LAPSE:2023.34304
Published Article
LAPSE:2023.34304
Examining the Interactive Endogeneity Relationship between R&D Investment and Financially Sustainable Performance: Comparison from Different Types of Energy Enterprises
April 25, 2023
This paper employs the cluster analysis to classify the energy sector into three types, namely, technology-, capital-, and labor-intensive energy company. It then studies the interactive endogenous relationship between R&D investment and financially sustainable performance and the moderate effect of the executive incentive through three-stage least squares (3SLS) of the simultaneous equations model (SEM). The results show that for the technology-intensive energy company, an increase in the previous period in R&D investment improves the current period of financially sustainable performance, and the improvement in the current period in financially sustainable performance results in a decline in financially sustainable performance in the next period, which demands an increase in R&D investment subsequently. In contrast, for the capital-intensive energy company, R&D investment can significantly improve the financially sustainable performance in the current period, and the improvement in financially sustainable performance can also promote the intensity of next period R&D investment. For the labor-intensive energy company, R&D investment depends on the company’s previous period returns, while R&D investment has no significant impact on the financially sustainable performance in the current period and the next period. In addition, the salary incentives for executives have a significant positive moderate effect on the relationship between R&D investment and financially sustainable performance, especially in the technology-intensive energy company, while equity incentives for executives do not show any significant effect in the sample for different types of companies.
Record ID
Keywords
D investment, endogenous relationship, energy enterprises, executive incentive, financially sustainable performance, R&
Subject
Suggested Citation
Si K, Xu XL, Chen HH. Examining the Interactive Endogeneity Relationship between R&D Investment and Financially Sustainable Performance: Comparison from Different Types of Energy Enterprises. (2023). LAPSE:2023.34304
Author Affiliations
Si K: College of Social Science, Tsinghua University, Beijing 100084, China
Xu XL: College of Tourism, Hunan Normal University, Changsha, Hunan 410081, China
Chen HH: School of Business, Macau University of Science and Technology, Taipa, Macau 999078, China
Xu XL: College of Tourism, Hunan Normal University, Changsha, Hunan 410081, China
Chen HH: School of Business, Macau University of Science and Technology, Taipa, Macau 999078, China
Journal Name
Energies
Volume
13
Issue
9
Article Number
E2332
Year
2020
Publication Date
2020-05-07
Published Version
ISSN
1996-1073
Version Comments
Original Submission
Other Meta
PII: en13092332, Publication Type: Journal Article
Record Map
Published Article
LAPSE:2023.34304
This Record
External Link
doi:10.3390/en13092332
Publisher Version
Download
Meta
Record Statistics
Record Views
87
Version History
[v1] (Original Submission)
Apr 25, 2023
Verified by curator on
Apr 25, 2023
This Version Number
v1
Citations
Most Recent
This Version
URL Here
https://psecommunity.org/LAPSE:2023.34304
Original Submitter
Auto Uploader for LAPSE
Links to Related Works