An Unremitting-Pursuing Model And The Technology-Seeking Outward FDI

Under the background of economical globalization, FDI plays an important role for firms to increase profit and for countries to develop economy. As the economy- takeoff of new-rising industrialized countries and some developing countries, more and more developing countries begin to invest directly in developed countries. The aim of this thesis is trying to explain the FDI of developing countries (technology-lagged countries) to developed countries (technology-leading countries) from the view of technology-seeking. The research of this phenomenon can give a theoretical support to the FDI of developing countries to developed countries, at the same time, it will provide a reference to the economical policy-making of the government and investment strategy-choosing of the firms in developing countries.On the basis of endogenous growth theory, this thesis studies the influences of the stock of knowledge (technology) on the increment of knowledge, and explains the technology-seeking FDI of technology-lagged countries to technology-leading countries by building the unremitting-pursuing model of technology. The thesis holds that: with enough capital, human resource and technology-enhancing policies, technology-lagged countries may achieve technology-pursuing by FDI to technology-leading countries. This thesis analyses Japan's FDI to the US and Europe in 1980s, and finds that the aim of Japan's FDI to US and Europe is to seek topping technology. By enough absorption of leading technology and innovation, Japan successfully achieve the goal of technology-pursuing in some fields.Some conclusions of this thesis are:First, the precondition of achieving technology-pursuing is technology-lagged countries'FDI to technology-leading countries, especially for firms of developing countries. Second, not all the technology-lagged countries can achieve technology-pursuing by FDI, only the technology-lagged countries that posses enough capital and well-educated manpower can successfully achieve technology-pursuing. Third, innovation is the necessary condition for a technology-lagged country to accomplish technology-pursuing. Fourth, the absorptivity to leading technology and the environment of policies and laws have influences on the speed of technology-pursuing.