Abstract On the basis of clarifying the concept, basic characteristics and theories of peer effects in corporate investment, this study traces the sources of research on peer effects in corporate investment from wave phenomena, herding behavior and peer effects. Based on relevant literature, this study analyses the development of peer effects in corporate investment and reviews the three major research themes of peer effects in corporate investment: the identification, the influencing factors and the economic consequences. On this basis, this study proposes that the future research could rethink the effective method of classifying peer firms, explore the theoretical study of peer effects in Chinese cultural and institutional context, and expand the study of the economic consequences of peer effects in corporate investment.
