Technology Spillover Of FDI, Market Competition And Technological Innovation Ability Of Domestic Enterprises

In recent years, as the level of economic globalization becomes higher, a large of foreign capital was brought into high-tech industry of China. This change brought advanced technology, but also intensified market competition. So we have to consider if the "change market for technology" is feasible, and whether the loss of market share of domestic enterprises is really exchange for innovation capability.Through summarizing the research studies on FDI technology spillover, market competition and the technical innovation capacity, and combining the research purpose, this article proposed a study frame:the relation of FDI technology spillover, market competition and the technical innovation capacity, to examine the effect of FDI technology spillover and market competition to technical innovation capacity of domestic enterprises, at the same time, examine the regulation of the technology gap between domestic and foreign-fund enterprises, the absorptive capacity of domestic enterprises to the relation of FDI technology spillover and technological innovation capacity. This study combined the hypotheses and theory frame of this study, then do empirical analysis based on the theory frame. This research adopt 11 years of panel data among 14 high-tech industries, then used Eview6.0 software for the empirical analysis, such as descriptive statistics, regression analysis, so that this research can get results, then make relevant policy recommendations based on the results.This paper has drawn conclusions as follows:(1)FDI technology spillover can promote the technological innovation capacity of domestic enterprises signally; (2)The effect of market competition to technological capacity of domestic enterprises is negative for short-term, and positive for long-term;(3) The absorption capacity of domestic enterprises can promote the relation between FDI technology spillover and technological innovation capacity of the domestic enterprises; (4)The technology gap between the domestic and foreign owned enterprises can suppress FDI technology spillover and technological innovation capacity of the domestic enterprises, but not so obvious.