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Technology Transfer to China through Foreign Direct Investment

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Author Info
Stephen Young, Ping Lan
Abstract

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 à destination de la Chine par l'investissement direct étranger, Reg. Studies 31, 669-679. Cet article cherche à examiner les obstacles actuels au transfert de technologie à destination de la Chine par l'investissement direct étranger. Des preuves empiriques laissent voir que la portée du transfert de technologie s'avère assez limitée mais au niveau attendu étant donnéla situation de la Chine en tant qu'un pays en voie de développement et sa capacité technologique. Cependant, étant donné l'importance et la croissance du marchéet à l'aide des changements de politique appropriés, de grandes possibilités existent quant à un transfert de technologie accru. Les possibilités d'utiliser l'investissement direct étranger comme outil de développement de la technologie en Chine dépasse la théorie. YOUNG S. und LAN P. (1997) Technologietransfer nach China mittels ausländischer Direktinvestierung, Reg. Studies 31, 671-681. Dieser Aufsatz untersucht die gegenwärtigen Probleme beim Technologietransfer mittels ausländischer Direktinvestierung (Foreign Direct Investment/FDI) in China. Empirische Beweise zeigen, daß der Umfang des Technologietransfers ziemlich beschränkt ist, doch sich in Anbetracht Chinas Kapazitäten und seines Status als Entwicklungsland auf der zu erwartenden Ebene hält. Angesichts des Umfangs und des Wachstums des Marktes wird sich jedoch bei entsprechenden Änderungen in der Politik reichlich Gelegenheit zu vermehrtem Technologietransfer bieten. Das Potential zur Anwendung von FDI als Instrument der technologischen Entwicklung ist im Falle China größer als die Theorie vermuten läßt.

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Publisher Info
Article provided by Taylor and Francis Journals in its journal Regional Studies.

Volume (Year): 31 (1997)
Issue (Month): 7 (October)
Pages: 669-679
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Handle: RePEc:taf:regstd:v:31:y:1997:i:7:p:669-679

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Keywords: Multinational Enterprises Technology Transfer Foreign Direct Investment China;

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  1. Hewitt-Dundas, Nola & Andreosso-O'Callaghan, Bernadette & Crone, Mike & Murray, J & Roper, Stephen, 2002. "Selling Global, Buying Local: What Determines the Sourcing Patterns of Multinational Plants in Ireland?," Working Papers NIERC. 71, Economic Research Institute of Northern Ireland. [Downloadable!]
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  2. Love, J.H. & Roper, S., 2001. "The Organisation of Innovation: Collaboration, Co-operation and Multifunction Groups in UK and German Manufacturing," Working Papers NIERC. 65, Economic Research Institute of Northern Ireland. [Downloadable!]
  3. 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 Stephen M. Ross Business School. [Downloadable!]
  4. Crone, Mike & Roper, Stephen, 1999. "Knowledge Transfers from Multi-national Plants in Northern Ireland," ERSA conference papers ersa99pa053, European Regional Science Association. [Downloadable!]
  5. Rita Almeida & Ana Margarida Fernandes, 2007. "Openness and Technological Innovations in Developing Countries: Evidence from Firm-Level Surveys," IZA Discussion Papers 2907, Institute for the Study of Labor (IZA). [Downloadable!]
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  6. Hewitt-Dundas, Nola & Andreosso-O'Callaghan, Bernadette & Crone, Mike & Murray, J & Roper, Stephen, 2002. "Knowledge Transfers from Multi-National Plants in Ireland - A Cross-Border comparison of Supply Chain Linkages," Working Papers NIERC. 72, Economic Research Institute of Northern Ireland. [Downloadable!]
  7. 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. [Downloadable!]
  8. Mike Crone & Stephen Roper, 2001. "Local Learning from Multinational Plants: Knowledge Transfers in the Supply Chain," Regional Studies, Taylor and Francis Journals, vol. 35(6), pages 535-548, August. [Downloadable!] (restricted)
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  9. Richard I. D. Harris, 2001. "Comparing Regional Technical Efficiency in UK Manufacturing Plants: The Case of Northern Ireland 1974--1995," Regional Studies, Taylor and Francis Journals, vol. 35(6), pages 519-534, August. [Downloadable!] (restricted)
  10. 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 Stephen M. Ross Business School. [Downloadable!]
  11. Elissa Braunstein & Gerald Epstein, 2002. "Bargaining Power and Foreign Direct Investment in China: Can 1.3 Billion Consumers Tame the Multinationals?," SCEPA Working Papers 2002-13, Schwartz Center for Economic Policy Analysis (SCEPA), The New School. [Downloadable!]
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  12. Yingqi Wei, 2003. "Foreign direct investment in China," Working Papers 000053, Lancaster University Management School, Economics Department. [Downloadable!]
  13. John Whalley & Xian Xin, 2006. "China's FDI and Non-FDI Economies and the Sustainability of Future High Chinese Growth," NBER Working Papers 12249, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  14. 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. [Downloadable!]
  15. Roper, S. & Crone, M., 2000. "Knowledge Complementarity and Co-Ordination in the Local Supply Chain: Some Empirical Evidence," Working Papers NIERC. 52, Economic Research Institute of Northern Ireland. [Downloadable!]
  16. Yifei Sun, 2000. "Spatial Distribution of Patents in China," Regional Studies, Taylor and Francis Journals, vol. 34(5), pages 441-454, July. [Downloadable!] (restricted)
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