Study On The Current Analysis Of Foreign Capital Utilization And It’s Influencing Factors In China’s E-commerce Industry

In our country, to use foreign capital to promote the adjustment and optimization of industry structure is an important aim of foreign investment policy. E-commerce is one of the significant open areas for us, however, the entry of foreign capital brings about both positive and negative influences.Because of the imperfection of national capital market, many famous e-commerce enterprises in our country like Alibaba, Jingdong, are invested by international capitals such as Sequoia Capital, Tiger Fund, and so on. During the past decade, these international capitals not only have been playing an important role of promoting the development of e-commerce in our country, but also leading to some problems, for example, industrial safety and profits outflow.At present, there are very few researches on foreign capital utilization of e-commerce about our country home and abroad. In addition to that, previous studies mainly discuss the theme from a legal perspective to explore how to set up the foreign investment access system. This paper aims to thoroughly study foreign capital utilization of our e-commerce market, which can serve as a reference to help our government make foreign policies of e-commerce and also other scholars’ study.This article combines theoretical analysis and empirical analysis, quantitative analysis and qualitative analysis as the research method. This paper mainly discusses two questions, what is the current situation of foreign capital utilization of e-commerce like and what influences it in our country? The important contributions of this paper are as following:1) Based on the foreign capital utilization data of 56 e-commerce companies, areas distribution, regional distribution, channels to flow in and venture capital types of e-commerce industry in our country are discussed in detail respectively. Besides to that, five characteristics and two kinds of motivation of foreign capital utilization are summarized.2) This article explores the relationship between foreign investments amount and the e-commerce market scale from a quantitative angle, which suggests foreign investment amount is positively related to the scale of e-commerce transactions in China, and there exists a long-term stable correlation of proportion between them.3) Interpretative Structural Modeling in System Analysis Engineering is applied to construct foreign investment decision-making mechanism, which answers the question of what are the primary and secondary factors when foreign companies are deciding which e-commerce company in our country is going to be invested.4) When conducting the empirical research on what factors influences the foreign capital utilization of e-commerce in our country, this paper sets up a long-term equilibrium relationship model and a short-term dynamic relationship model, a total of two regression models,based on theory of Porter’s Diamond Model, and all kinds of econometrics tests are passed in the end.