OFDI Reverse Technology Spillovers And Home-country’s Industry Structure Optimization

With the continuous strengthening of the trend of economicglobalization, capital’s international flowing has had a profoundinfluence on the development of national economies. Technologyhas become the key factor that decided the success or failure in themarket competition in all various that affected the development ofenterprises. Therefore, the technology-seeking OFDI has becomeone of the ways in seeking technology’s leapfrog development tomany countries, especially in technologically inferior countries.With the growth of OFDI in developing countries, The OFDI’s reversetechnology spillovers of home-country become the focus ofacademic research.China’s foreign direct investment obtained the swift and violentdevelopment with the average annual growth rate of more than 50%since government established the "going out" development strategy.Under the background of economic globalization, a country’sindustrial structure adjustment is carried out within the frameworkof the world’s industrial structure adjustment, and technologicalprogress is the important factor influencing the optimization ofindustrial structure. Therefore, the research of the relationshipbetween OFDI reverse technology spillover and the home country’s industry structure optimization has important theoretical andpractical significance.On the foundation of previous studies, author analyses themicro-macro mechanism on OFDI reverse technology spillover topromote their industrial structure optimization , and has a empiricaltest using the relevant data, further uses concrete example toexplain. Finally, puts forward the corresponding suggestion andadvice combined with the present situation of the OFDI in China andempirical results.Through theoretic research and empirical test, this paper drawsthe following conclusions: First, OFDI has reverse technologyspillover effect, but the effect is rather small because the OFDIscale is relatively small, and the industry and regional distribution isnot balanced. Second, technical progress can promote theoptimization of industrial structure in china, but the effect is small.Third, the reasonable industrial structure promotes economicgrowth, and then promotes OFDI increasing, but the empirical testis not good. Last, the absorption capacity is weak, so the innovationability on foreign technology is weak.