| Industrial upgrading is an important lever for the transformation of China’s economic growth model.According to international experience,the power structure of industrial upgrading comes from the dual drive of domestic and international environmental changes.Both marginal industry theory and product life cycle hypothesis show that FDI has always played an important role in the process of structural change in developed countries.China has changed from a net capital importer to a net exporter.Therefore,the driving force of China’s outward FDI in the period of strategic opportunity for domestic industrial upgrading cannot be ignored.By searching the existing literature,it is found that there are many achievements in describing the promotion of home country industrial upgrading by outward FDI from domestic and foreign scholars.This kind of research mainly describes the positive correlation between the growth of a country’s foreign direct investment and the change of the home country’s industrial structure.However,due to the differences in understanding the connotation of the concept of industrial upgrading,or the different levels of theoretical concern,most of the relevant studies fail to accurately summarize the particularity of the promotion of industrial upgrading by international direct investment.At the same time,there is a lack of systematic analysis of the internal mechanism and transmission process of the promotion of industrial upgrading.Based on the classification and analysis of "improved" and "structured" industrial upgrading,and combined with the empirical evidence of China’s outward foreign direct investment,this paper puts forward the basic hypothesis of "feedback effect" of China’s outward foreign direct investment industrial upgrading.The essence of the "feedback effect" of outward foreign direct investment(OFDI)on domestic industrial upgrading is to introduce international market mechanism rather than government policy parameters to promote industrial upgrading,so that industrial upgrading can be examined and positioned in the global market structure.Based on this hypothesis,this paper deconstructs the "feedback effect" hierarchically.By choosing representative firms in different industries,this paper describes their specific paths to improve efficiency or upgrade the industrial chain.Relevant case studies not only summarize the operational experience of Chinese firms in promoting industrial upgrading by using international direct investment,but also describe the micro and meso-basis of product upgrading-enterprise upgrading-industrial chain upgrading.At the same time,by collecting relevant panel data and drawing lessons from relevant research results,this paper sets up an econometric model to further test the "back-feeding effect" of different types of investment from a macro perspective.The test shows that there are not only path differences but also heterogeneity of spatial distribution of firms in resource-seeking,market-seeking and technology(efficiency)seeking OFDI of Chinese firms,which also has an important impact on the strength of the effect.Based on the case study and quantitative test of the "feedback effect" of industrial upgrading of international direct investment,we further puts forward policy recommendations on the basis of the essential characteristics and mechanism of the "feedback effect" of foreign direct investment.The article holds that Chinese transnational corporations are the main body of FDI and the strategic fulcrum of the "feedback effect"."Re-feeding the main body of entrepreneurship" requires vigorous cultivation of China’s diversified multinational corporation system,which is an effective grasp of the direction of domestic industrial upgrading coupled with world industrial development.The necessary premise of giving full play to the "back-feeding effect" of OFDI is that firms’ OFDI is guided by international market demand,and efficient FDI leads to the improvement of enterprises’ international competitiveness.The essence of the policy proposal of "market-oriented feedback mechanism" is that it requires enterprises to have rationality and robustness in the choice of investment mode and investment location.From the perspective of foreign direct investment,the "back feeding main body" and "back feeding mechanism" of industrialization upgrading are characterized by the internationalization of the back feeding path.The internationalization of the "feedback path" puts forward higher requirements for China’s domestic industrial upgrading,and also highlights the broader international vision of industrial upgrading policy formulation.The "feedback effect" hypothesis shows that in the "loop" of OFDI and industrial upgrading,industrial upgrading is not an indispensable by-product of OFDI.Enlarging the "feedback effect" not only puts forward higher requirements for China’s outward foreign direct investment at the present stage,but also provides a broader international economic space for domestic industrial upgrading. |
