Venture Capital, Ownership Concentration and Enterprise R&D Investment

We empirically examine the relationship among venture capital (VC), ownership concentration and enterprise R&D investment. Drawing on the data of China's GEM from 2010 to 2014, we find that VC and enterprise R&D investment are significantly positively correlated while ownership concentration and enterprise R&D investment are significantly negatively correlated. Further research shows that in the VC-backed companies ownership concentration has no significant impact on R&D investment.