Patient Capital and Corporate High-Quality Development: Evidence from China

Based on signaling theory and principal-agent theory, this study takes the new development philosophy as the entry point and systematically examines the impact of patient capital on corporate high-quality development and its underlying mechanisms. The results show that patient capital is significantly positively associated with corporate high-quality development. This conclusion is still supported after a series of robustness checks and endogeneity treatments. Mechanism analysis shows that the capital guidance effect and the governance optimization effect are the two core transmission channels in the relationship between patient capital and corporate high-quality development. External monitoring, represented by analyst coverage and research report coverage, positively moderates the relationship between patient capital and corporate high-quality development. Heterogeneity analysis shows that the positive effect of patient capital is more pronounced in eastern China, non-strategic emerging industries, Little Giant enterprises, and state-owned enterprises. This study not only provides empirical support for guiding various types of capital to establish a long-term value investment philosophy, but also offers decision-making references for enterprises to promote high-quality development strategies within the framework of the new development philosophy.