The impact of Managers´ lawyer background on the relationship between innovation and market share

We study the relationship between innovation and market share of all the listing firms in China A-share market. What´s more, we also examine the effect of managers´ lawyer background on the relationship between innovation and market share. Using the data from 2003 to 2012, we find that innovation can positively promote the market share and market share growth of the listing firms and managers´ lawyer background can contribute to the positive impact of innovation on market share and market share growth. The positive impact is dismissed when the firms do not have a lawyer connection. In order to control endogeneity, we also examine the impact of innovation on the market share of the related next period, and we get the similar results. Our results hold, when we change the proxy of market share and innovation.