An Empirical Research On The Influence Of FDI On The Industrial Clusters Of China's Electronics And Information Industry

In the era of knowledge economy,Electronics and Information Industry is a pillar and strategic industry dominating science and technology, economic, personnel and military in the world. Since the 1990s,the development of the Electronics and Information Industry in China has drawn the whole world's attention,and Three Major Electronics and Information Industry Clusters have been formed in the country. As one of the largest industries in FDI absorption,the development of Electronics and Information Industry Clusters is more profound impacted on FDI.Research on the relationship between FDI and Industrial Clusters is the hot in recent years .There are many theoretical and empirical studies on the influence of FDI on the industrial clusters. However,generally some of them are focused on aspects of enterprise, and some on the whole industrial sector and the manufacturing sector. There are few studies on a specific sector which still remain in the stage of experience research,without using empirical methods. Firstly,This paper summarizes the correlated theory and defines the concept,and then analyses actual conditions of the Electronics and Information Industry and FDI of our country. On the basis of theory and reality,it makes empirical analysis of the impact of FDI on the Electronic and Information Industrial Clusters in China. This paper analyses not only the effect of FDI on China's Electronics and Information Industry but also the difference among the Three Major Industry Clusters and other parts of China by using 224 inter-provincial panel data in Electronics and Information Manufacture from 1999 to 2006. It sets up dummy variables and uses the method of OLS,and results show that there is positive spillover effect on China's Electronics and Information Industry. The unbalanced development between regions are exacerbated by FDI. In the same circumstances including FDI,the development of Industrial Clusters is significantly faster than other regions. Finally,this paper gives out some suggestions on taking full advantage of FDI for the development of China's Electronics and Information Industry Clusters.