文章基本信息

标题：The Role of R&D Investment in Firm Valuation for Small and Medium Korean Companies
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作者：Gee-Jung Kwon
期刊名称：Asian Social Science
印刷版ISSN：1911-2017
电子版ISSN：1911-2025
出版年度：2014
卷号：10
期号：15
页码：169
DOI：10.5539/ass.v10n15p169
出版社：Canadian Center of Science and Education
摘要：As technology innovation gains attention as a key value-relevant factor, many researchers raise questions about the conventional assumption that the market value of equity is a linear function of technology innovation. This study takes the view that R&D, as a proxy for technology innovation, helps promote firm value in ways dependent on firms’ characteristics and market structure. To explore this argument, this study collects data from small and medium companies listed on the Korean stock markets covering from 2001 to 2011. The results show that R&D contributes to the promotion of the market value of equity, which, as a proxy for firm value, is in turn found to be nonlinearly associated with R&D according to a firm’s characteristics and market structure. This paper indicates the need to employ a nonlinear value relevance model in assessing the market value of equity as a function of the R&D investments of small and medium Korean companies.