Research on Political Ecology,Government Innovation Subsidies and Dual Innovation

Abstract Book of the 19th International Conference on Modern Research in Management, Economics and Accounting

Year: 2026

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Research on Political Ecology,Government Innovation Subsidies and Dual Innovation

Prof. Dongfang Qiu, Mengting Yao, Nurbo Wulipan

ABSTRACT:

Improving the innovation capacity of enterprises is an important micro guarantee for China’s high-quality economic development, and appears to be crucial on the road to enhancing the country’s core competitiveness. In recent years, China has been able to significantly improve its innovation capacity, but the gap between R&D intensity and major developed countries is still large, and certain key technologies have yet to be broken through. In order to improve the innovation level and the innovation capability of enterprises, the government has introduced a series of innovation incentives, one of which is the government innovation subsidy discussed in this paper. Government innovation subsidies provide financial support for enterprises, reduce the pressure of their innovation costs, and inject new vitality into their innovation. Since the 18th National Congress of the Communist Party of China (CPC), the country has continued to strengthen the construction of a clean and upright political ecology, and the domestic political ecology has significantly improved and corruption has been effectively curbed. China’s continuously and continuously optimized political ecology provides an excellent experimental scenario and institutional environment to study whether there is a moderating role of political ecology in the relationship between government innovation subsidies and firms’ dual innovation.
This paper takes high-tech listed enterprises as samples to study the impact of government innovation subsidies on corporate dual innovation and the moderating role of political ecology on the relationship between the two. The results show that： （1）government innovation subsidies have a significant positive impact on both exploratory and exploitative innovations；（2）government innovation subsidies provide stronger incentives for exploratory innovations；（3）political ecology positively regulates the relationship between government innovation subsidies and dual innovation of enterprises. So the government should re-examine the impact of government innovation subsidies on enterprises with different innovation orientations, strengthen the corruption governance system and promote firms’ dual innovation based on strengthening the political ecology.

Keywords: Government Innovation Subsidy, Dual Technological Innovation, Political Ecology, Anti-corruption