Estimation Of The Local Value Proportion Of Foreign-funded Maufacturing Industry In China And Its Determinants Under Global Value Chain

Since China's accession to the WTO,China has made some achievements in integrating into the global value chain.However,it is still at the middle and low-end links in the global value chain.Therefore,how to climb up to the high-end link is an important issue that our country faces in the global value chain.Firstly,this paper reviews the classical theory of global value chain,summarizes the generation,formation and development of global value chain theory,and reviews the existing research on the phenomenon of imbalance of foreign capital spillover and value distribution under the global value chain.As the existing research mainly focuses on the division of production in the global value chain in China and neglects the proportion of the value China obtains in the global division of production,this paper refers to the model of Li and Liu(2014)by using the share of products and the database of Chinese industrial enterprises to calculate the local value-added ratio(VR)of foreign-funded manufacturing enterprises in our country under the global value chain of the integrated and internalized governance and to carry out the statistical description by sector and sub-region.After that,this paper analyzes the influential factors of the local value-added ratio(VR)of foreign-funded manufacturing enterprises,and concludes that the degree of competition in the industry and the position of foreign capital market have an impact on the VR of foreign-funded manufacturing enterprises.Finally,this paper uses the balance panel data of 2538 foreign-invested manufacturing companies from 1998 to 2007 to conduct empirical analysis,verify relevant propositions,and give policy recommendations.This paper has brought up several proposition hypotheses and has made an empirical analysis with three main conclusions as bellows:(1)The overall level of the VR of foreign-funded manufacturing enterprises in the global value chain is relatively low,showing an overall upward trend.The local value-added ratio of foreign-funded manufacturing enterprises is obviously different between industries and regions.(2)The level of competition in the industry has an adverse effect on the proportion of VR of enterprises through the interaction between attraction and conflict effects.The more intense competition in the industry,the lower the ratio of the VR of enterprises,which is related to the existence of a vicious competition in China's industry environment.(3)The market position of foreign capital has an indirect influence on the VR of foreign-invested manufacturing enterprises,which shows that the degree of competition in the industry has different effects on the VR of foreign-funded manufacturing enterprises in different foreign market positions.In the high-market enterprises,the VR is not significantly affected by the degree of competition in the industry.For low-market enterprises,the level of competition in the industry has a significant negative impact on its VR.The possible innovation of this paper is that,the VR of the foreign-funded manufacturing enterprises is measured from the enterprise level,and the VR acquired by the Chinese manufacturing industry under the global value chain of the integrated and internalized governance is measured.According to the factors affecting the value position of our country in the global value chain,this paper firstly studies the degree of competition in the industry and the market position of foreign capital for the first time,and uses the econometrics method to carry on the empirical analysis,and gives the policy suggestion.The system GMM method is used in the measurement method to estimate.