Study On OFDI's Sustainable Development Capacity Of The Enterprises In Jiang Su Province

With the development of China's economy,it has become a trend that Chinese companies pursue a development model of internationalization and Outward Foreign Direct Investment(OFDI).Lately,the economy of Jiangsu Province grows rapidly;in the meantime,the total foreign trade volume and OFDI scale in Jiangsu Province have increased steadily.The coordination degree between OFDI companies and provincial companies is about at mid-level.However,we still need to recognize the fact that most companies in Jiangsu Province are still in the early stage of OFDI and internationalization while not enough attention has been paid on the sustainable development ability of enterprise OFDI.This dissertation aims to better understand the factors that affecting the sustainable development ability of enterprise OFDI,in order to promote the sustainable development of Jiangsu firms' OFDI and enhance their international competitiveness accordingly.Adopting the method of PLS-SEM,this dissertation combines the micro and macro level of OFDI development in Jiangsu province,conduct field studies in about300 companies to study the path relationships among firm competitiveness,host and home country system,and internationalization depth and breath,as well as these constructs with firm OFDI sustainable development ability.Mainly this dissertation consists of three parts.First,we analyze the current status of the economy development of Jiangsu Province,then discuss and evaluate the OFDI development of Jiangsu firms.Second,we present the research framework of the OFDI sustainable development ability of Jiangsu firms and design the survey for data collection.Third,after collecting data,we test and analyze the research model using Structural Equation Modeling techniques.Several conclusions can be drawn from this study.Firstly,the positive development of the foreign trade and OFDI in Jiangsu province will help to stimulate the economic development of Jiangsu province.Secondly,the internationalization of Jiangsu firms is still at early stage and needs to overcome some challenges.Thirdly,there exist some path relationships between enterprises' domestic competitiveness and institutional factors,internationalization depth and breadth and OFDI sustainable development capacity,namely,(1)enterprises domestic competitiveness has a positive impact on the internationalization depth,as well as the enterprise OFDI sustainable development ability;(2)institutional factors have a positive impact on enterprise internationalization depth and breadth,while they positively affect enterprise OFDI sustainable development capacity;(3)Enterprise internationalization depth mediates the relationship between enterprises' domestic competitiveness and enterprise OFDI sustainable development ability;the international depth mediates the relationship between institutional factor and enterprise OFDI sustainable development ability;and the international breath mediates the relationship between the institutional factor and enterprise OFDI sustainable development.