Is Participating in Joint Ventures Beneficial for Promoting Enterprises'Outward Foreign Direct Investment
This article utilizes the foreign investment approval(recordation)database to identify the participation of domestic investors in joint ventures,and then studies the impact of participating in joint ventures on enterprises'outward foreign direct investment.Fact analysis shows that nearly 14%of domestic investors during the year from 2004 to 2013 jointly invested with foreign investors to establish joint ventures in China,before outward foreign direct investment;Enterprises partici-pating in joint ventures invest more in distant areas with information asymmetry and developed e-conomies with high productivity barriers.Econometric analysis finds that participating in joint ven-tures significantly promotes domestic investors'outward foreign direct investment.After conducting a series of robustness tests and alleviating endogeneity issues,this conclusion still holds.Mechanism analysis indicates that participating in joint ventures affects domestic investors'outward foreign direct investment through information transmission and technology spillover mechanisms.In the context of co-investing with investors from developed economies,investing in long-term joint ventures,controlling joint ventures,participating in joint ventures has a greater promoting effect on enterprises'outward foreign direct investment.This article expands the theoretical research on the process of internationalization and provides useful references for China to achieve high-level opening-up to the world.
Outward Foreign Direct InvestmentParticipating in Joint VenturesInformation Spillo-verTechnology Spillover
NETL
NSTL
万方数据
维普
