| As economic globalization continues to develop, the fixed capital flows appear a new trend. Considering Chinese great potential market and fast economic development, most of automobile companies plan to invest in China. FDI plays a more and more important role in Chinese market. Since China introduced reform and opening policies, it has made headway in development of Chinese automobile industry by taking advantage of foreign investment and advanced technology. However, as the scale of FDI in this sector has been growing continuously and its position in Chinese market is moving up, the problem that whether the efficiency of Chinese automobile industry will be improved by utilizing advanced technology brought by FDI, has been a course for concern. This paper studies the relation between FDI and efficiency of Chinese automobile industry, and analyzes the problem that whether the efficiency of Chinese automobile industry will be improved by utilizing advanced technology brought by FDI.The result from analysis shows that: (1) the research and development of Multinational Corporations in China has promoted the improvement of management level of the research and development in Chinese automobile industry. (2) Though there is a positive correlation between FDI and efficiency of Chinese automobile industry, FDI did not make obvious comprehensive contribution to Chinese automobile industry from 1995 to 2005, which suggests that the continuous growth of FDI does not help efficiency of Chinese automobile industry to be greatly raised synchronously. |
PDF Full Text Request