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The foreign investment law and the speed of corporate internationalization

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  • Huang, Yining
  • Xin, Dandan

Abstract

This paper utilizes data from Chinese A-share listed companies from 2009 to 2023 to empirically examines the impact of the Foreign Investment Law on the internationalization speed of enterprises and its underlying mechanisms. The study finds the following: First, a well-developed Foreign Investment Law facilitates the acceleration of enterprise internationalization speed; second, the Foreign Investment Law can enhance the internationalization speed of enterprises by improving their technological capabilities; third, the Foreign Investment Law can also expedite enterprise internationalization speed by alleviating financing constraints; fourth, the impact of the Foreign Investment Law on the internationalization speed of enterprises exhibits heterogeneity across different regions.

Suggested Citation

  • Huang, Yining & Xin, Dandan, 2025. "The foreign investment law and the speed of corporate internationalization," Finance Research Letters, Elsevier, vol. 86(PG).
    • Handle: RePEc:eee:finlet:v:86:y:2025:i:pg:s1544612325021385
    DOI: 10.1016/j.frl.2025.108885
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    References listed on IDEAS

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    1. Liu, Xinglin & Yuan, Bo & Sun, Hongfeng & Yu, Haixu, 2026. "Global expansion and investment efficiency: The impact of overseas mergers and acquisitions on eco-friendly companies," Finance Research Letters, Elsevier, vol. 88(C).

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