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Technology Transfer to China through Foreign Direct Investment

Author

Listed:
  • 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 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.

Suggested Citation

  • Stephen Young & Ping Lan, 1997. "Technology Transfer to China through Foreign Direct Investment," Regional Studies, Taylor & Francis Journals, vol. 31(7), pages 669-679.
    • Handle: RePEc:taf:regstd:v:31:y:1997:i:7:p:669-679
    DOI: 10.1080/00343409750130759
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