Under Different Situation The Strategy Choice Study Of Innovative Interaction Between Multinational Companies And Local Enterprises

With the continuous development of economic globalization and the expansion of the worldeconomy network, the multinational companies of developed countries pay more and moreattention to the potential of the China market. The knowledge exchange and absorption betweenmultinational companies and local companies become more and more frequently. In order tooccupy the market, multinational companies absorb and use the local knowledge for reference; onthe other hand, local companies improve their ability of innovation by absorbing multinationaltechnology constantly. Subsequently, the interaction of the innovation between multinationals andlocal companies has also drawn everyone’s attention. There is heterogeneity between multinationalcompanies and local enterprises, so this paper researches the strategy choice study of innovativeinteraction between multinational companies and local enterprises under different situation, and ithas the theoretical and practical significance for the enterprises.In order to analyze the different situation of strategy choices between multinational companiesand local enterprises in innovation interaction, this article divides the innovation interaction intotwo different stages: The contracting phase and The performance stage. The study analyzes thefactors of expected earnings, interactive cost, opportunity cost, the enterprise scale and the trustdegree for the choice of innovation interaction strategy. Through the two game modelframework:"prisoner’s dilemma" and "boxed pigs game" to build two game model,study foundedthat:(1) When multinationals and local companies choose interactive innovation strategy, thechoice behavior affected by in addition to the traditional cost-benefit theory, enterprises againstthe opportunity cost of multinational companies and domestic enterprises innovation interactivealso play an important role in the strategy choice;(2) When the expected return of interactionbetween multinational companies is high, the interactive betrayal of opportunity cost is high, theinteraction of the cost is low, while the interaction between local companies has low earnings,interactive betrayal of opportunity cost is low, and the interaction of the cost is high,under thiscondition that is incentive, multinational companies and local companies in establishing a contractbefore and after establishing contract are more willing to innovate.(3) Before the building ofcontract between multinationals and local companies, cooperation innovation interaction is morelikely between large multinational companies and small domestic companies; multinationalcompanies have low trust in the local companies after establishing contract between multinationalsand local companies, domestic enterprises have high degree of confidence in the multinationalcompanies, multinational corporations and domestic enterprises will choose interaction.Full-text consists of six parts. The first chapter expounds the research background, research purpose and research meaning, the thesis research ideas and innovations; the second chapterexpounds the literature review of the innovation interaction, expounds the related research fromtwo aspects on innovation and innovation strategy choice; The third chapter, the influence factorsand situation analysis. This part defines the basic theory of innovation interaction respectively,analyzes the main factors that influence the innovation interaction and game performance of themultinational companies and local enterprises in innovation interactive from different stage; Thefourth chapter, expounds game analysis of innovation interactive strategy from the two stage underthe perspective of option; the fifth chapter, expounding interactive strategy choice, the paper putsforward innovation respectively from contract setting up before and after contract to build twostages, and puts forward the strategies of the multinational companies and domestic enterprisesinnovation interactive selection.The sixth chapter, conclusion.summarizing main researchconclusion of this article and the limitations and prospects of the research.