Religion Diversity And Outward Foreign Direct Investment

This paper uses the Logit regression model to qualitatively analyze the influence of religious diversity,ethnic diversity and its interaction variables on the strategy of foreign direct investment in China from 2002 to 2007.This paper verifies the influence mechanism of religious diversification in export market on the foreign direct investment of Chinese enterprises from two aspects.Firstly,the diversity of religion through the credit level to conduct,making overseas investment enterprises are facing greater investment risk.Secondly,religious diversity,ethnic diversity of overseas investment,making itself living in the information disadvantage of Chinese enterprises are facing more information costs,management and coordination costs.Thirdly,the pluralistic religious culture directly affects the consumer behavior pattern,which makes the consumption structure of goods diversified,and challenges the scale,production efficiency,management model and heterogeneity of overseas direct investment enterprises.Based on the data of the three dimensions of the state,the enterprise and the time,it is found that the religious diversity of the host country is negatively related to the overseas direct investment,that is,the Chinese enterprises are more inclined to choose the countries with lower religious diversity and lower ethnic diversity investment.