The Impact Of Internationalization On The Performance Of Chinese Manufacturing Firms

Driven by the background of “Going Global” strategy and “Belt and Road” initiative,the level and scale of Outward Foreign Direct Investment have been improved,but there are a phenomenon of “big but not strong”.According to the "Report on Overseas Sustainability of Chinese Enterprises" : in 2015,only 13% enterprises were profitable,and 24% enterprises were deficit.In 2017,the proportion of unprofitable overseas investment firm was 26%.The current overseas investment situation of enterprises is not satisfactory.In order to further realize the leap of overseas investment enterprises from "quantity" to "quality",improving the efficiency of OFDI enterprises becomes a critical issue.Based on the investigation and reflection of the reality,this paper explores the following questions:(1)What is the relationship between internationalization and performance in the “Going Global” process of manufacturing enterprises?(2)How does the resources heterogeneity of different ownership and different industries affect the impact of corporate internationalization on corporate performance?(3)Do firms have the threshold effect of R&D resources and human resources in the process of internationalization in order to realize the positive reverse technology spillover effect.This research has important reference significance for enterprises making rational internationalization investment decision,reasonably allocating resource elements and the government making better and precise policy.This paper reviews theoretical basis and relevant research results,then combining the existing circumstances of Chinese manufacturing enterprises,putting forward the direct influence mechanism of internationalization on the performance of Chinese manufacturing enterprises and the adjustment effect of corporate R&D resources and human resources,and proposing corresponding research hypotheses.This lays the foundation for empirical analysis.This paper uses the domestic listed enterprises which carrying out foreign direct investment in 2013-2017 as the research object,by matching the CSMAR database with "Overseas Investment Enterprises(Institutions)Directory",studying the direct effect of corporate internationalization on performance and the adjustment effect of the corporate resources heterogeneity of different ownership systems and different industries by using static panel regression model,further research on the R&D resources and human resources threshold of internationalized behavior by using panel smooth transition regression model.The research results show that:(1)The internationalization of enterprises is negatively related to corporate performance,enterprises going out is based on the investment motives of market-occupied and resource-seeking,not “performance theory”.(2)Firms' R&D resources haven't produced positive and effective reverse technology spillover effects,there is no significant adjustment effect to the relationship between the internationalization's degree of different ownership systems enterprises and different industries with their performance;(3)Human resources of private enterprises and high-tech enterprises have an enhanced interaction with the negative relationship between internationalization and enterprise performance,that is,with the increase of human resources,the negative effect of internationalization on corporate performance is enhanced;(4)There are the threshold effect of R&D resources and human resources in high-tech enterprises,it shows that the promotion effect of internationalization on firms' performance is constrained by R&D resources and human resources,high level of R&D resources accumulation and reasonable investment of human resources can improve the positive effect of corporate internationalization on performance.Finally,based on literature review,theoretical analysis and empirical results analysis,the suggestions and research prospects are proposed.