practice on individual creativity, which enriches the relevant research on the match between the organizational management practice and the leadership style. Related Articles | Metrics

Select

Trust mechanism for influence of authorized leaders on knowledge workers′ innovation Wei Huafei, Gu Jibao, Zhang Shulin 2020, 41(4): 103-111.  Abstract ( 300 )   Authorized leadership is a new type of leadership based on a series of theories such as social cognitive theory, self-management theory and cognitive behavior modification theory. It is the management decision and leadership style made by the leader on the basis of trust to the employee. In addition, employee innovation behavior will also be affected by authorization leadership. Authorized leadership can not only exercise the autonomy and enthusiasm of subordinates, improve the relationship between superiors and subordinates, but also have an important impact on employees′ work and innovation performance. As a management style, authorized leadership can promote the improvement and promotion of the exchange relationship between leaders and employees through communication and authorization on the basis of trust and equality, thus having a positive impact on employees′ work and innovation performance. Due to their rich knowledge, experience and skills, knowledge workers have a better foundation of necessary knowledge reserve for innovation, as well as a stronger demand for innovation, which has a very significant impact on the acquisition and sustainable development of enterprise competitive advantage. Empowering leaders emphasize the significance of work to knowledge workers, which can help them better understand and identify their work and stimulate their enthusiasm for work; empowering leaders grant decision-making power to their subordinates, which is conducive to improving the sense of ownership of knowledge workers; empowering leaders often express high performance confidence to knowledge workers, which not only inspires morale, but also reminds them to focus on work making goals and improving self-confidence in dealing with setbacks; empowering leaders actively break hierarchy restrictions, endow subordinates with more power and responsibility, create a more flexible and open environment, which is conducive to stimulating innovative behavior of knowledge-based employees. Trust is the key influencing factor of various contracts or relationships, which guides or influences the attitudes and behaviors of both parties. Organizational trust represents the recognition and trust of employees for the sincerity and reliability of the organization or leaders. The sources of employees′ trust in leaders are: the emotional connection formed in the interaction between employees and leaders, that is, the trust based on emotion; the trust based on the rational cognition of employees according to their own abilities and personal characteristics of supervisors, that is, the trust based on cognition. Comparatively speaking, the trust based on emotion is more inclined to perceptual knowledge, while the trust based on cognition is a product of rational analysis. Leadership authorization behavior is conducive to the establishment of a good and high-quality trust relationship between leaders and knowledge-based employees. Leaders give knowledge workers enough power, support, respect and trust through authorization. Accordingly, knowledge workers will give leaders enough trust and loyalty when they perceive the support and trust of leaders. Under authorized leadership, knowledge workers and leaders can have more equal and comprehensive communication, which is not only conducive to the formation of emotional trust based on the communication between knowledge workers and leaders, but also conducive to the formation of cognitive trust based on leaders. A high level of trust between superior and subordinate can not only greatly save the cost of organization management and supervision, but also produce better results than supervision, promote employees to implement higher enthusiasm investment, which is more conducive to the development and innovation of the organization. On the basis of higher emotional trust, employees are more obedient to the decision-making and management of leaders, have higher work enthusiasm for the tasks assigned by leaders, and hope to do a good job to repay the trust of leaders, so as to be more likely to stimulate employees′ innovative behavior. In the process of interaction between knowledge workers and leaders, if knowledge workers feel that leaders are trustworthy, honest and capable through cognition, and care and respect for themselves, they will be willing to spend more time and energy to do things expected by the organization and leaders, such as more efforts to engage in innovation work and improve innovation performance. The sense of organizational support refers to the employees′ awareness of the organization′s support for their work, interest concerns and recognition of their values. Organizational support can meet the needs of knowledge workers to be respected and concerned, and then make them have a sense of responsibility to care about organizational interests and achieve organizational goals, and achieve the integration of organizational roles and social roles; organizational support can also improve the trust of knowledge workers in organizational reporting and organizational commitment. Therefore, under different levels of organizational support, the effect of authorized leadership on the two kinds of trust of knowledge workers will be different. When the level of organizational support is high, knowledge-based employees perceive that their abilities and efforts are concerned, supported and recognized by the organization, so that they have more confidence in the leadership and will have a higher level of emotional trust. At the same time, they believe that when they encounter difficulties that cannot be solved independently in the process of innovation, leaders and organizations will provide them with corresponding help and increase the possibility of innovation. Therefore, authorized leadership will also make knowledge-based employees have stronger cognitive trust.On the contrary, when the level of organizational support is low, even if leaders adopt the way of authorized leadership, knowledge-based employees will think that their innovation efforts are not recognized by the organization and the corresponding resource support, which will weaken the impact of authorized leadership on knowledge-based employees′ emotional trust and cognitive trust. In this paper, we mainly studies how authorized leaders influence the two kinds of trust of knowledge workers, which are emotion based trust and cognition based trust, and forming an intermediate trust mechanism to further influence the innovation behavior of knowledge workers. In addition, we further study the moderating role of Perceived organizational support (POS) in this intermediate trust mechanism. By pairing investigation and data collection and processing, the empirical study found that authorized leadership can positively affect the emotional trust of knowledge workers to leaders, this style of leadership that emphasizes authorization can positively affect the cognitive trust of knowledge workers to leaders. Finally, an intermediate trust mechanism will be formed, which will positively affect the innovation behavior of knowledge workers. Perceived organizational support (POS) positively moderates the relationship between authorized leadership and emotional trust of knowledge workers, and it positively moderates the relationship between authorized leadership and cognitive based trust of knowledge workers. Related Articles | Metrics

Select

A study of the impact of R&D employees′ ambidextrous mental model on their innovation behaviors#br# Cao Yuankun, Xiong Li 2020, 41(4): 112-122.  Abstract ( 207 )   he psychological underpinning of individual ambidexterity remains a critical open question for academics. As the cognitive foundation of contextual ambidexterity in organization, individual ambidexterity serves as a "bottom-up" convergent function to build up the ambidextrous innovative capability of the organization. It relies on an individual′s capability of thinking transference between exploration and exploitation, in contrast with the traditional view of structural isolation, which has thereby received great attention among international scholars. In today′s worldwide entrepreneurship and innovation age, the ability of innovative employees to simultaneously explore new opportunities and exploit existing competencies has become crucial for business sustainability. Research has shown that current employees imperatively need job diversification and initiatives to improve their work performance in ever-changing environment. Although scholars start to recognize the fundamental position of individual ambidexterity in constructing contextual ambidexterity, they only have a fragmented understanding about the cognitive underpinnings of individual ambidexterity. Most existing literatures suggest that cognitive features like cognitive flexibility, risk tolerance and intrinsic motivation are positive antecedents of ambidextrous behaviors, but so far their conclusions are still quite abstract and narrow. Recently a new concept named "ambidextrous mental model" is developed, which is a higher-order conception constructed by three dimensions: self-efficacy, belief in reciprocity and innovative thinking. This conception contributes to a more systematic way to define cognitive level ambidexterity. However, the predictive validity of this construct and the context which defines its functional boundary have not yet been examined. In this regard, based on the “P—E—B” reciprocal model of social cognitive theory, our study is aimed at testifying the relationship between employees′ ambidextrous mental model as a higher-order construct and their ambidextrous innovation behaviors under particular network conditions. First we theoretically discuss about how an ambidextrous mental model encourages employee′s ambidextrous behaviors, and the moderating effect of employee′s network knowledge heterogeneity on the above relationship. Then we testify the higher-order construct of ambidextrous mental model, its effect on ambidextrous innovative behaviors as well as the moderator effect of network knowledge heterogeneity through empirical studies.Structural equation modeling and hierarchical approach are employed to analyze data from 463 R&D employees in 71 med-high-tech firms. The sample firms belong to technology-intensive industries in China, such as Biotech and Pharmaceutical industry, Mechanical industry, and Information Technology industry. We collected our data mainly in hi-tech industry development zones in China. All the valid questionnaires were collected from R&D employees who were engaged in both explorative and exploitative innovations in the corresponding companies. The respondents were told about the procedures of the survey, and anonymity and confidentiality were assured. We also testified the reliability of our measurement scales before we conducted confirmatory factor analysis and path analysis.The results can be divided into three parts. First of all, a hierarchical analysis shows that the higher-order structural model with self-efficacy, belief in reciprocity and innovative thinking being its first-order variables has better fit indices than any other competing models, which indicates a good construct validity of ambidextrous mental model. Second, path analysis with AMOS software shows that there is a positive relationship between ambidextrous mental model and ambidextrous innovation behaviors. Meanwhile regression analysis with SPSS software shows that employee′s network knowledge heterogeneity moderates the relationship between ambidextrous mental model and explorative innovation in a positive way, and exploitative innovation in a negative way. These results suggest that ambidextrous mental model is the cognitive underpinning of individual innovation ambidexterity, and a moderate network knowledge heterogeneity will be ideal for maximizing the strength of this relationship. Third, a robust test which contains a competing model for comparison was conducted to reconfirm our results. In our competing model, each dimension (e.g. self-efficacy, etc) of ambidextrous mental model is linked directly to ambidextrous innovation behaviors as a single variable rather than a first-order factor. The result shows that their independent effects are much less significant than the joint one. Hence, the robust test verifies the higher-order construct value of ambidextrous mental model in predicting ambidextrous innovation behaviors.This paper has two theoretical contributions. First, we verify the important theoretical value of ambidextrous mental model as a higher-order construct and the social cognitive underpinning of individual ambidexterity. It specifies and systemizes the viewpoints of the previous studies on cognitive ambidexterity. The results imply that self-efficacy, belief in reciprocity and innovative thinking function differently on R&D employees′ explorative and exploitative behaviors, and there are interactive effects between them. Second, we confirm the paradoxical perspective of ambidexterity theory by presenting, discussing and examining a group of closely interrelated cognitive concepts, i.e. self-efficacy, belief in reciprocity and innovative thinking, which jointly constitute a higher-order construct called ambidextrous mental model. The intrinsic functional logic of these cognitive variables implies how ambidextrous mental model encourages ambidextrous innovative behaviors. This paper also has three management implications. First, innovative firms should establish a belief system that accepts the universal paradoxes existing in organizations and emphasizes ambidextrous thinking. Managers need to pay more attention to employees′ ambidextrous mental model and set up moderate employees′ social networks in order to promote balanced innovative behaviors. Second, an ambidextrous HRM system should be built to motivate employees′ ambidextrous cognitive potentialities. It might include setting up selection criteria based on mental model, mental model training programs, ambidextrous performance appraisal system and changing job design, etc. Last but not least, firms may need to consider fostering a supportive rather than bureaucratic organizational culture to encourage a shared ambidextrous mental model among employees so that the continuous organizational innovative performance can be achieved. Related Articles | Metrics

Select

A study of the collaborative innovation mode and path in colleges and universities from the perspective of symbiosis theory Jiang Kaidong， Zhan Guobin 2020, 41(4): 123-130.  Abstract ( 376 )   The key to building an innovative country is to construct a symbiotic innovation system that reflects the characteristics of China′s localization, and strive to achieve the independent innovation with Chinese characteristics based on collaborative innovation practice mode in colleges and universities. Collaborative innovation in colleges and universities is not only one of the core carriers for construction of an innovative country, but also the important and indispensable to China′s independent innovation. The concept of "symbiosis" was first proposed and promoted in the field of biology. Subsequently, it was absorbed and used for reference by other disciplines. Symbiosis theory has constructed a kind of disciplinary theory, that is: internal and external symbiosis is one of the important sources of evolution or innovation. It′s core is the symbiotic relationship formed by the pluralistic symbiotic units. Symbiosis theory system covers three-dimensional structural elements: symbiosis unit, symbiosis model and symbiosis environment.Based on symbiosis theory, the paper constructs an analytical framework of collaborative innovation in colleges and universities, analyzes the structure relationship among symbiosis unit, symbiosis relationship and symbiosis environment, investigates the practical model of symbiosis theory embedded in collaborative innovation of colleges and universities. Furthermore, the paper probes into the practical evolutionary logic of single beneficial symbiosis, differentiated ＆ mutually beneficial symbiosis, balanced ＆ mutually beneficial symbiosis. Under the premise of science & technology innovative culture and synergetic incentive mechanism, moderate guidance and regulation are indispensable to promote and achieve the effective allocation of multi-dimensional innovation elements (information, technology, talents and funds) among the main bodies of differentiated multi-symbiotic units (universities, governments, enterprises and scientific research institutions). Symbiotic units can achieve mutual synergy through effective interaction, and then gradually strengthen in the process of evolution, differentiated symbiotic units will also gradually construct their own organizational structure in the process of interacting with external resources and energy. Under this logic of action, collaborative innovation system gradually achieve the evolutionary logic and prospect from "single beneficial symbiosis" to "differentiated ＆ mutually beneficial symbiosis " to "balanced and mutually beneficial symbiosis".In order to promote the optimization of innovative mode of collaborative innovation in colleges and universities, perfect the governance system of symbiotic integration in collaborative innovation of colleges and universities and enhance the ability＆ sustainability of collaborative innovation in colleges and universities, we should construct a well-ordered system of coordination and innovative symbiosis, which is guided by external market demand, driven by collaborative technological innovation, symbiotic development as the core essence, colleges and universities (think tanks) as the support. Rebuild the organizational form of symbiotic collaborative innovation, by building innovative alliances with different dominant symbiotic populations such as universities and other symbiotic unit subjects, reconstructs the organizational form of collaborative innovation of "Industry-University-Research" in colleges and universities (think tanks), and finally realizes the orderly operation of collaborative innovation symbiotic system in colleges and universities. And build the platform of regional mutualism and symbiosis culture. Emphasis should be placed on building a "mutually beneficial symbiotic cultural platform" for collaborative innovation in colleges and universities, relying on the "mutually beneficial symbiotic cultural platform" to strengthen the construction of collaborative innovation symbiotic system in colleges and universities, actively cultivate different types of creator groups, create an institutional environment for building innovative culture, create a low-cost creator cultural space, construct an investment and financing mechanism of ecological culture, and promote the construction of eco-cultural platform of collaborative innovation symbiosis system in colleges and universities. References | Related Articles | Metrics

Select

The effect of servitization strategy on enterprise performance:Based on the mediating of business model innovation Chen Juhong， Zhang Ruijun， Zhang Yaqi 2020, 41(4): 131-139.  Abstract ( 303 )   How to successfully implement servitization strategy has become the focus of attention of manufacturing enterprises, but also an issue of theoretical research. Some studies have shown that there is an implicit positive correlation between servitization and enterprise financial performance, which can bring new value growth points to manufacturing enterprises. However, the servitization practices of some manufacturing enterprises show that the services investments do not increase the income for the enterprise as expected, and the enterprise does not improve its survival opportunities through the services businesses. This phenomenon is called ‘service paradox’ in academia.Because servitization is a multi-subject-oriented strategy, the development of services activities needs manufacturing enterprises to innovate the business model elements of cross-enterprise boundaries, such as the ways of collaboration with external suppliers and customers. Therefore, business model innovation of cross-enterprise boundaries has become an important carrier for traditional manufacturing enterprises to implement servitization transformation. Business model innovation includes redesigning products or services for customers, changing the existing production processes and operation ways of the enterprise, proposing new ways to achieve transactions and benefits distribution with suppliers and customers, etc. All of these will help enterprises create and deliver new value for their customers, which can give back higher performance for themselves. However, a lot of practice shows that some enterprises have encountered ‘service paradox’ because of the failure of business model adjustment or innovation. So, what roles do business model innovations play in the successful implementation of servitization strategy? It becomes the important academic issues in the field of servitization research. Unfortunately, the current empirical research is rarely reported. This study aims to clarify the impact of servitization strategy on enterprise performance, and to explore the mediating role of business model innovation, which will enrich theories of servitization and business model innovation, provide theoretical basis for the successful implementation of servitization strategy.Based on both theories of servitization and business model, firstly, the influence of servitization strategy on enterprise performance is clarified, then the mediating role of business model innovation is discussed, and then the theoretical model of the relationships among servitization strategy, business model innovation and enterprise performance is constructed, and four sets of theoretical hypotheses are put forward. A questionnaire survey is conducted on the top executives of 300 service-oriented manufacturing enterprises from China. A total of 243 are collected, of which 236 are valid questionnaires. We select enterprise size and enterprise age as control variables. Six hierarchical regression models are established and the proposed assumptions are tested by using spss17.0.The study findings are as follows: First, product-oriented servitization strategy has a significant positive correlation with enterprise performance, and customer-oriented servitization strategy has a U-shaped curve relationship with enterprise performance. Second, both product- oriented servitization strategy and customer-oriented servitization strategy contribute to business model innovation. Third, business innovation helps provide a better value experience to enhance customer recognition, and helps enterprises build the imitation barriers and maintain competitive advantages. Fourth, business model innovation plays the partially mediating role in ‘product-oriented servitization strategy and enterprise performance’ and ‘customer-oriented servitization strategy and enterprise performance’ respectively.The conclusions of this research have certain significance for theory and practice: First, product-oriented servitization strategy can significantly improve enterprise performance. Enterprises can enhance the function of products and the differentiation of services by providing customers with products-related services, including maintenance and repair, upgrading and other basic services, so as to enhance the competitive advantages of existing products. Second, there is a U-shaped relationship between customer-oriented servitization strategy and enterprise performance. Manufacturing enterprises provide customers with a series of customized services oriented to customer value enhancement, including process optimization and so on. In the early stage, because of the high investment, the capital occupation and the slow return of funds, it may lead to the inhibition of financial performance. However, with the further implementation, customized services can achieve customers locking, thus bringing about the improvement of enterprise performance. Getting to know earlier the threshold effect of customer-oriented servitization strategy can avoid the premature abandonment because of shortsightedness. Third, business model innovation is an effective way for manufacturing enterprise to implement servitization transformation. The manufacturing enterprises implementing servitization strategy should innovate their business models. By providing customers with novel services, building new business relationships, designing new trading and profit distribution models and so on, customers can gain a better value experience and keep loyalty to products and services. Thus, when manufacturing enterprises implement servitization strategy, they should consider redesigning and innovating their business models. Related Articles | Metrics

Select

Servitization and product innovation: The moderating role of environmental uncertainty Zhang Ying, Gu Yuandong, Gao Jie 2020, 41(4): 140-150.  Abstract ( 419 )   Servitization has emerged as a key strategic opportunity for manufacturers to enhance differentiation and create competitive advantage. Almost 60% of manufacturers in Western economies have offered full customer-focused packages of products and services. However, servitization has also been questioned with its over-emphasis on business model innovation and loss of focus on core technology. Empirical studies on the relationship between servitization and product innovation are scarce, and have generated inconsistent findings. Although there are arguments of servitization′s benefits in generating rich insights into customer needs and knowledge, there are also evidences that servitization can be detrimental by bringing in resource conflicts and familiarity trap. Therefore, it still merits further exploration that whether servitization can enhance product innovation and generate sustainable competitive advantage.To obtain in-depth explanations of the effects of servitization, this paper uses knowledge based view (KBV) as the explanatory framework to analyze the positive and negative influences across different levels of servitization, and empirically investigates the relationship between servitization and product innovation. Moreover, concerning that the technology and market factors will bring in different opportunities and threats, this study differentiates technology dynamism and market uncertainty to examine the moderating effects of environmental uncertainty. Hypotheses are tested by survey data from 239 Chinese manufacturing firms, covering four geographically different areas: the Pan-Pearl River Delta economic zone, the Yangtse River Delta economic zone, the Bohai Rim economic zone and other inland areas, which also represents different economic developments. Then, a hierarchical moderated regression is employed to examine the explanatory power of each set of variables.First, the results show a U-shaped relationship between servitization and product innovation. At low levels of servitization, manufacturers still emphasize on physical products and provide a narrow range of basic services, implying a small number of customer interaction activities. These services and interactions are unlikely to lead to new ideas that depart from existing products. Relying on such knowledge will lead manufacturers to keep on improving existing products and get positive feedback from existing customers, and then lose the motivation to conduct breakthrough innovation. Meanwhile, firms are constrained by existing routines and resources. Given that the dynamics, rules, and culture of the service sector are greatly different from those of the manufacturing sector, manufacturers may need to acquire new resources, even transfer resources from product businesses, and adjust the current processes and organizational structure to implement servitization. Consequently, improving servitization levels would cause the dilution and shortage of resources in product innovation. Taken together, at low levels of servitization, resource conflicts would be prevalent and outweigh the complementary effects of customer knowledge, hence leading to a negative effect of servitization on product innovation.At high levels of servitization, manufacturers emphasize more on services and widen the service range. The increased number, the widened variety and the interactive nature with customers of services greatly improve customer trust and loyalty. Manufacturers get access to more information on customer preferences, more accurate interpretation of customer demands, and more user-specific data. These data and information contain abundant tacit knowledge, especially the underlying customer needs, which are not bound to existing products, abstract, vague and difficult-to-acquire. Underlying customer needs reflect customers′ deeper and broader needs, and are conducive to stimulate new ideas and inspire breakthrough innovations. Meanwhile, along with the learning effect, the marginal resource input in service is diminishing, and then the resource conflict between product innovation and service is gradually weakened. Therefore, at high servitization levels, the complementary effects of customer knowledge increase substantially and outweigh the rise in resource conflicts, resulting in a positive effect of servitization on product innovation.Second,the results show that technology dynamism negatively moderates the relationship between servitization and product innovation. Under high technology dynamism, technological advances constantly emerge and prior knowledge becomes obsolete rapidly. In these cases, highly innovative product concepts and designs are usually derived from technological advances in other industries. Therefore, manufacturers need to obtain diversified information from multiple channels to promote product technology innovation, such as suppliers and third-party scientific research institutions, which consequently weakens the importance of information channels through servitization. Moreover, for manufacturers in technologically turbulent markets, allocating slack resources into servitization may be counterproductive as these resources could be better invested in technological innovation. In short, high technology dynamism requires manufacturers to increase investment in product innovation, which strengthens resource conflicts between services and product innovations, and weakens the role of servitization as information channels. Third, the results show that market uncertainty negatively moderates the relationship between servitization and product innovation. Under high market uncertainty, customers and competitors are diversified and change rapidly, and new market segments constantly emerge. Manufacturers need to broaden their business horizons to embrace more customer groups and emerging segments, as they are likely to become the focus of competition in the future. However, servitization′s focus on the current market is likely to lead manufacturers to ignore potential customer groups, limit innovation to current business areas, and miss product innovation opportunities in emerging markets. On the contrary, under low market uncertainty, customer demands and competitors′ behaviors are simple and stable, which strengthens the positive effects of information acquired through servitization on product innovation. In a word, high market uncertainty increases the possibility of emerging markets, and therefore weakens the positive impact of servitization on product innovation as it is difficult to obtain information on emerging markets through servitization.In general, this study complements the existing literature in three major ways. First, previous evidences on the role of servitization in product innovation are largely anecdotal and drawn from the conclusions of selected case studies in a Western context. In this study, the empirical investigation covers large samples from China as an emerging economy, improving the generalizability and providing managerial insights for practitioners in China to implement servitization. Second, this study extends the servitization research by providing a nuanced understanding of the curvilinear effects of servitization on product innovation in response to recent calls for detailed insights from quantitative studies. The results help managers recognize both the bright and dark sides of servitization in product innovation. Third, this study extends the understanding of the moderating roles of technology dynamism and market uncertainty, which provides guidance to implement servitization efficiently according to different environments. Related Articles | Metrics

Select

Political connection and business model innovation: The moderating effect of absorptive capacity Zeng Ping, Huang Ziwei, Wang Jin′ai 2020, 41(4): 151-159.  Abstract ( 237 )   In the study of the effects of political connections，there are always confusing findings. It is not unusual to find positive，negative and even mix effects in the literatures. To explicate these puzzles and further investigate the effects of the political connections, we combine both perspectives of the political connections and the business model innovations together, introduce political connections into this new fast-developed field and very popular business practices in the worldwide. In this study, we construct a theoretical model and propose that the confusing effects of political connections may come from the firm-specific context of the absorptive capacity. Absorptive capacity is a set of organizational routines and processes, by which firms acquire, assimilate, transform, and exploit knowledge to produce a dynamic organizational capability. As one of the most important resources, political connections help firms to find and assimilate necessary information to pursuit business model innovation, and thus influence the strategic changes of business models in the all three levels including business system innovation, organizational inertia innovation, and cognitive innovation. Whether the governments exemplify "the grabbing hand ", i.e. negative effects of political connections, or “the helping hand”, i.e. the positive effects of political connections, depends on the specific context of the firm′s absorptive capacity. When absorptive capacity is further classified into the knowledge acquisition capacity (KAC) and the knowledge digestion capacity (KDC), the KAC has the similar functions of the political connections facilitating firms to obtain needed information, and exemplifies the “substitution effect”and thus weakens the effect of the political connections. However, the KDC helps firms to utilize the key information and resources obtained from the political connections, and exemplify the “complementarity effect “and thus strengthens the effects of the political connections. So in the context of a firm with high level KAC, political connections negatively affect the firm′s business model innovation and the government gives "the grabbing hand "for the firm′s innovation and development; in the context of a firm with high level KDC, political connections positively affect the firm′s business model innovation and the government gives "the helping hand "for the firm′s innovation and development. According to the prior research in related areas we adopted a survey approach to gain this type of detailed data, and selected Guangdong province and Shanghai, the most active areas of the business model innovations in China, as the research settings. Prior to administering the survey, we pilot tested the questionnaire on a group of executives and EMBA students from different industries. The revised survey was then accompanied by a cover letter explaining the objectives of the study and promising an executive report of the results if desired. All respondents were ensured that their individual responses would be reported only in an aggregated manner, so that no individual firm could be identified by anybody. Finally, all respondents were assured strict confidentiality. Surveys were sent to 628 EMBA and MBA students identified by the alumni associations of the universities. From August 2013 to August 2014, two rounds of collection have been sent and yielded 384 useable surveys in the end, representing a response rate of 61.2%. We assessed representativeness along several dimensions such as firm age, revenue, and the number of employees, the sample for this study is representative of the larger population from which it is drawn. We applied 5-point Likert Scaling to measure all the dependent and independent variables. 5 items scale of the explained variable is measured using Zeng and Song (2014)′s measure of the business model innovation (BMI). The explaining variables of the political connections was measured using Zeng and Lan (2011)′s method, and adopted Cohen and Levinthal (1990) and Xie and Zuo (2013)′s method to measure the knowledge acquisition capacity (KAC) and the knowledge digestion capacity (KDC). We also controlled the firm age, firm size, State-owned enterprises (SOEs), and high-tech enterprise to fully estimate the effects of the studying variables. We conducted the exploratory factor analysis (EFA analysis) and the Cronbach′s α test to check the reliability and validity of the scales, all the measures satisfied the requirement. Empirical results of the linear regressions revealed that all the hypotheses are supported, although the direct effect of the political connections is more complicated and needs to consider the specific context from the dynamic capacities of the firm. Both types of a firm′s absorptive capacity are positively related to the firm′s business model innovation, and the most interesting finding is that the knowledge acquisition capacity and the knowledge digestion capacity has the opposite moderating effects, KDC strengthens the positive effect of the political connections and KAC weakens the effects. Thus, we can explain the confusing findings of the current literatures about the political connections, effects of them are contexed in a firm′s dynamic capacities and other resources. Firms with high level of the knowledge digestion capacity (KDC) can fully utilize the external information and resources obtained by the firm′s political connections, and contribute to its business model innovations such as innovative business system, changes of organizational inertia, and having more business ideas activated. On the contrary, firms with high level of the knowledge acquisition capacity (KAC) will substitute the effects of the political connections, too much more information are obtained but having not enough capabilities to assimilate them, or both types of information channels of the KAC and the political connections contest with the each other and reduce the efficiency of the political connections, firms have to be stick to the old rules, the current business system, and lack new ideas about the emerging business opportunities, i.e. they have low level of the business model innovation. These findings help us to further understand the inner mechanism of the political connection affecting business model innovation, identifying the discrepancy of moderating effect between different dimensions of the absorptive capacity, and promoting the development of the theory and practice of the business model innovation. In the practices, firms should not rely solely on the political connections, only with the specific dynamic capabilities such as high level of the knowledge digestion capacity (KDC), they′ll be more innovative in the business operation and the governments will exemplify “the helping hand” as the firm wished. Related Articles | Metrics

Select

Did the failure to punish the chairman promote enterprise innovation？#br# Yin Xiying 2020, 41(4): 160-171.  Abstract ( 220 )   At present, China′s economic growth is at a critical stage from high-speed growth to high-quality development, it is in the tackling phase of the transformation of development mode, the optimization of economic structure organization and the transformation of development kinetic energy. An important indicator of economic development is production quality and efficiency, the 19th National Congress of the CPC stated that, we must insist on quality first and beneficial result first right now, focus on accelerating the construction of the real economy, technological innovation, modern finance, industrial system for the coordinated development of human resources, constantly enhance China′s economic innovation and competitiveness. It is known to all that the key to leading the high-quality and efficient development of the Chinese economy in the future lies in technological innovation., innovation is undoubtedly important for the long-term growth of the economy, and technology is the most important strategic resource in economic development, scientific and technological innovation is the primary driving force for economic development. In the long course of human history, every scientific and technological revolution will cause a change in the structure of social organizations, which will lead to a big leap in social economy, therefore, stressing that ‘Science and technology innovation is a strategic support for improving social productivity and comprehensive national strength, and must be placed at the core of the overall national development’. As a result, improving the technological innovation capabilities of enterprises is the key to successfully transforming China′s economic innovation drive. The improvement of the innovation performance of enterprises is conducive to maintaining the long-term sustainable development of the macro economy. The chairman, as the highest leader of the enterprise, presides over the production and management of the company, in the long-term development of an enterprise, it is necessary to make the correct strategic strategy at each step. Whether the company is innovating, the chairman is always the most critical factor. With the continuous improvement and development of the enterprise′s constraint mechanism and incentive mechanism, in the face of the punishment of innovation failure, the chairman will immediately make a relatively favorable strategic strategy to improve the company′s technological innovation ability and innovation performance. Therefore, in enterprise management, the constraint mechanism and incentive mechanism play a crucial moderating role between entrepreneurial innovation failure and the innovation performance of enterprises. Based on the perspective of failure penalty, this paper takes the A-share listed companies in China′s Shanghai and Shenzhen stock markets from 2010 to 2016 as samples, select the corresponding incentive indicators and characteristic indicators from the chairman and the corporate level, using two estimation methods: ordinary least squares method and panel fixed effect estimation method. The two estimation methods of the law explore how enterprises in different sample situations and different technical environments, how the penalties imposed by the company on the failure of the chairman will affect the innovation enthusiasm and innovative behavior choices of the enterprise, this illustrates the relationship between failure punishment and corporate innovation performance. In order to explore the connection between them, first of all, this paper uses a model to estimate the possibility of failure to punish the chairman. Secondly, using the ordinary least squares method and panel fixed effect estimation methods to explore the relationship between the chairman′s failure penalty and corporate innovation performance. Once more, examine the interrelationship between failure punishment and corporate innovation performance in different technological environments. At length, in order to verify whether the conclusions are general, using the above two estimation methods and two-stage least squares method, test the relationship between conditional failure punishment and corporate innovation performance, and the relationship between conditional failure punishment and corporate innovation in different technological environments. And the simultaneous equation model is used to perform the robustness test.According to the results of empirical research in this paper, the following three conclusions were reached: First of all, for all companies in the sample, increasing the failure penalty for the chairman of the board can significantly enhance the technical level of the company′s innovative investment, at the same time, the restraint mechanism for term termination will largely promote the chairman to continuously improve and improve his own efforts and business capabilities. Under the pressure of failure punishment, the chairman will eventually choose innovative projects with high risks and high returns. Secondly, after further detailed research from the perspective of different industries, it is found that the conclusion that there is a positive correlation between failure punishment and innovation performance is general in different technological environments. In the case of poor business performance of the company, the chairman faces the risk of dismissal of term termination, has sufficient motivation to improve the enthusiasm of enterprise technology innovation, in an effort to make a difference in one′s tenure, as a result, the chairman′s choice of investment strategic decision-making behavior is more inclined to innovative projects that will bring breakthrough benefits to the company. In the end, after further comparing the failure penalty of the chairman with the interaction term coefficients of high-tech and low-tech companies, it is found that the impact of failure penalty on the innovation performance of enterprises is significantly higher in the sample of low-tech companies than in the sample of high-tech companies. It can be concluded that leaders of low-tech companies, in order to enable them to win in the fierce market competition environment, and quickly grow into large-scale technology companies, leaders of low-tech enterprises are likely to turn pressure into motivation and strive for technological breakthroughs. Therefore, the policy implication of this paper is that companies should improve the restraint mechanism for the failure of the chairman and match the development of the technology market. Faced with the risks and uncertainties of enterprises in the innovation process, entrepreneurs need to be alert to identify risks and actively take risks. Responding to innovation failures requires innovative entrepreneurs to make full use of the positive impact of entrepreneurship on corporate innovation performance. Related Articles | Metrics

Select

A research on the evolution dynamics of technological innovation network based on TERGMs Liu Xiaoyan, Wang Jing, Shan Xiaohong 2020, 41(4): 171-181.  Abstract ( 258 )   In order to realize the resource sharing and risk sharing during research and development, enterprises have joined in the technological innovation network to share and exchange resources, and jointly develop new products. But in reality, the technological innovation network is always in a state of dynamic evolution under the influence of various factors in industrial life cycle. This instability seriously weakens the innovation performance of the network, which not only affects the structure and function of the technological innovation network, but also affects the behavior of each individual in the network, and ultimately affects the success of technological innovation. Exploring evolutionary motivation of technological innovation network is helpful to network reconfiguration and performance improvement. Although the current research has achieved some positive results, the evolution of innovation network is not only reflected in the formation of new relationship, but also in the dissolution of old relationship. When the target node is invalid or inaction, it will be moved from the cooperative relationship, or even eliminated by the network. The research on the factors of relationship dissolution is insufficient, and it is not clear whether the factors driving the relationship formation and the dissolution are consistent. Based on the life cycle theory, the factors that dominate the evolution of technological innovation network are different at different stages of industrial development. It is also necessary to further explore the factors that play a role in the formation of relationships and the dissolution of relationships at different stages of industrial development. This paper makes up for the shortcoming of previous research and constructs an evolution dynamics model of technological innovation network based on TERGMs (Temporal Exponential Random Graph Models) by integrating firm exogenous covariates and endogenous structural variables, distinguishing the process of network relationship formation and dissolution, then empirically studies the technological innovation network of OLED (Organic Light Emitting Diode display technology) from the perspective of life cycle. Specifically, it combines the exogenous covariates (technological innovation ability and homogeneity) and endogenous structure variables (degree, edge-sharing-partner, degree-sharing-partner), and puts forward four research hypotheses: the relationship between exogenous node attribute and cooperation formation, the relationship between exogenous node attribute and cooperation dissolution, the relationship between endogenous structure variables and cooperation formation, the relation between endogenous structure variables and cooperation dissolution. The research hypotheses are as follows:H1a: In the evolution of innovation networks, individuals with strong technological innovation ability are more likely to build cooperative relationships.H1b: In the evolution of innovation networks, individuals with similar technological innovation ability are more likely to build cooperative relationships.H2a: In the evolution of innovation networks, individuals with strong technological innovation ability are more likely to avoid dissolving the cooperative relationships.H2b: In the evolution of innovation networks, individuals with similar technological innovation capability are more likely to dissolve the current cooperative partnerships.H3a: In the evolution of innovation networks, individuals with high degree are more likely to avoid building new cooperative partnerships.H3b: In the evolution of innovation networks, individuals with edge-sharing-partner are more likely to build new cooperative relationships.H3c: In the evolution of innovation networks, individuals with degree-sharing-partner are more likely to build new cooperative relationships.H4a: In the evolution of innovation networks, individuals with high degree are more likely to avoid dissolving current cooperative relationships.H4b: In the evolution of innovation networks, individuals with edge-sharing-partner are more likely to avoid dissolving current cooperative relationships.H4c: In the evolution of innovation networks, individuals with degree-sharing-partner are more likely to avoid dissolving current cooperative relationship.Then a progressive model of the evolution dynamics of technological innovation network is constructed. Using the 20-year patent application data of OLED industry from 1995 to 2014 in Derwent Innovation Index, the evolution of OLED technology innovation network is divided into four stages: the incubation stage (1995-1999), the growth stage (2000-2004), the mature stage (2005-2009), and the regeneration stage (2010-2014) according to the S-Curve of patent application, then this paper makes an empirical study on the dynamic factors of evolution on OLED technological innovation network, in which the technological innovation network is constructed by the patentee co-occurrence data from patent application data. The network structure changes significantly in different life stages: the network structure in the mature period and regeneration period presents a more complex network relationship, and finally realized network connectivity. Throughout the life cycle, the increasing network density means that the members are more and more closely connected, and the network is more and more clustered, in addition to the growth stage. The steady increase in the number of patent applications shows that technology can more and more meet the market demand, while a good market is conducive to the better development of technology, then technology and market continue to promote each other to achieve stable development.The empirical results of OLED technological innovation network show that on the one hand—about the formation of relationships, the technological innovation ability of enterprises plays a significant positive role in the incubation period and growth period, while the edge-sharing-partner shows a significant positive effect in the growth period, and the degree and degree-sharing-partner have a significant negative role in the mature period and regeneration period. On the other hand—about the dissolution of relationships, degree and degree-sharing-partner have a significant negative role in the mature and regeneration period, while other factors did not show significant effect. The results confirm that in different stages of industrial development, the factors affecting the evolution of technological innovation network are different, and the factors that affect the formation of relationship and the dissolution are also different. Finally, the validity of the proposed model is verified by MCMC diagnosis and good-of-fit test. It is proved that the model is a stable and effective model which can well describe the observation network, and the parameters included can represent the structural characteristics of the network.The main contribution of this study are as follows: in theory, it distinguishes the relationship formation and the dissolution process of technological innovation network, and puts forward the model of studying the evolution of innovation network, which is applicable to the analysis of the evolutionary dynamics of different innovation network; in practice, the empirical results of the evolutionary dynamics of OLED technological innovation network are helpful in understanding the current situation of industrial innovation network, guiding industrial innovation and realizing scientific governance. Related Articles | Metrics

Select

A study of enterprises′ technology search strategies based on technology position Zhu Shanshan, Liu Fengchao, Feng Xue 2020, 41(4): 182-191.  Abstract ( 168 )   Effective technology search is a premise for enterprises to develop new technologies and to further seek commercial value in the market, thus being necessary for enterprises to meet their technology needs especially in highly competitive industries. Although the explosive growth of knowledge and the extension of network provide much more space and path for technology search, the aggravation of market competition bring more risks to the technology search. Facing the limitation of technology search space and path as well as the constraints of internal resource and capabilities，enterprises have to constantly adjust and optimize their search strategies to save more searching costs and improve searching efficiency. This paper aims to reveal the efficient search strategies.The existing research of technology search has experienced an expansion from one dimension to two dimensions. At first, scholars mainly focused on the scope of technical search and divided technical search into local search and non-local search, internal search and external search or exploratory search and exploitation search according to cognitive boundary, organizational boundary, geographical boundary or time boundary. And then, some scholars put forward the concepts of search depth and search breadth and expanded the research of technical search to two-dimensional space. After that, some scholars found that technology search is not a discrete individual behavior and tried to use the theories of system science and ecological science to study the technology search behavior of enterprises. However, most studies ignore the analysis of technology value and only focus on technology search breadth and search depth, while those few scholars who pay attention to the value of technology in technology search have failed to construct a model with testable propositions. In addition, the existing empirical research focus too much on individual behavior and has not yet put enterprises′ technology search into the industry competition.Therefore, based on the existing research of technology search, combining the adaptive landscape theory and the view of innovation recombination, we revised the NK model of Kauffman (1995) and made it more suitable for technology search. As the behavior of enterprises to enhance their core technological competitiveness to adapt to the external market competition is similar to that of organisms to change their own genetic characteristics to adapt to the external environmental changes, this paper extracts the “genome”-technology position based on the IPC (international patent classification) combination of each patent and supposes that the greater the difference between two “genomes” means the greater the technical distance between the two corresponding technology positions, thus two adjacent technology positions have only one knowledge element (IPC) whose states are different in the two positions. In addition, every technology position is supposed to have specific value which is related to not only every knowledge element (IPC) but also the coupling relationships among those knowledge elements (IPC). Taking technology position as the basic unit, this paper constructs a three-dimensional technical landscape map which presents the distance among those technology positions and the value of each technology position. And based on this map, we analyzes the value characteristics and interrelations of the technology positions occupied by enterprises by using the revised NK model and put forwards some testable propositions about the search strategies for enterprises to search for high-value technologies more effectively. The empirical testing section is to prove the propositions derived from the NK model. In this section, pharmaceutical manufacturing enterprises above the designated size in China that have new product output in 2006-2007 and 2009-2010 are used as the sample to empirically analyze the propositions. We collected information of the enterprises from the Industrial Enterprise Database and that of the patents from the Innojoy Database. The value of one technology position is measured by the sum of the output value of new products created by the patents in this position. The empirical methods include both regression analysis and descriptive statistical analysis of cases. First, regression analysis is used to explore whether there is a significant correlation between the values of two adjacent technology positions. Second, statistical analysis of eight representative enterprise cases which are the tops in the output value of new products is used to verify the effectiveness of the strategies. We investigate the evolution path and value of these enterprises′ technological positions on the technology landscape map in the pharmaceutical industry.The results of this research show that: The values of two adjacent technology positions are related positively. In order to search for high-value technology more effectively and win more market share, enterprises should adopt different search strategies according to their different existing technical resources. For the high-value technology positions they have already occupied, enterprises should search new technology on the adjacent technology positions of these high-value technology positions, so as to occupy more high-value technology positions. For the low-value technology positions they have occupied, enterprises should expand their search space and path to improve the possibility of accessing high-value technology, most of the research and development efforts should be put into those non-adjacent technology positions far away from these existing low-value technology positions.The research significance of this paper are as follows: First, technologies with high market value contributes more to the promotion of the core competitiveness of enterprises, this paper provides guidance for enterprises to effectively search for high-value technologies based on their internal technology base. Second, technology position is a relative new basic unit to measure the technical characteristics of enterprises from the perspective of recombinant innovation. This paper clearly defines the concept of technology position, which provides a tool for the study of the adaptive behavior of enterprises in response to external market changes, and the technology landscape of an enterprise or an industry can also be drawn through the evolution analysis of technology positions. Third, the research shows that the technology search is not an independent behavior of one single enterprise but is embedded in the complex market environment, thus being affected by the related enterprises in the whole industry. Therefore, the construction of fair market competition environment is of great importance to promote the efficient of enterprises′ technology search behaviors. Related Articles | Metrics

Select

The influence of individual perception of dissimilarity and workplace ostracism on knowledge sharing behavior:A test of two moderating effects#br# Tang Yuhong, Mao Jianghua 2020, 41(4): 200-208.  Abstract ( 284 )   In the era of information technology and knowledge economy, knowledge resources are important sources for enterprises to maintain a sustainable competitive advantage. Because knowledge is dispersed, and embedded individually in organization，Only by sharing, melting and upgrading individual′s knowledge resources can the overall organizational performance be improved. However, as the case stands, it is difficult for employees to proactively share their own knowledge and experience. Therefore, how to increase the knowledge sharing behavior of employees has gradually become one of the most severe challenges faced by organizations.In the context of the globalization of economic development, diversity of staff and individual differences become the reality that managers must face. The subject of knowledge sharing is an individual within the organization. With the increase of the individual′s differences in age, character, work values and so on, Whether individual perception of dissimilarity affects employees′ knowledge-sharing behavior has not been effectively addressed at present. Answering this question cannot only theoretically enrich the factors that influence knowledge sharing behavior, but also help practitioners to remove barriers to knowledge sharing among employees.The theory of self-classification points out that the individuals will classify the society groups and divide the inner circle and the outer circle based on certain characteristics and behaviors of themselves and others, at the same time, they will show the different social interaction mode to two kinds of people. Based on the theory of self-classification, we believe individual will divide members differ from them into outsiders and show alienated interpersonal patterns (i.e. workplace ostracism), finally knowledge-sharing behavior will be reduced. Currently the research on workplace ostracism mainly focuses on the impact of on employees′ turnover intention and organizational citizenship behavior, etc. few scholars pay attention to the impact of workplace ostracism on knowledge-sharing behavior.The formation of social communication mode is not only related to the characteristics of the object of communication, but also to the characteristics of the individual itself. According to MCCLELLAND′s theory of social needs, individuals have social needs in addition to survival needs, and individuals who have different social needs often make the greatest efforts to meet their own main needs in social interaction.Individual perception of dissimilarity is the individual′s subjective psychological perception to others under the organizational situation, the individual who has different needs type may have the different attitude and behavior after feeling different from othersGuided by the above logic ,based on self-classification theory and social need theory, We built a theoretical model to explore the impact of individual perception of dissimilarity on workplace ostracism and knowledge sharing behavior as well as the moderating effects of achievement needs and affiliation needs in this process. The sample data from 356 employees and the hierarchical regression method are used to verify the hypothesis.This study opens a "black box" for the effect ofindividual perception of dissimilarity on knowledge sharing behavior. The conclusion shows that the individual perception of dissimilarity negatively affects the knowledge sharing behavior, workplace ostracism mediates the negative relationship between them, in other words，individual perception of dissimilarity influence knowledge-sharing behavior by influencing workplace ostracism，furthermore individual achievement needs and affiliation needs negatively moderate the relationship between the individual perception of dissimilarity and knowledge sharing behavior, as well as the relationship between the individual perception of dissimilarity and workplace ostracism. The higher individual achievement needs and affiliation needs, the weaker the negative relationship between the individual perception of dissimilarity and knowledge sharing behavior, and the weaker the positive relationship between the individual perception of dissimilarity and workplace ostracism. The results provide a new perspective and framework for the research of knowledge sharing.First of all, this study links self-classification theory and similar attraction paradigm and resource preservation theory with discretionary behavior in the organization. Secondly, based on the framework of theory of social needs, this study proves that the individual achievement needs and affiliation needs will influence their behavior in some ways. It emphasizes that not all individuals who perceived differences from others and suffer from workplace ostracism will refuse to carry out knowledge-sharing behavior, which can be influenced by the driving force of individual perception and internal needs. The individual achievement needs and affiliation needs are important factor to restrain the individual perception of dissimilarity and workplace ostracism. This paper provides a new perspective on how to restrict the negative effects of the individual perception of dissimilarity and workplace ostracism in the future. Finally, for the first time, this paper studies the transmission mechanism of the relationship between individual perception of dissimilarity and knowledge-sharing behavior by using workplace ostracism as an mediating variable. From the perspective of organizational management, the paper study the antecedents of workplace ostracism and its impact on employees′ extra-role behavior.At the same time, it has certain practical significance to the enterprise management practice. First, managers should manage and respect diversity in organizations, moreover recognize that each member in organization have different qualities and different ways to achieve their goals, consequently managers should create an open environment that allows employees to express their views comfortably, thereby employees conduct frequently higher-quality knowledge-sharing activities that enable them contribute unique expertise and experience to the organization. Second, managers can carry out high-level social communication and reciprocal activities through cross-functional training programs, then encourage employees to share work-related knowledge, information and skills. Managers need to identify and proactively intervene and protect employees who are excluded from the workplace. Finally, managers should distinguish the different social needs of employees, and improve the motivation of employees′ achievement needs by setting performance standards for different positions and carrying out corresponding training plans. The communication and interaction between different employees will be strengthened and the sense of belonging of employees to the organization will be improved through holding all kinds of cultural activities, such as team outreach activities and parties. Related Articles | Metrics

Select

Construction of the credit risk indicator evaluation system of small and medium-sized enterprises under supply chain finance Kuang Haibo, Du Hao, Feng Haoyue 2020, 41(4): 209-219.  Abstract ( 2911 )   Interest margin, the traditional source of income for commercial banks, has become less and less as the competition environment becomes more severe, and the supply chain financial model emerges as the times require. Develop a supply chain financial model that allows banks to more directly serve small and medium-sized enterprises(SMEs) with difficulty in financing in the supply chain, drive the flow of products, funds, and information throughout the supply chain, promote the interactive development of capital and industry, and build an industrial ecology of mutually beneficial, sustainable development, and healthy interaction among banks, enterprises, and commodity supply chains. However, as banks join the supply chain, the credit status of core enterprises and SMEs will be enlarged due to the connection of the supply chain, and the credit risk will also be expanded, and even be transmitted to the entire supply chain. Therefore, the key to the success of supply chain financial business is to further establish the credit risk evaluation system of SMEs in line with the characteristics of supply chain finance, strengthen the corresponding risk management in combination with the sources of risk, and effectively control the risk.Based on the generally recognized 5C principles in the industry and the well-organized domestic and foreign classic literature, combined with the actual characteristics of the supply chain business, this paper establishes a credit risk evaluation system that includes both the credit risk of the credit subject and the debt credit risk. On the one hand, in view of the fact that the existing supply chain financial evaluation indicator system rarely involves the credit risk factors in the supply chain, this paper makes a comprehensive analysis of the cooperation, collateral and overall operation of the supply chain of SMEs, which is more suitable for the supply chain. On the other hand, the previous literature paid too much attention to the impact of quantitative financial indicators on credit risk, ignoring the impact of other qualitative indicators and non-financial indicators. This paper has a good combination of the two types, while retaining certain financial indicators, other qualitative indicators and non-financial indicators that may have impact are added to make the indicator system more complete. This paper finally establishes a selection system of credit risk evaluation indicators for SMEs in supply chain finance. This system consists of 4 criteria levels: applicant qualification, counterparty qualification, asset status under financing and supply chain operation, 14 secondary indicators and 127 tertiary indicators.Taking into account factors such as the limitation of supply chain development level in China, and the development degree of supply chain in different industries, this paper selects the 2014-2018 years with comprehensive and complete effective data disclosure, the equipment manufacturing industry with obvious supply chain characteristics, long business development time and relatively complete and mature overall service as the empirical objects. After screening, 940 supply chain samples are formed for equipment manufacturing enterprises listed on SME Board of Shenzhen Stock Exchange in 2014-2018. This paper defines the risk factor by comparing the with-interest debt rate with the lower value of the Standard Value of Corporate Performance Evaluation. Enterprises that have higher with-interest debt rate than the lower value are identified as risky enterprises. The proportion of enterprises with credit risk is 22.45%.According to the idea of eliminating redundant information, the first screening is performed using partial correlation-variance analysis. Under the same criteria level, the indicators reflecting duplicate data information and economic meaning information with less ability to distinguish credit risk are deleted. A total of 64 indicators are deleted for indicators with a partial correlation coefficient greater than 0.6 and a smaller F value. According to the principle of overall risk factor identification optimization, the indicators group with the greatest ability of default identification is selected by gradually deleting the indicator with the greatest reduction of overall accuracy of the model through stepwise neural network, and a total of 15 indicators are deleted. In the end, a credit risk evaluation indicator system for supply chain finance with 48 indicators that significantly distinguished SME risk factors is established. The empirical results show that compared with the one-time deletion of neural network, the stepwise neural network deletion method has a great improvement in the accuracy rate of enterprises with no credit risk, enterprises with credit risk and all enterprises. Especially for the enterprises with credit risk that are more concerned by the banking industry, the accuracy rate has increased by 14.21%, reaching 84.83%. For banks, they can more accurately and comprehensively grasp the credit risk of SMEs, reduce the uncertainty of loans, improve their own profits, and control the loss of default. For SMEs, accurately identifying their own risks under supply chain finance is also conducive to giving full play to the advantages of the supply chain. With the help of the characteristics of supply chain finance, they can obtain better loans for themselves and more reasonable loan pricing and loan limit, so as to alleviate their "financing difficulties".The study found that the credit risk evaluation indicator system constructed by taking into account factors such as the profitability and solvency of the core enterprises in the supply chain, the degree of transaction between SMEs and the core enterprises, the external environment faced by the supply chain is more representative. The credit risk evaluation indicator system for SMEs in the supply chain financial environment established through the screening of the optimal principle of risk factor identification has an accuracy of 90.53% in discriminating enterprise risk factors, which is significantly higher than that of other models, and the discrimination effect is better. The credit risk evaluation indicator system constructed in this paper reflects the characteristics of credit risk of SMEs in supply chain finance, and can be applied in the process of bank evaluation of credit risk of SMEs. Related Articles | Metrics

Select

Can management ability really improve R&D effectiveness?——A study based on the perspective of internal control Ni Juan, Wang Fan 2020, 41(4): 220-228.  Abstract ( 331 )   As management remuneration continues to increase, the public begins to question whether management capabilities match their pay. If management capability drives business performance, it is reasonable to pay high salaries; on the contrary, if the success of a company has nothing to do with the ability of the leadership, then management should not charge high rewards. In response to this view, some literatures have examined the influence of management compensation on firm performance, but less literature has analyzed the relationship between management capability and firm performance from the perspective of research and development. Therefore, from the perspective of internal control, this paper studies its role in management capability, R&D investment, and corporate performance, examines the path that internal control affects competent management to improve corporate R&D performance, and reveals obstacles to the competent management to improve corporate performance.In order to answer the questions above that need to be clarified in the process of technological innovation, this paper first constructs a mediation effect model using a step-by-step method to test whether management capabilities can improve enterprise performance through R&D investment. Subsequently, in order to study the impact of internal control quality on management capability, this paper uses an intermediary adjustment model to test how the internal control affects the relationship between management capability and R&D performance.The results show that: first of all, the competent management improves corporate performance by increasing the investment in research and development, which indicates that the competent management is more able to lower financing cost and obtain more sufficient funds for innovation, so as to improve the corporate performance. At the same time, competent management is more trusted by stakeholders, so it has more say in increasing R&D investment in the company, which is beneficial to improving corporate performance. Even if companies with poor financing constraints and great uncertainty hire competent management, they will be given more say. In such companies, the competent management desire to change the financial difficulties as soon as possible, and a feasible solution is to innovate successfully and occupy the market. Therefore, they will carry out R&D innovation and try to make the enterprise achieve innovation success.Secondly, in the high-quality internal control group, even if a certain amount of research and development capital is invested, it may not be able to innovate successfully and affect the performance of the enterprise. This may be account for that high-quality internal control has stricter controls on employees, which limits their ability and initiative to innovate. In the low-quality internal control group, R&D investment is the mediating variable between the management capability and corporate performance, that is to say, the competent management of the low-quality internal control companies is capable and willing to improve business performance directly. The results of the comparison between the two groups present that, compared with the high-quality internal control, the competence of management in the low-quality internal control group improves the R&D performance of the enterprise, supporting the Hypothesis 2b. In other words, the hypothesis of "limitation of management capacity" is established, which indicates that high-quality internal control is relatively so stringent that competent management tend to waver when investing in research and development due to complicated restraints, reducing the possibility of innovation success and innovation performance.Finally, the path to explain how internal control inhibits management capability and R&D performance is that internal control restraints the ability of leadership to increase the enterprise investments in research and development. It can be seen that, with the audit committee′s review process and the approval process of R&D investment becoming increasingly strict, capability managers are afraid that their career interest will be damaged by R&D innovation failure, so they will consider to reduce the investment of some R&D projects with low success rate.In view of the above conclusions, this article puts forward the following suggestions: first, select, recruit and motivate more competent managers to be responsible for the management of R&D projects. That is to say, during the critical stage of innovation, enterprises need to give more discourse power to the competent management who are in charge of innovation project. Consequently, they can give full play to their management ability, so as to promote the improvement of innovation performance. In addition, enterprises should stimulate the innovation enthusiasm of the competent management through the incentive contract system. In order to improve the research and development performance of enterprises, the firms should adopt stock option and other long-term incentive systems, or set up R&D success award and R&D performance rewards in the remuneration, so as to motivate the competent management to make better use of their professional ability and improve the R&D performance of the company.Second, a flexible internal control system should be set up to empower competent management with a certain right to invest in research and development activities. In other words, in the tackling phase of corporate innovation, enterprises can set up a flexible audit committee working system to give competent management more power to invest in R&D projects, so that they can make judgment on investment in research and development based on their professional competence.Moreover, enterprises can set up a green approval channel. For some crucial and urgent R&D projects, the competent management can put forward temporary proposals and report directly to the chairman of the board, which can be approved by the chairman and then implemented, so as to speed up the approval process and help the competent management improve the R&D performance of the company. Related Articles | Metrics

Select

A research on securities margin trading and the effectiveness of executive compensation contract Hong Yun, Shen Shan, Yao Kaohua 2020, 41(4): 229-238.  Abstract ( 208 )    The impact of financial market on the real economy is one of the most important problems in financial economics. The securities margin trading was officially launched in China on March 31, 2010, which end the history of “unilateral market” in China′s capital market. As a financial innovation tool, the implementation of margin trading system is one of the most important reforms in China′s capital market in recent years, and is regarded as a booster to promote the effective development of China′s capital market. Extant domestic research mainly focus on the impact of margin trading on the efficiency of financial market. More importantly, the reform of the secondary financial market should also have a profound impact on the real economy, but this string of literature is still lacking. Our study will explore the governance effect of margin trading from the perspective of executive compensation.Working as the core mechanism of corporate governance system, executive compensation system is designed to reduce the agency problem, and hence improve the performance and wealth of shareholders. How to improve the compensation contract effectiveness is of great importance for the firms. According to the theory of optimal contract, a compensation system that link to the performance could help to motivate managers to work hard, which is also the optimal equilibrium when the monitoring cost is very high. However, an effective compensation system needs high-quality performance indexes. High quality means that the index is a performance measurement with low noise and could track the managers′ efforts accurately. Previous studies find that the margin trading can improve the information efficiency, information content and earnings quality of the individual stock market price, indicating that the basic indexes on which executive compensation contracts depend will become more effective. Therefore, the executive compensation contract could become more effective after the introduction of margin trading, and the contract should put more weight on the performance indexes.Therefore, this paper takes the margin trading system which started in 2010 as a natural experiment opportunity, and uses the difference-in-difference model to investigate the margin trading′s impact on executive compensation contract. We try to answer the following questions: (1) does margin trading improve the effectiveness of compensation contracts? That is, whether the accounting information sensitivity and market performance sensitivity of executive compensation will be improved? (2) Working as a new form of governance tool, how will margin trading play its role? Is it an competitive or complementary system with other governance mechanisms?Firstly, with focus on the accounting performance indexes and development of market economy system, the accounting performance-based compensation system is widely used in Chinese enterprises, since the accounting performance directly reflects the manager′s decision-making consequences. Due to their high availability and strong measurement ability, the accounting performance indexes constitute the main indexes to evaluate the manager′s performance, but the defect is that earnings data are easy to be manipulated by the management. The introduction of margin trading mechanism can effectively improve the quality of accounting performance. First of all, after the introduction of margin trading in China, the earnings management level and the probability of financial restatement are significantly reduced, demonstrating that the earnings quality of listed companies significantly improved. Secondly, the threat of short selling brought by margin trading will encourage the executives to disclose the company′s bad news before the market to reduce the “angry cost” of the public, thus improving accounting conservatism level. Finally, the introduction of the margin trading system has introduced a large number of new short sellers, thus increased the demand for negative information, and also increased the demand for high-quality analysts, thus improve the transparency of margin companies. Therefore, we expect that the target company of the margin trading will weight more on the accounting performance indexes in the design of executive compensation contract. Secondly, turning to the market performance, which is more difficult to be manipulated by the managers. Under the premise of an effective market, market performance not only measures the impact of all the past behaviors of the management, but also contains the forward-looking forecast of future performance, and also reflects the investor′s mood and psychological preference. Therefore, market performance is also an important comprehensive index to evaluate the manager′s performance. The introduction of margin trading mechanism can effectively improve the quality of market performance indexes. First of all, the short selling mechanism contained in margin trading has a strong price discovery function, which can correct the high stock price in time, make the price quickly return to the basic value, thus improve the information content of stock price. Secondly, margin trading makes short selling profitable, which will encourage short sellers to mine hidden negative information from more information sources and channels, this information intermediary effect of margin trading is helpful to improve the new information absorption speed of stock price and brings higher information efficiency. Finally, there is evidence showing that the margin trading could reduce the synchronization of stock price, makes the stock price contain more heterogeneous volatility and more individual stock information, thus improves the pricing effect of stock price. Therefore, the target company of margin trading should weight more on market performance in the design of executive compensation contract. By using the A-share listed companies in Shanghai and Shenzhen stock exchanges from 2004 to 2015 as our research samples, we adopt the difference-in-difference method to examine the relationship between margin trading and executive compensation performance sensitivity.The empirical results show that margin trading have significantly improved the executive pay-accounting performance sensitivity as well as the executive pay-market performance sensitivity, indicating that margin trading has improved the earnings quality and the market information efficiency, which facilitates the signing of more efficient executive compensation contract, thus demonstrate that margin trading has significant external governance effect. Further mechanism tests find that the utility of margin trading is more pronounced in the firms located in weaker external institutional regions, with lower internal balances, larger management power and in the private firms, demonstrating that the margin trading is more efficient in the weaker governance environments, it works as an substitute for other external governance mechanisms. Related Articles | Metrics

Select

The optimal allocation of human capital based on enterprise life-cycle—A study from the perspective of resource transformation#br# Liang Fu, Li Shuwen, Geng Xin 2020, 41(4): 239-249.  Abstract ( 221 )   Human capital is another important resource to promote the organizational sustainable development after economic and social capital, and also an important carrier to create value, improve performance and increase resource. And resource heterogeneity has an impact on performance variance in different stages of life cycle of enterprises. Previous research on human capital is mainly focused on organizational dynamic capability and resource-based view. The former focuses on the logic of organizational human capital resources, while the latter focuses on the strategic characteristics of human capital resources. In recent years, some scholars have gradually explored the influence mechanism of human capital at the organizational level from the perspective of resource integration, which should consider both the dynamic capability and the static resource. The rationality and uniqueness of the allocation and transformation of the organization′s human capital resources determine that the resources are difficult to imitate, irreplaceable, valuable and scarce, so as to strengthen the organization′s competitive advantage and core competence. But in the past, there were many disputes about the impact of human capital on performance. Configuration view emphasizes the matching homogeneity and heterogeneity between the internal structure of human capital and performance, contingency view emphasizes the situation and process of human capital, and the universal view emphasizes the management practice of human capital. However, to explore the impact of human capital on organizational performance, we should not ignore the dynamic transformation of resources, nor the uniqueness of the development stage of enterprises. That is to say, enterprises in different life cycles have different allocation conditions of human capital resources. This paper selects more than 300 managers of R & D departments of high-tech enterprises from Baotou in the Nei Monggol Autonomous Region, Zhongguancun in Beijing, Jinan in Shandong Province, Ningbo in Zhejiang and others. There are two standards for the selection of research objects: one is the enterprise with high-tech enterprise qualification certificate, and the other is the organization scale of more than 25 people, because such enterprises have relatively sound management system. We provided each of the participants with a questionnaire, and a cover letter describing the procedures of the research and the voluntary nature of their participation. The participants were assured that their ratings would be confidential and used for academic purposes only. The completed questionnaires would be collected on the spot and by e-mail. Utilizing reliability and validity analysis, descriptive statistical analysis, hierarchical regression analysis, bootstrapping and simple effect analysis, taking leader-member exchange as mediation, and environmental dynamism and environmental competitiveness as moderation, this paper conducts an empirical study on variance of resources allocation in different stages of life cycle from the perspective of resource transformation. The results show that: (1) Leader-member exchange partly mediates the relationship between human capital and organizational performance during start-up stage, growth stage and mature stages. That is, human capital improves performance mainly by strengthening leader-member exchange. (2) Environmental dynamic and environmental competitiveness moderates the indirect relationship between human capital and organizational performance respectively during start-up and mature stage, but no moderating effect is found at growth stage. (3) The interaction of environmental dynamic and environmental competitiveness moderates the indirect relationship between human capital and organizational performance. (4) At start-up stage, high environmental dynamism - low environmental competitiveness can improve the optimization of resource allocation, while low environmental dynamism - low environmental competitiveness can promote the optimization of resource allocation at mature stage.This study has three theoretical contributions: first, Despite some scholars have discovered that leader member exchange is a bridge between organizational resources and organizational outcomes，very little research has been conducted on the mediating effects of human capital with the leader-member exchange which directly and effectively influences organizational performance. Therefore, it reveals the path of human capital′s impact on organizational performance from the perspective of resource transformation, and takes the resource exchange between leader and members as the path of human resource transformation, which not only provides a new perspective for human capital research, but also enriches the antecedent research of leader-member exchange. Secondly, existing studies mainly focus on the moderating effects of region and organizational characteristics in the impact of human capital on its relevant outcome. We reveal the boundary conditions of human capital transformation from the perspective of environmental dynamism and competitiveness, expand the boundary conditions of human capital from traditional organizational elements to external environmental elements, and realize the interaction between dynamic environments such as suppliers and competitive environments such as homogeneity of competitors. Thirdly, from the perspective of enterprise life cycle, it compares the differences of human capital transformation in different stages, which provides a more specific reference for deepening human capital resource allocation and guiding human resource management practice.Meanwhile, this paper also has two aspects of practical contributions: firstly, it strengthens the resource interaction and exchange between leaders and subordinates of science and technology enterprises, especially for the exchange of human capital elements, such as knowledge resources and cognitive resources. Leaders can strengthen the frequency of resource exchange with subordinates, increase the exchange activities of knowledge, skills and experience, and promote the transformation of human capital resources to performance balancing. Secondly, science and technology enterprises attach importance to environmental factors. If the organizational resources are sufficient, they can give priority to dynamic environmental tuning throughout the life cycle, such as pursuing product iterative upgrading and service quality improvement; if the organization resources are limited, they can give priority to spreading the internal environmental change information in the initial stage, creating an internal environmental threat atmosphere, and controlling the free flow of internal and external environmental information in the mature stage. Although this paper has made outstanding contributions for human capital, there are still some deficiencies. On one hand, due to the small sample size in the recession period, no result test has been carried out in this period. But whether the allocation of human capital resources in this period is different from other periods, it remains to be further studied. On the other hand, although the influence of common method deviation on the research results is controllable, it is still suggested that further research can make up for the above shortcomings with multiple time sampling. Related Articles | Metrics

Select

Visualization analysis of hotspots and trends of international venture capital Lu Yuzhong, Tian Zengrui,Chang Beiquan 2020, 41(4): 250-262.  Abstract ( 321 )   In the context of the Chinese economy entering a new normal, the development of the venture capital industry is facing huge changes. It is necessary to learn from the advanced research results in the field of international venture capital, grasp the research hotspots and research trends, and help scholars to define the direction of venture capital research for domestic venture investment companies provide guidance and reference. This paper used a method of CiteSpace V to visualization analysis of Hotspots and Trends in international venture capital. Through literature search, we found 903 articles from 25 top international journals related to venture capital in the WOS core database. By using the above data, this paper makes a visual econometric analysis from the dimensions of "country, institution, literature co-citation clustering, emergent words, keywords" and so on. Find out the high-producing countries, institutions and authors of international venture capital research, reveal the hotspots and evolution process of international venture capital research, and explore new trends in the development of international venture capital research.In this study, firstly, we used the cooperation map function in CiteSpaceV software, from the dimensions of "country, institution and researcher", analyzes the social relations among countries, institutions and authors in the field of international venture capital research， provides a new perspective for evaluating the academic influence of countries or institutions and researchers. The research found that from the perspective of geographical distribution, the high-yielding countries studied in the field of international venture capital mainly concentrated in the United States, the United Kingdom, Canada, Germany, Italy and other developed countries. The high-yield research institutions are mainly Harvard Univ, Indiana Univ, Nottingham Univ, etc. The authors are Douglas Cumming and Mike Wright, etc. The United States consistently tops the list of productive countries, institutes and authors. Thus it can be seen that the United States, as a global power of science and technology, also leads the research in the field of venture capital. From the perspective of research innovation results, the countries with strong innovation in the field of international entrepreneurship and speculation research are the United States, the United Kingdom and Canada. The research institutions with strong innovation include Indiana Univ, Univ Minnesota, Helsinki, NBER and Lund Univ, which lead the development of the global venture capital industry. Secondly, we made a visual analysis of literature from the perspective of literature co-citation by using CiteSpaceV software, presents the main clustering of international venture capital research and the spatiotemporal evolution of research hotspots on a visual network map. The research found that (private equity return, required return, IPO firm, financial performance), (patenting inform, investing firm innovation rate), (biotech sme, entrepreneurship), (strategic investing, corporate strategy), (human capital theory) are the largest cluster, indicates that the research hotspots of scholars are mainly focused on "investment performance, innovation, entrepreneurial enterprises, investment strategies, and human resources." "The impact of human resources and education on venture capital and the impact of venture capital on corporate innovation" shows the forefront of research in the field of international venture capital.Then, we used the CiteSpaceV software to find the literature located on the key nodes, carried out one-step data mining to find out the evolutionary path of research hotspots. Research analysis shows that the research hotspots at the end of the 20th century mainly related to "allocation of control rights in venture capital, venture capital financing, venture capital companies, invested companies, IPOs, etc."; into the early 21st century, many research focuses on "entrepreneurship Investment strategy, joint investment, joint investment network, venture capitalists, senior management teams, and the impact of venture capital on startup enterprises ". In recent years, key literature studies have shown that "the impact of venture capital reputation, geographical location, foreign investors on venture capital, and the impact of venture capital on innovation" have become hot topics for scholars.Thirdly, we use the "Detect Bursts" function of CitespaceV software to detect the sudden increase in professional terms in papers published in certain years, and to comprehensively analyze the relevant academic literature and prominent word views to capture research in the field of international venture capital hot spots and development trends. The study found that the duration of the hotspots in international venture capital research shows a trend from long to short. Research hotspots include "investment strategy, investment performance, internationalization, entrepreneurship, and risk". Invested companies are the mainly focus of international venture capital research, especially in recent years, research hotspots have focused on the impact of venture capital on venture business performance, innovation, etc.Fourthly, we use the "Key Words" function of CitespaceV software to obtain a co-occurrence visualization map and a cutting-edge time zone view of international venture capital research keywords, find out the international venture capital hotspots and trends based on keyword visual analysis. The research found that there are eight research hotspots that scholars in the field of international venture capital have paid attention to: "Investment performance, venture capital institutions and investees, entrepreneurs and venture investors, venture capital markets and industries, joint investment networks, and innovation in venture companies Research, investment strategies, different types of venture capital (GVC, IVC, CVC, etc.). " Combined with the research on the key literatures above, the research hotspots can be grouped into three categories: (1) The research on the impact of venture capital on venture enterprises. (2) Research on various influencing factors of venture capital. (3) Research on venture capital networks. Research in the field of international venture capital has gone through four stages: the germination period before 1996, the growth period from 1997 to 2003, the eruption period from 2004 to 2013, and the stable growth period from 2014 to the present.Finally, in light of the current research hotspots and trends in international venture capital, according to China′s development background and the current development status of the venture capital industry, this article points out that future domestic venture capital research must pay attention to the following issues:(1) Research on venture capital investment in different locations Impact. (2) Research on the impact of venture capital in employment. (3) Research on the impact of emerging business models on venture capital. (4) Research on the impact of venture capital on the innovation ecosystem of enterprises. (5) Combine various scientific measurement tools and methods emerging in recent years to conduct empirical research in the field of venture investment. Related Articles | Metrics

Select

A research on the progress of intellectual property rights protection and innovation in developing countries#br# Li Hong 2020, 41(4): 263-269.  Abstract ( 229 )    In the past decades, widespread interest and disputes have centered around the effects of enhanced intellectual property rights (IPRs) protection on innovative capacity in developing countries. This paper begins with three theories addressing the relationship between IPRs protection and innovation in developing countries. The negative relationship theory concludes that tighter IPRs only strengthen the monopoly power of large corporations in developed countries, to the detriment of the growth of developing countries. The theory, based on endogenous growth models, assumes that innovation takes place in the North from which the South imitates. It reasons that tighter IPRs move the term of trade against the South, and that the consequent rate of innovation from the South, if responsive to this policy, would rise initially followed by decline that eventually overrides the initial rise. In Contrary, the positive relationship theory states that tighter IPRs encourage innovation from which all regions benefit. It presumes that the South can innovate based on its own technological needs and technology spillovers. As a result, lax IPRs protection reduces innovative efforts in developed countries, and subsequently hurts all countries participating in the global trade system. In this regard, tighter intellectual property rights protection would benefit the South. Lastly, the inverted–U relationship theory suggests that the relationship between intellectual property protection and innovation is inverted-U-shaped. Such relationship emerges from an interaction between learning-driven and R&D-driven technological advances, which assumes that innovation requires the input of knowledge (i.e. the accumulation of prior innovations), and that the protection of IPRs has two effects on innovation: (1) promoting innovation by inhibiting imitation and increasing profits available to innovators; (2) hampering innovation by making the process of knowledge accumulation more difficult. These two opposite effects result in a nonlinear relationship between IPRs protection and technological innovation.Based on the recent studies home and abroad concerning the relationship between IPRs protection and innovation in developing countries, this paper extracts three prevalent issues to address: measurement of IPRs protection, mechanism of the impact of IPRs protection on innovation efficiency in developing countries, and industrial differentiation of IPRs protection effects. The conclusions are summarized as follows: (1) The three theories lay the theoretical groundwork for the relationship between IPRs protection and innovation in developing countries, which provide a helpful understanding of the impact of IPRs protection on innovation in developing countries and its internal evolution based on different assumptions and models. The theoretical model with more factors considered better approximates the real world scenario. However, most theoretical assumptions are flawed. (2) The measurement of the level of IPRs protection is the basis for empirical study in this domain. At present, G & P index, IPRI index, GIPC index, WEF index, IMD index are available for such measurement. However, these indexes do not distinguish developed countries from developing countries; moreover, most domestic research on the revised G & P index only targets patent indicators, excluding trademarks, copyrights, trade secrets and other intellectual property rights. (3) The mechanism of IPRs protection on innovation in developing countries has been studied from different perspectives. From a macro perspective, research efforts are devoted to cross-country comparison and regional analysis of the incentive effect of IPRs protection on innovation; from a meso perspective, much work explores the industrial differentiation of the IPRs incentive effect; from a micro perspective, painstaking investigation is directed toward the corporate behavior of IPRs-motivated innovation. Currently, the domestic research focuses on regional analysis at the macro level, while meso level industry analysis and the micro level enterprise research are relatively inadequate.This paper finally discusses the following areas for future research: (1)The impact of IPRs protection on independent innovative capacity of developing countries. Prior studies focus on the impact of IPRs protection in developing countries on the North-to-South technology transfer channels. In the hypotheses regarding innovation-generating countries, it is generally assumed that southern countries do not innovate but imitate or that the nature of innovation is cumulative. As stated above, both assumptions are flawed. Nowadays, with the country vigorously advocating independent and disruptive innovation, it is imperative to conduct research on the impact of IPRs protection on the independent innovative capacity of developing countries.(2)The IPRs protection measurement tailor-made for developing countries. The G & P index is commonly used worldwide to measure the level of IPRs protection in various countries, but it is not suitable for countries with transitional judicial systems. At present, there is no authoritative IPRs protection index system for developing countries, and most of the current IPRs protection measurements only consider patent protection, and rarely involve trademarks and copyrights. The importance of trademarks and copyrights in economic development cannot be ignored, and more attention is urgently needed for this area. (3)The mechanism of the impact of IPRs protection on firms′ innovation efficiency in developing countries. The domestic literature mainly deals with IPRs protection and innovation in developing countries from macro-national and meso-industrial levels but lacks a micro-enterprise level analysis. Theoretical research is built on western analytical frameworks, and most empirical research employs panel data, which provides relatively simple and crude explanation. It is essential to construct theoretical research framework that embraces the characteristics of developing countries and the Southern innovation, and focus on the IPRs practices of enterprises in developing countries to conduct large-scale, in-depth and detailed enterprise-level research. (4)The industrial differentiation of IPRs incentive effects in developing countries. Different industries in developing countries have different sensitivity to IPRs incentive effects, and different levels of IPRs protection should be imposed according to different industrial traits. Currently, in terms of the mechanism of IPRs incentive effects on innovation, different channels such as domestic R&D, import and FDI have been considered, but most of them are cross-border analysis, and the industry-differentiated research is insufficient. There is also inadequacy in unified and thorough analytical framework for analyzing industrial differentiation of IPRs incentive effects. The industrial characteristic factors that restrict IPRs innovation incentive effects and their downstream mechanisms need to be further explored. (5)The subject-oriented IPRs policy research for developing countries. Nowadays, developing countries are confronted with increasing pressure from developed countries to strengthen IPRs protection. Issues of how IPRs policies respond to those challenges and what innovative efficiency shifts will result from policy adjustments are of great concern to policy makers. Enterprises, universities, and research institutions are the subjects of IPRs policy, and research on IPRs policy cannot be isolated from those subjects. Therefore,it is of great theoretical and practical value to clarify the relationship between IPRs protection and innovation in developing countries, and track the evolution of incentive effects brought by IPRs policy reforms from perspectives of different innovation subjects, thereby providing scientific reference for IPRs policy-making. Related Articles | Metrics

Select

A study of intellectual property capacity measurement for high-tech enterprises——An index model based on DEMATEL-VIKOR#br# Li Xiliang, Tian Lipu, Zhao Hong 2020, 41(4): 270-279.  Abstract ( 259 )   With the in-depth implementation of the national intellectual property strategy, intellectual property has become a strategic resource and decisive factor for improving the core competitiveness of enterprises. As a main indicator to measure the core competitiveness of high-tech enterprises, intellectual property capacity (IPC briefly) is also an important means to accelerate the transformation of intellectual property from quantitative speed to quality efficiency. Existing studies have highlighted the features of the measurement problem of IPC for high-tech enterprises, involving criteria interdependency, combination of qualitative and quantitative measurement, and consideration of gross and relative criteria. However, existing models can not satisfy the requirements of these aforementioned features. In view of this, it is necessary to present a scientific definition of IPC for high-tech enterprises and propose an effective index model to ensure the scientificity of the measurement process and the accuracy of measurement results.In Section 2, a research schemeinvolved connotation definition, criteria system and index model is designed. Firstly, the connotation definition of IPC for high-tech enterprises is given, i.e., IPC is a comprehensive capacity with basic innovation capacity as basis and conditions guarantees, and formed around intellectual property creation, utilization, protection and management processes. Five elements are involved in IPC, which are elaborated in the following, respectively. (1) Basic innovation capacity. It reflects the ability to provide the necessary sales income, R&D investment, and other material foundations for the development of intellectual property work. (2) Intellectual property creation capacity. It reflects the ability to carry out innovative activities and form various types of innovation achievements based on intellectual property investment. (3) Intellectual property utilization capacity. It reflects the ability to transform the existing intellectual property advantages into profit advantages through the commercialization and marketization of its own innovation achievements. (4) Intellectual property protection capacity. It reflects the ability to prevent and dispose of intellectual property risks. (5) Intellectual property management capacity. It reflects the ability to provide normative guidance and service support for the organization, coordination, system construction and staffing of intellectual property work. It is important to emphasize that these elements are not completely independent, but with interdependency. The improvement of the intellectual property rights of high-tech enterprises is the results of the concerted efforts, including the continued stability of basic innovation, the enhancement of quality and efficiency of intellectual property creation, the effective promotion of the utilization of intellectual property rights, the promotion of awareness of intellectual property protection, and the improvement of the intellectual property management system.Subsequently, a criteria system is constructed with a network hierarchical structure. The selection process of criteria is conducted by aguidance of the defined IPC connotation, a combination of qualitative and quantitative IPC measurement, and the balance between gross and relative criteria. Four principles are followed, i.e., criteria can be described, data can be obtained, processes can be traced, and results can be compared. Based on literature review and expert interviews, 25 criteria are determined, including product sales income, R&D investment, and so on. These criteria are further classified into five dimensions including basic innovation capacity, intellectual property creation capacity, intellectual property utilization capacity, intellectual property protection capacity and intellectual property management capacity. Thus, the network hierarchical structure of the criteria system is finalized with goal layer, dimension layer, and criteria layer as well as dimension interdependency and criteria interdependency.Then,an index model for IPC measurement is constructed based on DEMATEL-VIKOR. The process of IPC measurement is divided into three stages. The first stage is criteria interdependency analysis. In this stage, referring to the idea of DEMATEL method, the criteria interdependency is quantified to achieve the determination and visualization of the importance and classification of criteria, and the computation of dimension criteria weights and the overall criteria weights. The second stage is criteria data processing. In this stage, for qualitative criteria described in the form of “Yes or No”, it is converted into 0-1 information. For quantitative criteria, 1-norm is used to standardize the criteria values according to the cost-benefit type of criteria. The last stage is index measurements for IPC and each dimension. Based on the idea of VIKOR method, the subjective preferences of experts are integrated into the IPC measurement. Next, the IPC index and dimension index of each enterprise are determined by taking into account the maximum utility of the participating companies and the minimization of individual regrets. Thus, the compromise ranking of IPC of each enterprise can be obtained.In Section 3, an empirical study is conducted based on the collected intellectual property information of 615 sample enterprises from 2013 to 2015. Based on the proposed DEMATEL-VIKOR model, the collected data are processed to obtain the IPC index and dimension index of sample enterprises. The computation results are further compared from the perspectives of cross years and different decision mechanisms. This study shows that: (1) the measurement results can facilitate administrators to judge their real level and annual development trend of IPC, and clarify their advantages, disadvantages and the gaps with peers, (2) the measurement results are significantly influenced by the selection of decision mechanisms, verifying the effectiveness of the proposed model.The main contributions of this study are as follows. First, it enriches the connotation of IPC. Combining the typical characteristics of high-tech enterprises and their higher requirements for intellectual property rights, the connotation of IPC is defined. The five-dimensional elements including the "basic innovation capacity - intellectual property creation capacity - intellectual property utilization capacity - intellectual property protection capacity – intellectual property management capacity" are further clarified, respectively. Second, an IPC criteria system with a network hierarchical structure is constructed. Based on the principles that criteria can be described, data can be obtained, processes can be traced, and results can be compared, the criteria for IPC measurement are selected, and a network processing of criteria interdependency is conducted according to the non-bidirectional equivalence of the criteria. Third, an index model based on DEMATEL-VIKOR is proposed. The design of the measurement process of the model fully echoes the characteristics of the IPC measurement problem of high-tech enterprises. The criteria interdependency analysis and criteria data processing are used to solve the criteria interdependency, as well as the combination of qualitative and quantitative measurement and the balance between the gross and the relative criteria, respectively. At the same time, the model is with a clear solution and strong practicability. It not only can realize the visualization of the importance and classification of criteria, but also provides necessary decision support for the formulation of IPC improvement strategies. It also incorporates the subjective preferences of experts and considers both the maximization of group utility and the minimization of individual regrets, making the measurement results of IPC closer to reality. Related Articles | Metrics

Select

DEA evaluation of the S&T achievements transformation efficiency: A study of 24 universities under the Ministry of Education#br# Wang Zhaochen, Zhang Chunpeng, Dong Hongxia 2020, 41(4): 280-288.  Abstract ( 257 )   Universities are the source of R&D and innovation and an important part of the national innovation system. How to improve and evaluate the efficiency of universities′ S&T achievements transformation has become a topic of intense importance for the academic as well as the scientific management departments. Series of laws and regulations has issued to promote the transformation of S&T achievements. One requires that it is necessary to establish a performance evaluation system for scientific research institutions and universities on S&T achievements transformation, which shall be used as a reference for supporting the units. The establishment of an evaluation system needs to clarify the concepts related to the transformation of scientific and technological achievements, establish a reasonable evaluation index system, and support decision-making with credible results. 9 articles using DEA method to evaluate the efficiency of universities′ S&T achievements transformation in China over last decade have been examined. The index selection, however, is controversial. Many articles include basic research data, process data as well as counting indicators in the assessment, which hardly provides robust support for the performance management. According to the Law on the Promotion of theS&T Achievements Transformation, scientific and technological achievements refer to the practical value produced through research and development. This view does not include the process of production of scientific knowledge. In order to accurately assess the efficiency of the transformation of scientific and technological achievements in universities, it is more reasonable to adopt this narrow view. Therefore, basic research data related to the production process of results should not be used for efficiency evaluation.Most of the literature use the income amount of transformation in combination with various process indicators and counting indicators. Some literatures even only have counting indicators at the input or output end, and there is no indicator reflecting the amount or scale, which is easy to weaken the scale indicators to achieve performance assessment. The counting index is difficult to reflect the scale effect of the transformation results, and may lead to be countable but not effective for evaluation. Also, the process indicators are used in parallel with the input and output indicators at different stages, which could weaken the core indicators. In addition to the above-mentioned types of problems, the correlations of some indicator with the transformation of S&T achievements are relatively low.This paper proposes a refined candidate index system, uses the super-efficient SBM DEA method, evaluates the transformation efficiency of the S&T achievements in 24 Chinese universities directly under the Ministry of Education. The type of universities is divided according to the Chinese Education Online. The indicator data of this paper is derived from the annual report of "Collection of Science and Technology Statistics of Colleges and Universities" by the Ministry of Education and "the National Research and Development Institutions and Higher Education Institutions′ Achievements Report" (2017) by the Ministry of Finance and the Ministry of Science and Technology. Data from 2010 to 2014 within the collection is selected as the relevant input indicators, the output data is summed up from 2015 to 2016 within the report.This paper constructs a single “input-output” indicator system. According to the definition of narrow results transformation, the default indicator system does not contain basic research data; it highlights the transformation income performance orientation, excluding process measurement indicators. The input index of the default system is the manpower and capital investment of applied research and experimental development, R&D results application and technology service; the output indicator is the contract value of transfer, licensing, and investment in S&A achievements transformation. The manpower input is set to reflect the scale of the university′s achievements transformation activities, and the amount of funding contracts is mainly set to reflect the effectiveness of the results transformation activities. In order to compare and analyze the impact of the basic research data, the process counting index and the “three technology” service contract amount to the efficiency results of transformation, other 3 indicator systems have been set as comparation. Based on the default system, basic research data has been added into the input indicators in the reference system A, the reference system B adds the number of patent grants within output indicators, and the reference system C adds the amount of “three technology” service contracts within output indicators.The results show that in the default index system 4 universities are considered to be relatively effective. Appropriate DEA analysis can suggest the typical universities in practice. Tsinghua University and China University of Geosciences (Wuhan) are relatively effective but not referenced, which showed under the established input-output index system they has its own characteristics, and that is in line with the actual practice.Compared with the default group, the overall transformation efficiency of the A group decreased slightly, the order changed slightly and the overall order of the comprehensive colleges declined. Compared with the default group, the overall transformation efficiency of the B group was greatly improved, the number of relatively effective colleges increased significantly, the order changed obviously, and the relative order was statistically different. Compared with the default group, the overall transformation efficiency of the C group was is improved, the number of relatively effective colleges is increasing, and the order changed apparent. The conclusion is that in order to accurately assess the efficiency of S&T achievements transformation in universities, it is necessary to clarify notions of indicators. It is not appropriate to mix basic research, process indicators and counting indicators into efficiency evaluation in the single stage DEA. The analysis also exemplifies that the process indicators and counting indicators have a significant impact on the results, mixing the basic research data will be difficult to accurately reflect the efficiency of various universities.For universities and S&T management departments, the “three technology” contract identification and statistical norms should be clarified to avoid pseudo-S&T achievements transformation activities taking free riders. Related Articles | Metrics