Keywords; Employee-friendly practices; Human capital; R&D investment; Sustainable innovation; Value creation theory
학회소식
[2019년 제 3차] Friendly Innovation? Employee-Friendly Practices, Sustainable Innovation, and Firm Value
작성자 : 관리자
조회수 : 110
게시일 :
2019-08-29
In this study, we examine whether employee-friendly practices are associated with
innovation through R&D investment, and whether firm value is related to employee-friendly
practices and R&D investment. We find significantly positive associations between employee
friendliness and R&D investment and between firm value and employee friendliness when R&D
investment is high, based on a large sample of U.S. firms. Both positive relations hold when we
account for corporate governance. In addition, using the list of Fortune’s “100 Best Companies to
Work For” as an alternative measure of employee-friendly policies, we find firms with higher
R&D investment are more likely to treat their workers favorably. Furthermore, we find that the
market reaction is more positive when firms with higher R&D investment are selected in the
Fortune list. This evidence supports our sustainable innovation hypothesis and value creation
theory.
