Managerial ability and R&D expenditure

• Main Authors: Bo-Yuan Zheng, 鄭博元
• Other Authors: Chih-Wei Wang
• Format: Others
• Language: en_US
• Published: 2018
• Online Access: http://ndltd.ncl.edu.tw/handle/57b3wm

碩士 === 國立中山大學 === 財務管理學系研究所 === 106 === Nowadays, under the fierce competition, the companies invest more resources into the Research and Development (R&D) expenditure to earn more benefit. Most of the resources are obtained from internal or external financing, besides, some of the resources are provided from the managers (CEO) or the supervisors. Next, we consider that the greater the managerial ability is, the more resources are provided. Therefore, I intend to investigate the relationship between managerial ability and R&D expenditure. In this paper, I use the MA score to evaluate the managerial ability and put other control variables of firm characteristics into regressions. In the end, we find that managerial ability is positively related to R&D, especially for financing constraint and small firm. Also, our evidences support that firm performance, growth and investment opportunity play significant role in R&D activities. In small firm and financial constraint firms, our results conclude that leverage is an important factor and the results are negatively significant in two groups.