Analysis Of The Impact Of FDI On The Science And Technology Competitiveness Of High-tech Sectors In China

Since 1980, as economic globalization, international trade and investment integration, the development of international flows of capital are increasingly frequent, foreign direct investment has become the main form of capital flows. Among them, foreign direct investment absorbed by high-tech industry increases rapidly, it creates a good opportunity in the development of China's high-tech industry. High-tech industries is based on high-tech, it's worthy to study foreign direct investment to bring advanced the science and technology level of China's high-tech industry. If Foreign Direct Investment in China's high-tech industries can promote science and technology competitiveness of industy. How is the effect? In what way? What are the constraints? How to guide and regulate the foreign direct investment? To tackle these issues can better guide the use of foreign direct investment to promote scientific and technological of China's high-tech industry in the fulture.In this paper, reviewed and summarized related literature, defines high-tech industry and science and technology competitiveness, and analysis the function mechanism of foreign direct investment on the science and technology competitive of China's high-tech Industry. This paper argues that there are two types of technological progress effect about foreign direct investment act on high-tech industry:One is the the direct effect of technological progress, performances of the technology level of foreign-funded enterprises established in the host country and foreign research activities in the host country market. The second is the indirect effect of technological progress, performance of the industry association, demonstration effect and competitive effect for the foreign effect. Based on this theory analysis, this paper does empirical analysis between high-tech industrial science and technology competitiveness and the index reflected the direct and indirect effect of technological progress by foreign direct investment. Analysis show that the direct effect of technological progress by foreign direct investment obvious, the indirect effect is not obvious. Then, by looking at the real economy, the article analysis of the driving factors and restricting factors of foreign direct investment to promote technological progress of China's high-tech Technology industries. Finally, base on the above-mentioned theoretical and empirical analysis, proposes suggestions and countermeasures from both macroscopic and microscopic view, provide ideas about more efficient use of foreign direct investment to upgrade technological competitiveness of China's high-tech industry in the fulture.