The Effect Of Chinese Overseas R&D Investment On The Cultivation Of Technology-intensive TNCs

This paper discusses mainly about the effect that Chinese overseas R&D investment will have on the cultivation of technology-intensive TNCs, with the combination of theoretical analysis and empirical methodology. Firstly, with the aid of the Eclectic Theory of International Production and other theories, the paper probes into the issue theoretically. Secondly, through the cases studies of Chinese overseas R&D investment launched by some technology-intensive enterprises such as Huawei, Lenovo and Holley, this paper testifies the hypothesis put forward above. Thirdly, according to the synthetical results of theoretical analysis and empirical methodology, this paper reaches the conclusion that Chinese overseas R&D investment has great effect on the cultivation of technology-intensive TNCs. Namely, it enables Chinese technology-intensive enterprises to utilize the location specific advantages of rich R&D resources in the host countries; it enables Chinese technology-intensive enterprises to enhances their ownership specific advantages by improving their core-competency and status of the global value-chain; it enables Chinese technology-intensive enterprises to build up internalization advantage by overcoming imperfectness of external markets. Lastly, this paper puts forward some suggestions of countermeasures to the government and technology-intensive enterprises respectively .