FDI Spillover,Absorptive Capacity and Development of IT Industry in Host Country

In this study,we established the Bertrand competition game model of domestic firms and multinational corporations in the information industry,analyzing impacts of micro,meso and macro factors,for example technical capability of domestic enterprises,competition within foreign and domestic enterprises,industry characteristics and intellectual property,on the absorption of technology transfer.Then we made use of quantile regression method to analyze the impact of absorptive capacity on FDI spillover effect.The results show that,the competitive mechanisms of domestic and foreign-fund enterprises,as well as the absorb capability of host enterprises,is effective to determine FDI spillover and technology transfer,when the competitive gap of domestic and foreign-fund enterprises isn't large and the competition is full.There are non-symmetry influences of host variables on FDI spillover effects in different quantile.Concretely,positive effect of RD on FDI spillover is the most significant at the high-end and low-end distribution.As the technology gap and stock of human capital change from the low-end to the high-end of distribution,the FDI spillover effects show a trend from increasing to decreasing.While the degree of intellectual property rights protection can promote the inflow of FDI,it is not conducive to FDI spillovers.In addition,network effects have small but steady positive impact on FDI spillover.