Analysis Of Mutual Relationship Between FDI And Industrial Agglomeration In Tianjin Manufacturing

As China's important industrial base, Tianjin using its own unique geographical advantage in attracting foreign direct investment has been walking in front of other provinces, especially its manufacturing business attracted many investment of multinational corporations which has international influence. New Tianjin industrial layout planning to put forward a modern industrial base: the construction of the equipment manufacturing industry for the core, however, Tianjin is also facing technical level is low, industrial supporting ability is not complete and innovation ability such problems in its current manufacturing. Industrial cluster can make use of accumulation effect and industrial association effect to reduce transaction costs and obtain external economy and scale advantage. Multinational company has abundant capital actual strength, global marketing channels, high-end technology development level and effective management experience. The foreign investment industrial concentration can certainly promote innovation ability of Tianjin manufaturing and upgrade the industrial structure .Therefore, a period of time in the future, how better to attract foreign investment to improve its specialized level becomes especially important. This article uses the theoretical research and empirical research method to analysis the benign interaction relationship between the Tianjin manufacturing and FDI, and according to the results of the study, I put forward Suggestions and countermeasures to how to use of foreign capital more reasonable and effective.This paper is divided into six parts, the main content as follows:The first part, this paper will raise the research question and ideas of the paper, the framework of research papers, innovation and disadvantages of this paper and the major domestic and overseas scholars about industrial concentration and FDI reserch.The second part , mainly analysis the situation of industrial agglomeration and FDI of Tianjin manufacturing at present, The author introduce location entropy and industrial agglomeration index of the Tianjin manufacturing to analysis industrial agglomeration of current situation.The third part, mainly expounds the mechanism of interactive relation of industry agglomeration and FDI. The author through the theory and the case existing in reality to analysis the circulation cumulative causal mechanism of industrial concentration and FDI, they both reciprocally stimulation.The fourth part, according to the 1996 to 2009 Tianjin manufacturing and FDI data, the empirical analysis through measurement software that they are in a relationship, and the consent of the relevant order difference circumstance is smooth, also found that the logarithm of Tianjin manufacturing FDI each percentage point increase in manufacturing the logarithm of industrial concentration index increase 0.26 percentage points.The fifth part, puts forward personal reasonable suggestion base on theoretical analysis and empirical research to the utilization of foreign capital for Tianjin.