A Study On The Influence Of IFDI On Nascent Entrepreneurship And Young Business Entrepreneurship

Since the “Public Entrepreneurship and Innovation”,China's entrepreneurial activities have shown an active trend.The entrepreneurial awareness,innovation ability and participation of entrepreneurs have all improved.However,China is considered to be a country with many entrepreneurial opportunities and weak entrepreneurial capacity.The survival rate of entrepreneurship in China is low,and the lifespan of new ventures is very short.The rapid growth of entrepreneurship has not brought about the expected economic growth,but has weakened the employment creation and reduced economic growth.Therefore,it is very necessary to improve the quality of domestic entrepreneurship.Nowadays,the factors of production between countries flow frequently,and the inflow of FDI has great influence on the business environment and potential entrepreneurs of the host country.However,the effect of IFDI on entrepreneurial activities has not reached a consensus conclusion.In this thesis,it is very important to study the impact of IFDI on entrepreneurship at different stages and the impact of IFDI on sustainablility of entrepreneurship.At the same time,the thesis has certain reference value on how to introduce foreign capital to improve the quality of entrepreneurship.Based on the Global Entrepreneurship Monitor,the World Bank and the UNCTAD database,the thesis selects the non-balanced panel data of 71 countries from 2001 to 2014,builds regression models,and uses the STATA14.0 software to empirically study the impact of IFDI on nascent entrepreneurship,young business entrepreneurship,and the impact of IFDI on the transition from nascent entrepreneurship to young business entrepreneurship.First of all,the thesis defines the concept of nascent entrepreneurship,young business entrepreneurship,IFDI,then summarizes the factors affecting nascent entrepreneurship and young business entrepreneurship according to the entrepreneurial process model,providing theoretical basis for the selection of control variables in the empirical part.Secondly,the thesis proposes research hypotheses,which base on the theory and characteristic facts of IFDI affecting total early-stage entrepreneurial activity.Then,the thesis uses the fixed individual effect model to verify the research hypothesis,and further verifies the reliability of the benchmark regression results by robust test.Finally,the thesis summarizes the regression results and proposes corresponding policy recommendations based on the conclusions.The conclusions of the thesis are as follows: First,IFDI,institutional environmental regulation dimension promote nascent entrepreneurship and young business entrepreneurship;secondly,IFDI has a significant positive impact on the transformation effect from nascent entrepreneurship to young business entrepreneurship,and a perfect institutional environment is conducive to promoting the transformation of nascent enterprises into young business entrepreneurship.In view of the above conclusions,the thesis proposes policy recommendations for actively introducing foreign capital,restricting enterprises to invest abroad in excess,and improving the institutional environment to improve the quality of Chinese entrepreneurship.The main innovations of the thesis are as follows:Firstly,the thesis divides total early-stage entrepreneurial activity into two stages,nascent entrepreneurship and young business entrepreneurship,and adds different control variables to the econometric model to comprehensively analyze the impact of IFDI on the two stages of entrepreneurship;second,the thesis studies the impact of IFDI on the transformation effect from nascent entrepreneurship to young business entrepreneurship,and analyzes the role of IFDI in the growth stage of new ventures.