The Development Of Industry Clusters Under The Impact Of FDI

In the research of industrial district, from Marshal to contemporary economists, the corporations` cluster is always the important study object. Although the multinational companies participation is more pervasive in clusters, they are been ignored. Recently more and more scholars begin to recognize the facts any pay attention to this problem and the international business research scholars as leaders exploit this research field. Therefore this article is answer follow questions: First, does Foreign Direct investment (FDI) affect the start-up of industry clusters? Second, does FDI play any role in growing industry cluster? Is there any negative effect with the participation of FDI in the industry cluster? There is no doubt that to answer the questions will setup a guild which can play important role to guild china how to attract the FDI.Based on the theoretical and practical case studies, we think the participation of FDI do affect the start-up of some industry clusters, helps the growing of industry cluster and also would bring some negative effects in the long run ,if FDI does not deeply root in industry cluster. There is six parts of this paper. The first chapter briefly introduces the background and meaning of this paper; the second chapter begin form review of theoretical research of industry cluster and then discuss the relationship between FDI and industry cluster; the chapter begin to illustrate how FDI affect the industry cluster, combining with the actual cases studies, this chapter explain the conditions of formatting industry cluster and how does FDI help the industry cluster to start up; The fourth chapter focus on the development of industry cluster under the impact of FDI, we believe FDI is the bridge for the industry cluster to connect with world industries and FDI can play a very important role on the technological advances of industry cluster. This chapter finally analysis the negative effects which comes from the FDI; The fifth chapter gives the meaningful policy recommendation on the basis of analysis of the FDI in China. The final chapter is the conclusion of this paper.