Research On Agglomeration Of FDI In Manufacturing Industries And Regional Economy Development

With the implementing of reform and open policies of China and the developing of economy globalization ,more and more FDI come into China, but the FDI in China is not in even distribution, and in some areas the agglomeration of FDI are emerging. In the view of regional economy, this paper carries out a systematical study on the behaviors and the rules of forming , locating and developing of agglomeration of FDI in manufacturing industries in China using geographic economics ,international economics and industrial organization theories. Meanwhile it analyzes the impact of FDI on the local industrial . This paper is beneficial to attracting FDI and promoting the development of regional economy .The study is generalized as follows:1. Surrounding the FDI agglomeration this paper reviews the FDI theories, agglomeration economy theories and regional economy theories and the relating studies, and gives a summary on the agglomeration and regional development theory. It points out the shortages in the study of FDI agglomeration in developing countries .2.This paper makes a brief summary and classification of the agglomeration of FDI in China, and puts forth three types of agglomeration: Core-Periphery(CP) agglomeration ,industrial agglomeration and city agglomeration based on the location characteristic .It analyzes the affecting factors of FDI agglomeration and concludes that reducing operating cost and risk and gaining technical innovation are the main purposes of FDI agglomeration and the modularizing and international dividing of work and social capital are the main resources of FDI agglomeration economy .3. This paper analyzes the forming rules of the FDI agglomeration. The demonstrating effects, linking effects of industrial, orienting of common location choices and circulating accumulation effects boost the agglomeration. Meanwhile it analyzes the CP phenomena of FDI location and the transferring characteristics of different types of FDI agglomeration This paper presents empirical study on rank-scale rule of FDI distribution. It makes the study of FDI location based on motives of FDI and presents the FDI location model based on the geographic characteristic .It presents the empirical study on the affecting factors of FDI distribution ,which include geographic location ,industrial foundation and urbanization level .4. This paper explores the linkage relation between FDI and local industries, and systematically analyzes the main relating factors of FDI spillover. It analyzes the effects of FDI agglomeration to attracting FDI and enhancing manangement innovation and points out the direction of local FDI upgrading and the countmeasures to promoting linkages between FDI and local industries. The paper empirically analyzes the relation of local industrial productivity and FDI scale on the provincial level ,and concludes that the FDI agglomerition is one of the obvious positive factors to enhance the local productivity .5. The paper analyzes the policies and countermeasures to promoting agglomeration of FDI and development of the regional economy and constructs a independence technical innovation model in local industries based on utilizing FDI . It makes an case study of FDI agglomeration based on the situation in Weihai city , Shandong province and puts forth the strategy and countermeasures for promoting FDI agglomeration and boosting the local economy .