Research On The Influence Of FDI On The Innovation Ability Of Listed Companies In Science And Technology Service Industry

Under the background of the era of knowledge economy,modern service industry has become an important force to promote the stable development of the economy,and also provides strong support for the development of traditional industries,such as manufacturing.As an important part of the modern service industry,the science and technology service industry,transforming modern knowledge and technology into intangible intellectual services,is one of the most closely integrated areas of technology and economy.With the continuous increase of China's reform and opening up,more and more multinational enterprises have aimed at the domestic low-cost labor market,and have entered the domestic market in the form of sole proprietorship or joint venture.On the one hand,multinational corporations enter or participate in the production and operation activities of host enterprises,bringing foreign advanced technology,production technology,management concepts,marketing strategies and other knowledge into the domestic market,and involuntarily spreading to domestic enterprises,thereby promoting local economic development and technological progress;on the other hand,to obtain more profits,multinational corporations will use intellectual property policies to form technical protection to prevent technology transfer or spillover,and domestic enterprises cannot obtain benefits from core technology spillovers.At the same time,due to the entry of foreign advanced technologies,domestic enterprises will become technologically dependent,which has led to a reduction in domestic enterprises' investment in independent innovation and even “extrusion effect”.Based on this,this study takes the listed companies in China's science and technology service industry as an example to discuss whether foreign direct investment has spillover or extrusion effect on the innovation and development of science and technology service industry? Or both?Firstly,after reviewing related literatures at home and abroad,this study finds that the impact of foreign direct investment on the innovation ability of service enterprises is two-way.Knowledge capital and absorptive capacity are important factors.Foreign direct investment will have an “overflow or crowding out effect” on domestic intellectual capital,which differs by the absorptive capacity.Secondly,this study utilizes the data envelopment analysis method(DEA model)to measure the technological innovation efficiency of the sample enterprises,and based on the result,to compare the absorption capacity of the sample enterprises.Then,employ the SPSS to extract the three dimensions of sample enterprise knowledge capital,named human capital,organizational capital and relationship capital.Otherwise,using the data of listed companies in the technology service industry in 2012-2017,this study constructs econometric models from industry level and enterprise level,analyzed by multi-level regression analysis.At the same time,the mediator variables of the enterprise intellectual capital and the adjustment variables of the absorptive capacity are introduced to explore how FDI can contribute to the improvement of the company's innovation ability.The study mainly draws the following conclusions:(1)The degree of openness of foreign investment in the industry has a restraining effect on the innovation ability of enterprises.(2)Foreign shareholding enhances the innovation capability of enterprises by promoting the accumulation of human capital and relationship capital.(3)Strengthening the exchanges and cooperation between upstream and downstream enterprises in the industry is conducive to the improvement of the innovation capability of the science and technology service industry.(4)Expanding the degree of foreign investment in the industry will inhibit corporate innovation,and increasing foreign shareholding will promote enterprise innovation.And,for listed companies with low absorption capacity,foreign shareholding will have a depressing effect on their innovation ability.Finally,this study proposes countermeasures to curb the “extrusion effect” of foreign direct investment from the aspects of policy and management.On policy: Adjust foreign investment policy,improve the investment and financing environment of domestic enterprises;guide high-quality foreign capital to the science and technology service industry,and promote the upgrading of the service industry.On management: Actively cultivate the internal intellectual capital of the enterprise,enhance the ability of independent innovation;effectively utilize foreign direct investment,and enhance the ability of digestion,absorption and re-creation.