Abstract: The firms don’t only rely on the capacity construction, such as the R&D behavior for innovation, but also seeking for outside help, that is rent-seeking, in the transitional economy. The research investigates the relationship between the corrupt practices and the R&D investment through the data provided by the World Bank, we measure the corrupt practices through the entertainment costs of firms. The results show that a significance positive relationship exists .We have consider the endogenous problem and an instrument variable regression is selected to make sure the result is robust enough. However, the result doesn’t mean that a positive promotion of corruption to the innovation of firms, on the contrary, strengthening the monitoring of power, perfecting the construction of innovation system and creating a fair and transparent business environment is critical to improve the innovation ability of firms.