Advanced Search
MyIDEAS: Login to save this article or follow this journal

Technology Transfer to China through Foreign Direct Investment


Author Info

  • Stephen Young
  • Ping Lan
Registered author(s):


    YOUNG S. and LAN P.(1997) Technology transfer to China through foreign direct investment, Reg. Studies 31, 669-679. This paper examines the current problems in transferring technology into China through FDI. Empirical evidence shows that the extent of technology transfer is fairly limited but at the level expected given China's developing country status and technological capacities. Given the size and growth of the market, however, substantial opportunities exist for increased technology transfer with appropriate policy changes. The potential for utilizing FDI as an instrument of technological development in a Chinese context is greater than theory would suggest. YOUNG S. et LAN P. (1997) Le transfert de technologie a destination de la Chine par l'investissement direct etranger, Reg. Studies 31, 669-679. Cet article cherche a examiner les obstacles actuels au transfert de technologie a destination de la Chine par l'investissement direct etranger. Des preuves empiriques laissent voir que la portee du transfert de technologie s'avere assez limitee mais au niveau attendu etant donnela situation de la Chine en tant qu'un pays en voie de developpement et sa capacite technologique. Cependant, etant donne l'importance et la croissance du marcheet a l'aide des changements de politique appropries, de grandes possibilites existent quant a un transfert de technologie accru. Les possibilites d'utiliser l'investissement direct etranger comme outil de developpement de la technologie en Chine depasse la theorie. YOUNG S. und LAN P. (1997) Technologietransfer nach China mittels auslandischer Direktinvestierung, Reg. Studies 31, 671-681. Dieser Aufsatz untersucht die gegenwartigen Probleme beim Technologietransfer mittels auslandischer Direktinvestierung (Foreign Direct Investment/FDI) in China. Empirische Beweise zeigen, dass der Umfang des Technologietransfers ziemlich beschrankt ist, doch sich in Anbetracht Chinas Kapazitaten und seines Status als Entwicklungsland auf der zu erwartenden Ebene halt. Angesichts des Umfangs und des Wachstums des Marktes wird sich jedoch bei entsprechenden Anderungen in der Politik reichlich Gelegenheit zu vermehrtem Technologietransfer bieten. Das Potential zur Anwendung von FDI als Instrument der technologischen Entwicklung ist im Falle China grosser als die Theorie vermuten lasst.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL:
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Bibliographic Info

    Article provided by Taylor & Francis Journals in its journal Regional Studies.

    Volume (Year): 31 (1997)
    Issue (Month): 7 ()
    Pages: 669-679

    as in new window
    Handle: RePEc:taf:regstd:v:31:y:1997:i:7:p:669-679

    Contact details of provider:
    Web page:

    Order Information:

    Related research

    Keywords: Multinational Enterprises; Technology Transfer; Foreign Direct Investment; China;


    No references listed on IDEAS
    You can help add them by filling out this form.


    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as in new window

    Cited by:
    1. Yasheng Huang, 1999. "The Institutional Foundation of Foreign-Invested Enterprises (FIEs) in China," William Davidson Institute Working Papers Series 264, William Davidson Institute at the University of Michigan.
    2. WHALLEY, John & XIN, Xian, 2010. "China's FDI and non-FDI economies and the sustainability of future high Chinese growth," China Economic Review, Elsevier, vol. 21(1), pages 123-135, March.
    3. Gerald Epstein & Elissa Braunstein, 2002. "Bargaining Power and Foreign Direct Investment in China: Can 1.3 Billion Consumers Tame the Multinationals?," Working Papers wp45, Political Economy Research Institute, University of Massachusetts at Amherst.
    4. Hewitt-Dundas, Nola & Roper, Stephen, 2002. "Closing the knowledge gap in Irish manufacturing - a north-south comparison," ERSA conference papers ersa02p382, European Regional Science Association.
    5. Ellis, Paul D., 2010. "International trade intermediaries and the transfer of marketing knowledge in transition economies," International Business Review, Elsevier, vol. 19(1), pages 16-33, February.
    6. Hübler, Michael, 2011. "Technology diffusion under contraction and convergence: A CGE analysis of China," Energy Economics, Elsevier, vol. 33(1), pages 131-142, January.
    7. Alberto GABRIELE, 2001. "Science And Technology Policies, Industrial Reform And Technical Progress In China. Can Socialist Property Rights Be Compatible With Technological Catching Up?," UNCTAD Discussion Papers 155, United Nations Conference on Trade and Development.
    8. Rita Almeida & Ana Margarida Fernandes, 2008. "Openness and Technological Innovations in Developing Countries: Evidence from Firm-Level Surveys," Journal of Development Studies, Taylor & Francis Journals, vol. 44(5), pages 701-727.
    9. Gawlik, Remigiusz & Gorynia, Marian & Teczke, Janusz, 2005. "Malopolska science and business units - in quest for the missing link," MPRA Paper 52192, University Library of Munich, Germany.
    10. Duanmu, Jing-Lin & Fai, Felicia M., 2007. "A processual analysis of knowledge transfer: From foreign MNEs to Chinese suppliers," International Business Review, Elsevier, vol. 16(4), pages 449-473, August.
    11. Mike Crone & Stephen Roper, 2001. "Local Learning from Multinational Plants: Knowledge Transfers in the Supply Chain," Regional Studies, Taylor & Francis Journals, vol. 35(6), pages 535-548.
    12. Yifei Sun, 2000. "Spatial Distribution of Patents in China," Regional Studies, Taylor & Francis Journals, vol. 34(5), pages 441-454.
    13. Yasheng Huang, 2001. "Why More is Actually Less: New Interpretations of China's Labor-Intensive FDI," William Davidson Institute Working Papers Series 375, William Davidson Institute at the University of Michigan.
    14. Wang, Pien & Tong, Tony W. & Koh, Chun Peng, 2004. "An integrated model of knowledge transfer from MNC parent to China subsidiary," Journal of World Business, Elsevier, vol. 39(2), pages 168-182, May.
    15. Crone, Mike & Roper, Stephen, 1999. "Knowledge Transfers from Multi-national Plants in Northern Ireland," ERSA conference papers ersa99pa053, European Regional Science Association.
    16. Eun, Jong-Hak & Lee, Keun & Wu, Guisheng, 2006. "Explaining the "University-run enterprises" in China: A theoretical framework for university-industry relationship in developing countries and its application to China," Research Policy, Elsevier, vol. 35(9), pages 1329-1346, November.
    17. Gawlik, Remigiusz & Teczke, Janusz, 2006. "B2R, R2B - Partner or Hostile Relationships?," MPRA Paper 45342, University Library of Munich, Germany.
    18. Richard Harris, 2001. "Comparing Regional Technical Efficiency in UK Manufacturing Plants: The Case of Northern Ireland 1974-1995," Regional Studies, Taylor & Francis Journals, vol. 35(6), pages 519-534.


    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.


    Access and download statistics


    When requesting a correction, please mention this item's handle: RePEc:taf:regstd:v:31:y:1997:i:7:p:669-679. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.