Title: Determinants of export intensity and FDI presence: case of manufacturing industries of Guangdong Province, the People's Republic of China

Authors: Lihong Yun

Addresses: Institute of Business, Economics, Statistics and Information Science (ESI), University of Orebro, SE-701 82 Orebro, Sweden

Abstract: This paper investigates of the determinants of export intensity and of FDI presence among the manufacturing industries from the Guangdong Province of the People|s Republic of China. The study is based on a three-digit level set of panel data collected for 1998–2002 from 158 manufacturing industries. The results indicate that export-intensity and FDI-presence are high in industries with low physical capital intensity, low labour costs and low R&D intensity. Industries with less state-participation or high FDI-presence are likely to enjoy higher levels of export intensity. They indicate further that the FDI emanating from non-dragon economies (those other than Hong Kong, Macao and Taiwan) and low labour costs are fundamental and foremost for sustained export performance.

Keywords: export intensity; FDI; foreign direct investment; research and development; manufacturing industries; exports; China.

DOI: 10.1504/IJLSM.2006.009774

International Journal of Logistics Systems and Management, 2006 Vol.2 No.3, pp.230 - 254

Published online: 10 May 2006 *

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