Identification of high- and new-technology enterprises, supplier relationship and technological innovation: Evidence from China

This paper investigates the effect of the identification of high- and new-technology enterprises on technological innovation from the perspective of supplier relationship for Chinese listed firms over 2007-2020. The results show that the identification of high- and new-technology enterprises significantly promotes technological innovation, verifying the effectiveness of the program. Further, the identification of high- and new-technology enterprises can promote technological innovation by reducing inventory cost. Higher supplier concentration and higher financial constrains will weaken the effect of the identification of high- and new-technology enterprises on firms’ technological innovation. This paper offers a new perspective to talk about the effect of IHNTE on firms’ technological innovation.