Factors Influencing the Amount of Business Expenditure on R&D in Iran; three different industries

Document Type : Research Paper


1 Department of Information Technology Management, Tarbiat Modares University, Tehran, Iran

2 Department of Industrial Management, Allameh Tabataba'i University, Tehran, Iran


The purpose of this study is to identify the factors influencing business expenditure on R&D (BERD) in Iran. The methodology of this research is quantitative and a sample including 27 R&D managers of businesses in the fields of pharmaceutical industry, nanotechnology, and advanced materials were selected and gathered data were analyzed by Structural Equation Modeling with Partial Least Squares approach using SmartPLS. The results confirmed the hypothesis of the influence of financial and non-financial resource in addition to the influence of competence or cooperation between companies on BERD at 95% confidence level. Moreover, it was shown that public policies and regulations have a meaningful influence on the availability of financial and non-financial resources. Regarding the amount of influence, factors related to the competence or cooperation between companies have the most influence on the amount of BERD; after that, the availability of non-financial resources and financial resources influence the amount of BERD.