A Study on the Relationship Between Technical Independent Directors and Enterprise Innovation Under Media Attention
Zheng Yong, Lai Anqi, Rongrong Lin, Yong Hu · Journal of Finance and Accounting · 2021
Independent director system plays a unique role in increasing the diversity of board members and increasing a company's intellectual capital. Based on prospect theory and signal theory, the media can also be considered to change the reputation level of independent directors on the board of directors of listed companies by disclosing relevant information about them and company operations. Moreover the media attention can not only accelerate the dissemination and promotion of knowledge and information, but also weaken the competitiveness of companies, reduce the value of companies, and then weaken their enthusiasm to invest in innovative projects This paper takes listed companies in the Chinese information technology industry from 2012 to 2017 as the research object and uses the multiple linear regression method to model the relationship between technical independent directors and enterprise innovation under the attention of the media. It is found that the technical independent director plays a positive role in consulting, supervising and strategic decision-making, which can improve the company’s innovation performance. At the same time, media attention weakens the positive impact of technology independent directors on enterprise innovation. The outcomes improve our understanding of the role of media in enterprise innovation and provide a new perspective and reference value for the construction of independent director systems and enterprise innovation.