Robotic Applications and Foreign Capital Stabilisation
As a vital link between domestic and international markets and resources,foreign direct investment plays a pivotal role in fostering the new development paradigm.Based on business data from the China Customs Import Database and the China Industrial Enterprises Database from 2000 to 2015,this paper examines the impact and action mechanism of industrial robots on foreign divestment,and further considers the role they play in the differential explanation of cross-firm and clustered foreign divestments.The results indicate that the adoption of industrial robots can significantly reduce the risk of foreign divestment and prolong the survival of foreign-funded firms.This effect is mainly achieved through the optimisation of the labour market,ensuring supply chain stability and enhancing market diversification.The adoption of industrial robots is an essential factor in explaining differences in cross-firm foreign divestment,and it helps facilitate the formation of a beneficial economic phenomenon characterised by orderly foreign divestment.It can also mitigate the detrimental impact of clustered divestment within the same region and industry,as well as across upstream and downstream industries.These findings offer new perspectives on attaining"stable foreign investment"in the age of artificial intelligence.
divestmentindustrial robotsforeign capital stabilisationdifferential decomposition