Research On The Home Country Economic Effect Of Chinese Firms' Outward Foreign Direct Investment

With the development of globalization and the enhancement of cross-border capital flows,more and more enterprises tend to multinational firms and transfer their production,sales and services to destinations to save their cost,achieve scale economies and obtain technology spillover.As the developing country conducting the most OFDI,China's investment mode,investment characteristics and investment strategies have also received lots of attention.With the development of the "Going Out" strategy and the "Belt and Road" initiative,Chinese enterprises have also begun to have the ability to enter the international market and integrate into international competition through OFDI.However,the surging of the world economy,not only creates new opportunities for China's enterprises in their "Going Out",but also produces new challenges for them.Therefore,China's enterprises need to answer the question such as how to grasp the opportunities in "Going Out" strategy for themselves.China's government need to find an appropriate way to support the "Going Out" enterprises.Based on the micro-data of Chinese enterprises' OFDI,this paper explores how the OFDI of Chinese enterprises can bring about the benefits for themselves.Since the OFDI of an enterprise has to pay high costs,all enterprises need to trade-off their costs and benefits.Among all the benefits an enterprise could gain from its OFDI strategy,the growth of productivity,the increase of investment at home country and the expansion of scale,especially the export scale are the most important parts.Therefore,in this paper,I first explores the productivity promotion effect and the internal investment effect of OFDI.Then,I explore the export and export spillover effects of the OFDI.This paper adopts the standard research theory and scientific rigorous research method in the investigations of OFDI's productivity promotion effect,internal investment effect and export spillover effect.The marginal contribution of this paper mainly includes the following points.First,this paper not only distinguishes China's OFDI enterprises according to their investment characteristics as horizontal OFDI,vertical OFDI and production-related services OFDI for research,but also provide classification criteria for them.This paper shows that there are great differences on the productivity promotion effects,the internal investment effects and export spillover effects of different types of OFDI.Secondly,this paper take the close relationship between the OFDI and exports in its investigation.The results also show that there is a substitute or complementary relationship between the productivity promotion effect of China's OFDI and the productivity promotion effect of exports.At the same time,export is also an intermediary mechanism for multinationals in their internal investment.Finally,this paper fully considers the externality in multinationals' “going out” strategy by investigating the export spillover effect.This paper is divided into seven chapters,the specific content and main views are as follows: The first chapter of this paper is an introduction,for the study background and significance,research content and ideas are summarized.I also point out the innovation points and shortcomings of the thesis.The second chapter is literature review.I review the existing literature on the effects and motivations of OFDI and clear the main concerns and shortcomings of the existing research.In the third chapter,this paper analyzes the destination,industry and regional distribution of China's OFDI from both macro and micro perspectives.I also define the characteristics and types of OFDI by analyzing and grasping the specific characteristics of China's OFDI.The fourth chapter of this paper mainly explores the productivity promotion effect of different types of OFDI and the relationship between the learning by investing effect and the learning by exporting effect.Chapter five studies the internal investment effect of different types of OFDI and the formation mechanism of this effect.In the sixth chapter,I explores the export spillover effect of the production-related service OFDI.The above three chapters are the core of the empirical research in this paper.Chapter seven is the conclusion and policy recommendation based on the results of the above chapters.I put forward practical and reasonable suggestions for China's OFDI not only for state,but also for enterprises.I also give some suggestions on the possible research direction in future.