Research on the Influence of Cultural Distance on China's OFDI Reverse Technology Spillover in the Background of the Belt and Road

摘要

Based on the multinational panel data of the countries along the Belt and Road (B&R countries) from 2005 to 2017, this paper uses the gravity model to study the impact of the cultural distance between China and the host country on China's reverse technology spillover. The research shows that the cultural differences between the host country and China hinder the reverse technology spillover of China's foreign direct investment to a certain extent. Further, this study finds that the technology distance between the host country and China and the host country's R&D capital stock can significantly promote the reverse technology spillover. And geographic distance doesn't have a significant impact on the OFDI reverse technology spillover in the stochastic fixed-effects model. Therefore, Chinese enterprises that 'go out' must pay attention to the local cultural environment of the host country and strengthen the transnational cultural construction of enterprises. This paper also proposes relevant policies and suggestions for the formulation of China's foreign direct investment strategy and the improvement of its cultural environment under the Belt and Road initiative (BRI).