Study On The Location Choice Of Multinational Corporation's R&D Internationalization

The research and development investment of international corporation has been showing an international trend Since 1990's. China, the largest developing country of the world is getting huge effects In the tide. After analyzing the actuality and the characteristic of multinational corporations' R&D internationalization activity, the article emphasis on the activity's effect on china. At last the article gives the policy advice for the location choice of Chinese enterprise's R&D internationalization. Referencing on the former scholars' theory, the article uses the data information of U.S. multinational corporations' R&D expenditure on 22 countries to analyze the effective factors on the multinational corporations' R&D decision. At the same time, the method of multifactor linear regression is used in the article. The conclusion shows that the host country's average national income, the market's effective capacity and the science and technology environment has positive correlative relationship with multinational corporations' R&D internationalization. The most indifferent conclusion from former scholar's research is that the chiefly attractive factor is the host country's science and technology environment. China, the largest developing country, has become the hotspot attracting the world's multinational corporations' R&D investment. Meanwhile Chinese multinational corporation has the successive experience on oversea R&D investment. According to the conclusion of metric model,the article advices the company of our country use the following overseas investment strategy. Giving full emphasis on the R&D investment on developed countries, giving attention to the R&D investment on developing countries and stressing on the R&D investment on the area of Taiwan, Hongkong, Macao.