The Influence of “One Belt One Road” Initiative on Chinese Enterprises’ Heterogeneity and Innovation

Abstract

The Belt and Road Initiative is a cooperative initiative proposed in 2013 to build the “New Silk Road Economic Belt” and the “21st Century Maritime Silk Road”. An effective and effective regional cooperation platform, and actively develop economic partnerships with countries along the route. The “Belt and Road” initiative, as a new engine for China to comprehensively promote opening-up, will inevitably bring about continuous dynamic changes in the internal and external environment of the company and its resource base To some extent, this will break the balance between the organization and management model of the enterprise, the market environment, and the resources it grasps. This research is based on the “Belt and Road” initiative, which has a differentiated impact on the innovation behavior of enterprises with different characteristics. Provide a richer and in-depth understanding for the follow-up of the “Belt and Road” initiative and the smooth implementation of innovation by enterprises. In the research design, this paper selects the 2013-2020 China Shanghai and Shenzhen A-share listed companies as the research sample, adopts the double difference method, and hypothesizes that the “Belt and Road” initiative has an effect on the innovation of enterprises. According to the research needs, the samples were screened, the financial and insurance industry samples and the ST and *ST samples were excluded, and a total of 7228 samples of 1218 companies were obtained. Winsorize the continuous variables and use the clustering robust standard error estimation to control the potential Sequence autocorrelation and heteroscedasticity problems. In the measurement of corporate innovation, three indicators of corporate management efficacy (M1), operational efficacy (M2) and marketing efficacy (M3) are selected to measure corporate innovation (MOI) for quantification. The results of this research show that the “Belt and Road” initiative promotes the innovation of enterprises. The initiative supports the resource endowment of enterprises and the market environment in which they are located, and encourages enterprises to actively respond and follow up through innovation. A sub-sample regression analysis was conducted based on the degree of product market competition and the location characteristics of the company. The test results show that sufficient product market competition can enhance the role of the “Belt and Road” initiative in promoting corporate innovation. The conclusion of this paper is that the “Belt and Road” initiative has an incentive effect on corporate innovation. The implementation of the “Belt and Road” initiative has significantly improved the innovation level of enterprises supported by the initiative. Companies with fierce competition in the product market will capture development opportunities through more active innovation. Under the impact of increased certainty and increased product market competition, more active innovation can be carried out. The research provides decision-making basis for Chinese enterprises to carry out innovation and promote the implementation and implementation of national innovation strategies, and is of great significance.