Empirical study on location choice of Chinese OFDI

Ren, Xiaoyan; Yang, Shuili

doi:10.1016/j.chieco.2020.101428

Cited by 52 publications

(38 citation statements)

References 12 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Based on our discussions above, similar to the literature ( Tomio and Amal, 2015 ; Zhang and Xu, 2017 ; Ren and Yang, 2020 ), we write our equation based on the traditional gravity model as follows:

…”

Section: Data and Econometric Modelmentioning

confidence: 99%

“…We transform the variables other than those for ID and CD into natural logarithms to overcome nonlinearities comparable to the studies that use gravity models to examine the determinants of OFDI (e.g. Buckley et al, 2007 ; Kalotay and Sulstarova, 2010 ; Aybar, 2016 ; Heavilin and Songur, 2017 ; Ren and Yang, 2020 ). Following Aiken et al (1991) , the interactive terms were created by multiplying together the centered values of ID and CD variables.…”

Section: Data and Econometric Modelmentioning

confidence: 99%

See 1 more Smart Citation

Institutional distance and Turkey’s outward foreign direct investment

Heavilin

Songur

2020

Research in International Business and Finance

View full text Add to dashboard Cite

show abstract

…”

Section: Data and Econometric Modelmentioning

confidence: 99%

Section: Data and Econometric Modelmentioning

confidence: 99%

Institutional distance and Turkey’s outward foreign direct investment

Heavilin

Songur

2020

Research in International Business and Finance

View full text Add to dashboard Cite

show abstract

“…In the location choice of OFDI, Kang and Jiang [24] grasp the opinion that Chinese companies tend to invest in countries or regions with relatively free economies that have a severe political system. In combination with related works, Ren and Yang [25] state that geographical distance, economic distance, informational distance, and institutional distance may have a significant effect on OFDI. As a matter of fact, the major reasons for Chinese OFDI are the great demand for natural resources and the high environmental pressure China is faced with.…”

Section: Introductionmentioning

confidence: 83%

Environmental Regulation, Outward Foreign Direct Investment, and Low-Carbon Innovation: An Empirical Study Based on Provincial Spatial Panel Data in China

Yang

Liu

Yang

et al. 2021

Mathematical Problems in Engineering

View full text Add to dashboard Cite

The low-carbon transformation has turned out to be a challenging task faced by government agencies, enterprises, and society because of the global warming. Endorsing the expansion of the low-carbon revolution is considered as an essential measure for low-carbon alteration and advancement. Therefore, articulating realistic environmental control strategies intended to enhance the motivation level of low-carbon innovation, though outward foreign direct investment (OFDI) can produce direct and indirect influences on the growth of low-carbon innovation. According to the data of 30 provinces of China from 2004 to 2017, the relationship among environmental regulation, OFDI, and low-carbon innovation was analyzed using the spatial econometric model. Based on the analyzed data, the following conclusions were drawn. (i) From the national and regional perspectives, China’s low-carbon innovation takes understandable agglomeration features in the longitudinal dimension. In addition, environmental regulation plays a key role in promoting low-carbon innovation and regional heterogeneity. (ii) Environmental regulation might force enterprises outward foreign direct investment efficiently and increase the level of OFDI that will be capable of promoting low-carbon innovation. (iii) OFDI acts as an intermediary in the relationship between environmental regulation and low-carbon innovation, and this role has regional heterogeneity. (iv) There are significant spatial spillover effects of environmental regulation and OFDI on low-carbon innovation, environmental regulation on OFDI, and the intermediary effect of OFDI on environmental regulation and low-carbon innovation. This study supplements our understanding of the relationship between environmental regulation and OFDI, in addition to low-carbon innovation, which provides illumination for enterprise practice, as well as decision-makers.

show abstract

“…Data were dependent variable that was taken from Ministry of Commerce, China. Our research work includes resource endowment, economic freedom, political risk, and institutional distance as four independent variables (Kang, 2018; Ren & Yang, 2020). Political risk is calculated by using the tabulated values from World Bank's WGI database that includes control of corruption, rule of law, and political stability.…”

Section: Methodsmentioning

confidence: 99%

China's quest for economic dominance and energy consumption: Can Asian economies provide natural resources for the success of One Belt One Road?

Bashir

Shahzad

et al. 2020

Manage Decis Econ

View full text Add to dashboard Cite

This research extends the research into foreign direct investments (FDIs) from emerging economies by integrating locational advantage perspective and institution‐based view to empirically analyze the interactive effect of resource endowment in a host economy and how institutional regulations impact on location choice of investors from emerging economies. Our analysis is based on Chinese outward FDI in 36 Asian and Oceanian economies. Empirical findings indicate that resource endowment is contingent upon regulatory institutions from both home and host country settings. Whereas the political risk bears positive influence over FDI and resource endowment, institutional distance and economic freedom have negative impact, which indicates that resource endowment is more appealing to investments from Chinese firms when institutional distance and economic freedom are low and political risk is high.

show abstract

Empirical study on location choice of Chinese OFDI

Cited by 52 publications

References 12 publications

Institutional distance and Turkey’s outward foreign direct investment

Institutional distance and Turkey’s outward foreign direct investment

Environmental Regulation, Outward Foreign Direct Investment, and Low-Carbon Innovation: An Empirical Study Based on Provincial Spatial Panel Data in China

China's quest for economic dominance and energy consumption: Can Asian economies provide natural resources for the success of One Belt One Road?

Contact Info

Product

Resources

About