The Effect Analysis Of International Service Outsourcing On Chinese Enterprises Technological Innovation

With the continuous development of globalization of service industry,many developing countries hope to learn advanced foreign technology and management experience through undertaking international service outsourcing,and utilize technology spillovers to promote domestic technological innovation.Technical competence is one of the main sources of a company's continuous competitive advantage.International service outsourcing provides opportunities for developing countries to integrate into the global production system with the role of the contractor,improve their technological level,and finally increase their position in the global division of labor system.Software outsourcing and service are the main forms of the global IT service market division.Its development has become an irreversible trend in the global industrial revolution and industrial shift.With the new round of global industrial restructuring which is characterized by service industry transfer,the global software outsourcing service market is continuously expanding.IT industry companies that want to maintain their own competitive position must improve their own technological innovation capabilities.Based on the existing research results,the views of academics on the impact of undertaking international service outsourcing on technological innovation in IT industry enterprises are not exactly the same.The research results of some scholars indicate that undertaking international service outsourcing has a positive effect on the technological innovation of enterprises,while many scholars have concluded that undertaking international service outsourcing has a negative effect on companies after conducting empirical analysis.This paper intends to focus on the IT industry on the basis of research at home and abroad,making empirical analysis from the company level,and providing micro-level explanations and evidence for research on the impact of Chinese companies undertaking international service outsourcing on their technological innovation.First,this paper selects 117 IT companies listed on the Shenzhen and Shanghai stock exchanges as the research objects in the computer application segmentation category under the Shenwan industry classification.In the selection of variables,the enterprise's technological innovation capability can be measured by the level of the company's innovation input and the level of innovation output.This article uses the proportion of the company's R&D expenditure to operating revenue as a measure of R&D input.The company's international service outsourcing business is measured by the proportion of the company's international service outsourcing revenue in the year.In addition,combining the existing research,this paper also conducts empirical analysis on the enterprise scale,asset-liability ratio,and government subsidies as control variables.When examining the impact of international service outsourcing on technological innovation of contracted companies,in order to compare the technological innovation capabilities of contracted and non-contracted companies,a dummy variable Dv was constructed for regression analysis.The coefficients of dummy variables were positive,although the regression results is not very significant,but it can still demonstrate that the undertaking of international service outsourcing has a positive effect on the input and output of technological innovation of enterprises.The research takes the international service outsourcing index as an independent variable for regression analysis,and uses the Hausman test to complete the screening of the model.The regression results indicate that international service outsourcing and R&D expenditures and R&D personnel share a significant negative correlation.In terms of technological innovation output,the increase in the ratio of international service outsourcing business will lead to an increase in the number of patent applications,indicating that undertaking service outsourcing promote the increase of technological innovation output of enterprises.The empirical evidence in the previous section shows that the technological innovation input of international service outsourcing contractors has reduced while the technological innovation output has increased.It can be assumed that the undertaking of international service outsourcing has promoted the improvement of the efficiency of undertaking technological innovation of enterprises.The regression results show that the relationship between international service outsourcing and enterprise technology innovation efficiency is not significant.The assumption that undertaking international service outsourcing can improve the efficiency of technology innovation of the receiving companies is not yet supported.This means that it maybe difficult to improve the technological innovation efficiency of the companies by undertaking international service outsourcing.The research conclusions of this paper are as follows:(1)Undertaking international service outsourcing is conducive to improving the enterprise's technological innovation capability;(2)Undertaking international service outsourcing to enable contracted companies reduce the input intensity of technological innovation;(3)High asset-liability ratio has a significant inhibitory effect on enterprise technological innovation Input;(4)it is difficult to improve the technological innovation efficiency of the receiving companies by undertaking international service outsourcing.According to the findings of this study,the following recommendations are made:To the enterprise level:(1)Actively undertake international service outsourcing;(2)Increase R&D investment;(3)Avoid falling into technology traps.To the government level:(1)expand the openness of the software industry;(2)fully play the role of government subsidies;(3)further improve the institutional environment.