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http://dx.doi.org/10.21186/IPR.2022.7.4.097

The Impact of Chinese SMEs' Financial Structure on Innovation Efficiency  

Wang, Yiqi (Department of Public Education, Jilin Economic Management Cadre College)
Sim, Jae-Yeon (Dept. Of Management, Sehan University)
Publication Information
Industry Promotion Research / v.7, no.4, 2022 , pp. 97-108 More about this Journal
Abstract
This paper examined the impact of financing structure on the innovation efficiency of SMEs by constructing an econometric model using panel data of SMEs listed on the SME board from 2010 to 2020 as the research sample. The innovation efficiency of SMEs was measured by the Stochastic Frontier Analysis (SFA), the relationship between financing structure and innovation efficiency of SMEs was examined with the help of the Tobit model, and the corresponding heterogeneity analysis was conducted. Finally, the robustness of the model was tested. It was concluded that the effects of debt and equity financing on the quantitative efficiency of innovation were non-linear and mainly showed an inverted "U" shaped relationship. For innovation quality efficiency, bond financing could positively contribute, while equity financing negatively inhibits. Finally, the corresponding advice was given.
Keywords
Debt financing; Equity financing; Innovation Efficiency; Financial Structure; Stochastic Frontier Analysis (SFA);
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Times Cited By KSCI : 2  (Citation Analysis)
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