Research On The Influence Of Cultural,Geographical And Religious Differences On China's "The Belt And Road" Investment

Since 2013,China has proposed and continuously promoted “The Belt and Road” policy.At the 19 th National Congress of the Communist Party of China in 2017,it wrote “The Belt and Road” into the party constitution,emphasizing the importance of “The Belt and Road”.Further promote the joint construction of the Belt and Road.With the implementation of this policy,the economic ties between China and the countries along the country have become increasingly closer.China's investment in countries along the route has continuously promoted the economic development of these countries and provided an important force for its economic growth.Under this background,it has explored and influenced China.The variable factors of foreign investment have gradually become one of the key researches of scholars.In past studies,scholars mostly started with traditional economic factors,but with the increasing number of economic exchange activities between China and the countries along the route,they explained China's investment in“The Belt and Road” from multiple factors such as culture,geography and religion.The impact is particularly important.This paper first elaborates the influence of cultural,geographical and religious factors on the basis of combing,summarizing and summarizing predecessors' researches,and lays a theoretical foundation for subsequent analysis.Secondly,this article defines the interpretation of China's foreign investment from three directions: cultural distance,geographical distance and religious factors,and estimates the three explanatory variables.Afterwards,the paper selected panel data from China and 31 countries along the “Belt and Road” for the period from 2006 to 2016,and conducted an empirical analysis.In the end,the conclusions of this paper are summarized,and based on the empirical results,relevant policy recommendations are provided for China's foreign investment focus and policy improvement.Research shows that:(1)When China invests in countries along “The Belt and Road”,both cultural distance and geographical distance are negatively related to foreign investment.That is,the smaller the cultural distance between the host country and China,the more similar the culture is,the closer the geographical distance is.It is conducive to attracting Chinese investment.(2)When China invests in countries along “The Belt and Road”,religious factors have a positive effect on investment.Specifically,the lower the religious pluralism index(that is,the more monolithic religion)and the higher degree of liberalization,the more favorable it is for investment.(3)After comparing countries where religion has an impact on legislation,we can see that in countries where religion has no impact on legislation,in addition to geographical distance,whether economic factors,cultural distances or religious factors,these variables have stronger effects on investment than Countries where religion has an impact on legislation.From this we can conclude that in the process of investing in countries along the “One Belt and One Road,” Chinese companies should first select countries that have little geographical distance and similar culture,and that have no influence on the legislation,so as to save investment costs and reduce investment risks.