Analysis Of The Influence Of OFDI On China's Innovation Capability

With China's growing economic strength,China began to invest in foreign countries.In order to encourage Chinese enterprises to invest abroad,the Chinese government has implemented the "going global" strategy.The strategy of "going out"encourages Chinese enterprises to go out of the country and make Chinese enterprises participate in the tide of globalization."2015 Chinese foreign direct investment statistical bulletin" data show that in 2015 China foreign direct investment amounted to $1456.7,total foreign direct investment in 2014 has significantly improved,the flow size only to the United States($299 billion 960 million),more than Japan,ranking second in the world.As of the end of 2015,China has more than 2.02 foreign direct investment enterprises in china.Since 2003,the relevant authorities of the Chinese authorities released the annual data,China's foreign direct realization of 13 consecutive years of growth,in 2015 the flow is in the year of 2002,the annual average growth rate of 2002-2015 was as high as 35.9%.Chinese comprehensive national strength increasing,"The Belt and Road" construction and international cooperation to accelerate productivity,foreign investment policy system more perfect,more bilateral pragmatic cooperation and further promote the common Chinese power enterprises to "go out",China foreign investment into the fast track of development.The importance of technological innovation for a country is self-evident.Technological innovation can promote the economic development of a country from a macro point of view.As China continues to integrate into the global market,foreign investors have increased their investment in China's economy,which has promoted the development of Chinese enterprises.Chinese companies have begun to catch up with developed countries in some areas,a change that allows Chinese companies to seek opportunities for foreign investment.The existing literature has proved that FDI has a significant impact on a country's innovation capability.The research object of foreign direct investment in foreign countries is developed countries,and it is not significant for china.In recent years China started the research of foreign direct investment,the relatively small number,mostly of foreign direct investment,and foreign investment China has become a very important phenomenon,this study can make the Chinese business and government can be found in the method of promoting enterprise development.China's economic strength is increasing,due to economic strength,China began to implement the "going out" strategy.As China's foreign direct investment continues to grow,the research on the impact of foreign direct investment on China is of practical significance.In this paper,we first define several important concepts in theory,then comb the theory of foreign direct investment,and finally analyze the impact of OFDI on innovation ability.In the empirical part,this thesis carries out an empirical study based on the model of R&D,foreign direct investment in the host country will be divided into two groups,a group of high innovation ability of our country,a group of low innovation ability of our country,influence of direct investment in the two groups of Chinese based on innovation ability.The results show that FD1 in developed countries has a significant impact on China's innovation capability.Then,the paper studies the impact of foreign direct investment on three levels of innovation ability.The conclusion of this paper:Chinese direct investment on the high national innovation capacity has China role to enhance the innovation ability,and China direct investment on the low national innovation capacity is not high;China direct investment on national innovation capacity have positive impact on the model innovation and two innovation,but the promotion of independent innovation significant.This paper combines the theory and practical analysis of the reasons for this empirical results:This paper selected high innovation ability countries are developed countries,developed countries have a high level of technology,technology spillover;Chinese absorption capacity is weak,resulting in foreign direct investment and the independent innovation ability is not significant.According to the theoretical analysis and empirical results,this paper puts forward suggestions:first,should increase Chinese foreign direct investment;second,in the choice of location,should choose the developed countries;third,enterprises should strengthen the independent innovation ability;fourth,we need to carry out the transformation of scientific research innovation system.