The Impact Of Financing Constraints On Chinese Enterprises' OFDI

With the " The Belt and Road " guide line putting forward,the power of endogenous of China enterprises to "go abroad" is growing.More and more China enterprises choose the way of outward foreign direct investment into the international market.However,because most Chinese enterprises have the problem of financing constraints,this may inhibit the decision of foreign direct investment of Chinese enterprises to some extent.The financing constraints associated with foreign direct investment based on the literature reading and study,firstly this paper briefly introduces the research background,significance and research methods;then the financing constraints theory and FDI theory literatures,and introduces the theoretical model and the assumptions of this article;and then the status of foreign direct investment China enterprises the analysis through the construction of financing constraint index;the empirical hypothesis was tested;finally put forward the policy suggestionsBased on the data of listed companies and OFDI data from 2003 to 2014,this paper constructs the financing constraint index from three aspects:endogenous financing capability,commercial credit capacity and external financing ability,and studies the influence of financing constraints on Chinese enterprises' OFDI through empirical test,and robustness test is performed with SA index.The results show that:firstly,the financing constraint constrains the FDI behavior of Chinese enterprises;secondly,the higher enterprise productivity can alleviate the restraining effect of financing constraints on the foreign direct investment behavior of enterprises;thirdly,Enterprises and private enterprises are more affected by financing constraints.Fourth,compared with the industries with high dependence on external financing,the marginal effect of financing capacity on the dependence of foreign financing is more significant;Fifth,the financial constraints on the enterprise from eastern coastal areas are lighter than the constraints on the western region.