Why do R&D investments differ in different high-tech enterprises? The role of board background

Despite the key role of R&D investments in building and maintaining innovative capabilities, the R&D investments in different enterprises differ significantly. Why do R&D investments differ in different high-tech enterprises? To answer this question, we focus our research on the effects of board background on the R&D investments of high-tech enterprises based on resource dependence theory and upper echelons theory. Using the samples of the listed high-tech enterprises in China from 2007 to 2009 and the method of multiple linear regressions, we find that education degree of board, output-oriented professional background of board and heterogeneity degree of board's occupational background are all positively correlated with R&D investments. The result suggests that board background is one of the important reasons why R&D investments differ in different high-tech enterprises, which can provide some references for board construction in China.