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Trade orientation and mutual productivity spillovers between foreign and local firms in China

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Trade orientation and mutual productivity spillovers between foreign and local firms in China. / Wei, Yingqi; Liu, Xiaming; Wang, Chengang.
In: Journal of Asia Business Studies, Vol. 1, No. 1, 2006, p. 46-53.

Research output: Contribution to Journal/Magazine › Journal article › peer-review

Harvard

Wei, Y, Liu, X & Wang, C 2006, 'Trade orientation and mutual productivity spillovers between foreign and local firms in China', Journal of Asia Business Studies, vol. 1, no. 1, pp. 46-53. https://doi.org/10.1108/15587890680001304

APA

Wei, Y., Liu, X., & Wang, C. (2006). Trade orientation and mutual productivity spillovers between foreign and local firms in China. Journal of Asia Business Studies, 1(1), 46-53. https://doi.org/10.1108/15587890680001304

Vancouver

Wei Y, Liu X, Wang C. Trade orientation and mutual productivity spillovers between foreign and local firms in China. Journal of Asia Business Studies. 2006;1(1):46-53. doi: 10.1108/15587890680001304

Author

Wei, Yingqi ; Liu, Xiaming ; Wang, Chengang. / Trade orientation and mutual productivity spillovers between foreign and local firms in China. In: Journal of Asia Business Studies. 2006 ; Vol. 1, No. 1. pp. 46-53.

Bibtex

@article{74acf605d244485cac4708cb9e007225,
title = "Trade orientation and mutual productivity spillovers between foreign and local firms in China",
abstract = "This paper argues that multinational firms can benefit from indigenous knowledge diffusion in a host developing country so that there can be two-way productivity spillovers between foreign and local firms even in the developing world. This new argument is confirmed by a very large firm-level data set from the Chinese manufacturing sector. After grouping firms based on their trade orientation, we find that foreign firms have a positive impact on local-market-oriented Chinese firms. When the degree of foreign presence is sufficiently high, there will be negative productivity effects on export-oriented Chinese firms. On the other hand, local Chinese firms have a positive impact on export-oriented foreign invested firms. After dividing foreign firms according to their sources, we find that the beneficial spillovers between OECD and local Chinese firms are much greater than those between Hong Kong/Macao/Taiwan and local Chinese firms.",
keywords = "Export-oriented, Foreign direct investment , Indigenous knowledge , Local-market-oriented , Mutual productivity spillovers",
author = "Yingqi Wei and Xiaming Liu and Chengang Wang",
year = "2006",
doi = "10.1108/15587890680001304",
language = "English",
volume = "1",
pages = "46--53",
journal = "Journal of Asia Business Studies",
issn = "1558-7894",
publisher = "Emerald Group Publishing Ltd.",
number = "1",

}

RIS

TY - JOUR

T1 - Trade orientation and mutual productivity spillovers between foreign and local firms in China

AU - Wei, Yingqi

AU - Liu, Xiaming

AU - Wang, Chengang

PY - 2006

Y1 - 2006

N2 - This paper argues that multinational firms can benefit from indigenous knowledge diffusion in a host developing country so that there can be two-way productivity spillovers between foreign and local firms even in the developing world. This new argument is confirmed by a very large firm-level data set from the Chinese manufacturing sector. After grouping firms based on their trade orientation, we find that foreign firms have a positive impact on local-market-oriented Chinese firms. When the degree of foreign presence is sufficiently high, there will be negative productivity effects on export-oriented Chinese firms. On the other hand, local Chinese firms have a positive impact on export-oriented foreign invested firms. After dividing foreign firms according to their sources, we find that the beneficial spillovers between OECD and local Chinese firms are much greater than those between Hong Kong/Macao/Taiwan and local Chinese firms.

AB - This paper argues that multinational firms can benefit from indigenous knowledge diffusion in a host developing country so that there can be two-way productivity spillovers between foreign and local firms even in the developing world. This new argument is confirmed by a very large firm-level data set from the Chinese manufacturing sector. After grouping firms based on their trade orientation, we find that foreign firms have a positive impact on local-market-oriented Chinese firms. When the degree of foreign presence is sufficiently high, there will be negative productivity effects on export-oriented Chinese firms. On the other hand, local Chinese firms have a positive impact on export-oriented foreign invested firms. After dividing foreign firms according to their sources, we find that the beneficial spillovers between OECD and local Chinese firms are much greater than those between Hong Kong/Macao/Taiwan and local Chinese firms.

KW - Export-oriented

KW - Foreign direct investment

KW - Indigenous knowledge

KW - Local-market-oriented

KW - Mutual productivity spillovers

U2 - 10.1108/15587890680001304

DO - 10.1108/15587890680001304

M3 - Journal article

VL - 1

SP - 46

EP - 53

JO - Journal of Asia Business Studies

JF - Journal of Asia Business Studies

SN - 1558-7894

IS - 1

ER -