STUDY ON THE IMPACT OF GOVERNMENT SCIENCE AND TECHNOLOGY INNOVATION SUBSIDIES ON ENTERPRISE TECHNOLOGICAL INNOVATIVE ABILITY BASED ON THE PERSPECTIVE OF INTERNAL CONTROL

In the context where Chinese government has been constantly increasing science and technology innovation subsidies but only made few achievements, the factors affecting the effect of science and technology innovation subsidies from the government have become hot issues. Taking high-tech listed companies between 2013 and 2016 as samples and applying the data envelopment analysis (DEA) method, this paper launches studies on R&D input and output of enterprises, so as to measure their innovative ability. As indicated in the empirical results, government science and technology innovation subsidies have lifted enterprise innovative ability, and further studies have shown that internal control is positively regulating the impact of government science and technology innovation subsidies on enterprise innovative ability. The study not only proves the positive impact of government science and technology innovation subsidies on enterprise innovative ability, but also figures out one way for China to further improve the effect of government science and technology innovation subsidies, which is government science and technology innovation subsidies shall be granted to the enterprises with highly effective internal control.