Study On The Impact Of Multinational Company Research And Development Investment To China's Technology Innovation

Within fifteen years, there are more than one thousand MNCs (Multinational Company) R&D centers set up in China with larger scale and new features from the first one in 1994. China has become one of the most important choices of MNC R&D investment. MNC R&D investment in China not only brought R&D fund, update knowledge and managing experience, but also accelerate the technical improvement of our companies. Meanwhile, it also absorbed nature resources and human resources of our country, and grasped huge market profits. So our young company is at a disadvantage, nature resources and human resources are lost, resulted in the slowness of technical innovation. MNC is a double-edged sword. So the developing countries should set up their own R&D system and buildup their own technical innovation abilities at the same time of relied on the technical improvement which is brought by MNCs. It would be an important and long term task faced by Chinese government and companies that how to take the advantage of MND R&D investment to upgrade China status in international work divisions and reduce their disadvantages.This article is divided into five chapters. First of the article, adopted the MNCs R&D investment theorems, on the one hand I formulate foreign scholars' view on MNCs R&D investment theories and their positive research and on the other hand foundations I analyze Chinese scholars' view in order to settle the theoretical same problems. Then I expound the status quo of MNC R&D investment in China from the course, features and motivate. According to the theories and actually status, I analyze the advantages and disadvantages of MNC R&D investment in China with demonstration and case study. Last I gave out some suggestions to both Chinese government and local companies and suggest make great efforts to improve our macroscopic technical innovation environment, human resource development environment and local companies' technical innovation management in order to turn the disadvantage to the advantage and accelerate local technical improvement.In this article, I take the global famous multinational company and leap ahead in semi conduct industry—Intel R&D investment in China as a case study. I analyze the motivate of Intel to set up R&D center in China and its infections to the whole local semi conduct industry, then validate the thesis.