Effect of Cash flow on the R&D investment of Pharmaceutical Companies - focused on KOSDAQ market

제약회사의 현금흐름이 연구개발투자에 미치는 영향 -코스닥시장을 중심으로

  • 이문재 (고려대학교 보건정책관리학부/보건과학연구소) ;
  • 최만규 (고려대학교 보건정책관리학부.대학원 보건과학과/BK21PLUS 인간생명-사회환경 상호작용 융합사업단)
  • Received : 2015.06.25
  • Accepted : 2015.07.08
  • Published : 2015.08.28


The purpose of this study is to analyze the influence of the cash flow of pharmaceutical companies on R&D investment. 143 pharmaceutical companies listed in the KOSDAQ market from 2009 to 2013. Financial statements and comments in general and internal transactions were extracted from TS-2000 of the Korea Listed Company Association (KLCA), and data related to stock price was extracted from KISVALUE-III of NICE Information Service Co., Ltd. STATA 12.0 was used as the statistical package for panel analysis. The summary of the findings and the interpretation of the significance of this are as follows: First, the current ratio (internal finance) had a positive influence on R&D investment. Second, the debt ratio (external finance) had a negative influence on R&D investment. The pharmaceutical company prefers internal funds to external funds due to the asymmetry of information in the loan markets. In other words, this shows why internal finances have a significant influence on R&D investment at pharmaceutical companies.


Pharmaceutical Companies;R&D Investment;Cash Flow;Internal Finance;External Finance


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