Outward foreign direct investment and domestic innovation performance : evidence from China

Research output: Journal Publications and Reviews (RGC: 21, 22, 62)21_Publication in refereed journalpeer-review

32 Scopus Citations
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Author(s)

  • Chongyang Zhou
  • Jin Hong
  • Yanrui Wu
  • Dora Marinova

Related Research Unit(s)

Detail(s)

Original languageEnglish
Pages (from-to)81–95
Journal / PublicationTechnology Analysis and Strategic Management
Volume31
Issue number1
Online published20 Jun 2018
Publication statusPublished - Jan 2019

Abstract

The existing literature has explored the existence of reverse technology spillover through outward foreign direct investment (OFDI), which means domestic firms improve their technological innovation and productivity due to overseas investment activities. This paper aims to examine how the host country affects reverse technology spillover from OFDI. The findings show domestic innovation performance (DIP) is positively related to OFDI in developed countries while it is negatively related to OFDI in transitional and emerging markets. It is also found that financial development and human capital weaken the positive relationship between OFDI in developed countries and DIP and also weaken the negative relationship between OFDI in transitional and emerging markets and DIP. These results are further confirmed through robustness checks.

Research Area(s)

  • Outward foreign direct investment, technological innovation, technology spillover, technology transfer

Citation Format(s)

Outward foreign direct investment and domestic innovation performance : evidence from China. / Zhou, Chongyang; Hong, Jin; Wu, Yanrui; Marinova, Dora.

In: Technology Analysis and Strategic Management, Vol. 31, No. 1, 01.2019, p. 81–95.

Research output: Journal Publications and Reviews (RGC: 21, 22, 62)21_Publication in refereed journalpeer-review