Research On The Technological Innovation Effect Of China’s Foreign Direct Investment

With the development of China’s economy,China has bought into the ranks of world powers,but there is still a certain distance from the world powers.China continues to promote the strategy of strengthening the country through science and technology,enhance domestic innovation capacity and promote the development of science and technology.The improvement of China’s independent innovation capability requires not only increasing domestic R & D investment,but also learning foreign experience and new knowledge.Due to the enhancement of the awareness of intellectual property protection and technology blockade,learning foreign technology and experience through trade and foreign direct investment is greatly restricted.Therefore,it is of great practical significance to study the reverse spillover effect of technology from the perspective of FDI channels in order to improve the innovation ability of China.The purpose of this paper is to study the relationship between foreign direct investment and innovation ability of Chinese enterprises,and analyze the current situation of foreign direct investment,the current situation of independent innovation and the existing problems,so as to provide a new way to improve the independent innovation ability of China.In this paper,the existing research is expanded from two aspects: one is to study the impact of FDI on technological innovation represented by patents,and to further refine the types of patents;the other is to classify the FDI objects in various regions of China,so as to study the impact of the differences between FDI objects on technological innovation.Based on this,this paper uses the panel data of 28 provinces and regions from 2008 to 2017 to make regression analysis on FDI and patent authorization number;secondly,it further refines the proxy variables of technological innovation,including the number of invention patent authorization,utility model patent authorization and external design patent authorization number,so as to study the difference of technological innovation effect of FDI Then through the analysis of the regional structure of FDI flows,the investment objects are divided into developed countries and developing countries,to study the impact of FDI differences on technological innovation.At last,the conclusion and suggestions are given.The main conclusions of this paper are as follows: first,foreign direct investment has played a certain role in promoting technological innovation characterized by the number of patent authorizations.Foreign direct investment is conducive to the technological innovation of Chinese enterprises.Second,foreign direct investment has promoted technologicalinnovation characterized by the number of patent authorizations,but there are obvious differences in this promotion.The promotion of invention patents is relatively small,mainly in the aspect of design and utility model patents with low innovation level.Thirdly,there are obvious differences in the technological innovation effect of FDI in China.When FDI flows to developed countries,the innovation effect on technology is more obvious.To a certain extent,the research of this paper enriches the research on the technological innovation effect of foreign direct investment at home and abroad,as well as how to improve the technological innovation effect under the limited foreign investment in China,which provides an important reference value.