THE INFLUENCE OF INTERNATIONAL STUDENTS ON CHINESE ENTERPRISES’ CROSS-BORDER M&A—BASED ON THE MODERATING EFFECT OF POLITICAL AND ECONOMIC ENVIRONMENT IN SOUTHEAST ASIA
Article Sidebar
Main Article Content
Abstract
Under the “going global” policy and the Belt and Road initiative, Chinese enterprises are increasingly active in the cross-border mergers and acquisitions (M&A) of countries within the Belt and Road system. Under the characteristics of the cultural diversity of various countries, cultural exchanges, as an important influencing factor of cross-border M&A, have actively promoted the cultural identity of bilateral enterprises and achieved win-win cooperation. This research examines whether international students in China, as an important group associated with cultural exchange, have an impact on the cross-border M&A of Chinese enterprises. Based on the 2006-2018 panel data of Southeast Asian international students in China and China’s cross-border M&A in Southeast Asia, this research utilized the fixed effects model, which can be implemented to carry out benchmark tests, moderating effect tests, and robustness tests. The empirical study concluded that, with regard to Southeast Asian international students in China actively promoting the successful transnational M&A of Chinese enterprises in Southeast Asia, the political environment and economic environment have no significant moderating effect; while bilateral exchange rates, population density, technological levels, and natural resource endowment are important factors. The research results provide useful insights for the expansion of the influencing factors of Chinese enterprises’ cross-border M&A, and have important significance for interpreting the cultural effects of international students in China in order to improve the success rate of Chinese enterprises’ cross-border M&A.
Article Details
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
Chinese Journal of Social Science and Management Editorial Division
The Office of Research and Development, Panyapiwat Institute of Management
85/1 Moo 2, Chaengwattana Rd., Bang Talat, Pakkred, Nonthaburi 11120, Thailand
Tel. 02 855 01048 E-mail: cjssm@pim.ac.th
References
Cai, W., & Yan, J. (2020). One belt, one road, the relationship between the overseas students and China’s foreign direct investment: An empirical study. Journal of East china Normal University (Educational Science Edition), (4), 34-43. [in Chinese]
Caruso, R., & Wit, H. D. (2015). Determinants of mobility of students in Europe: Empirical evidence for the period 1998-2009. Journal of Studies in International Education, 19(3), 265-282.
Gong, X., & Xiong, F. (2018). Research on the driving effect of foreign investment in the education of foreign students in China. Journal of Nanjing University of Technology (Social Science Edition), 31(3), 74-78. [in Chinese]
Gu, Y., & Qiu, B. (2017). One belt, one road, China’s foreign direct investment and education in China: An empirical study based on the data of the “one belt along the way” national data. International Trade Issues, (4), 83-94. [in Chinese]
Guo, X. (2012). A study of intercultural communication from the perspective of cultural identity-A case study of the United States and the European Union [Doctoral dissertation]. Shanghai Foreign Studies University. [in Chinese]
Han, W. (2014). Research on international human resource management from the perspective of economic globalization-Based on the thinking of educational management of overseas students in China. Managing the World, (8), 182-183. [in Chinese]
Han, Y., & Luo, X. (2017). One belt, one road initiative, China and central Asian regional trade cooperation governance. International Economic and Trade Exploration, 33(2), 72-84. [in Chinese]
Hazen, H. D., & Alberts, H. C. (2006). Visitors or Immigrants? International students in the United States. Population, Space and Place, 12(3), 201-216.
Hong, L., Chen, S., & Han, F. (2015). Overseas M&A, organizational control and investment mode selection-Based on China’s empirical evidence. Managing the World, (10), 40-53. [in Chinese]
Jean-Francois, H., & Young-Ryeol, P. (1993). Greenfield versus acquisition: The strategy of Japanese investors in the united states. Management Science, 39(9), 1054-1070.
Jiang, G., & Jiang, D. (2017). Greenfield investment or cross-border M&A: The choice of foreign direct investment mode of Chinese enterprises. World Economy, (7), 126-146. [in Chinese]
Li, Q., & Han, Y. (2016). The cultural function of trade governance in the “the Belt and Road” region: Evidence from Confucius Institutes. Reform, (12), 95-105. [in Chinese]
Li, Q., Han, Y., & Wei, D. (2020). Cultural exchanges and overseas M&A of Enterprises-An empirical study based on the confucius institute of the “the Belt and Road”. International Economic and Trade Exploration, 36(8), 81-96. [in Chinese]
Liang, Y., Zhou, Z., & Liu, Y. (2018). Research on the relationship between the southeast asian overseas Chinese network and the location choice of Chinese enterprises’ overseas investment. Journal of Geography, 73(8), 1449-1461. [in Chinese]
Liu, H., & Nie, F. (2015). China’s OFDI motivation and its foreign industrial transfer effect-An empirical study based on the perspective of trade structure. International Trade Issues, (10), 73-86. [in Chinese]
Liu, Q., & Zhao, J. (2017). Risk assessment method of traditional enterprises merging internet enterprises. Journal of Liaoning Normal University (Natural Science Edition), 40(2), 159-166. [in Chinese]
Liu, X., Ge, Y., & Zhao, Y. (2017). National distance and Chinese enterprises’ investment location choice in the “the Belt and Road”. Economic geography, 37(11), 99-108. [in Chinese]
Liu, X., Wang, Y., & Wu, S. (2017). Political interaction, cultural exchange and China’s OFDI location choice-Evidence from state visits and Confucius Institutes. china’s Economic Problems, (4), 98-107. [in Chinese]
Marshall, A. (1890). Alfred Marshall, principles of economics (8th ed.). The Online Library of Liberty.
Michel, B., Romain, N., & Lionel, R. (2014). Determinants of the international mobility of students. Economics of Education Review, (41), 40-54.
Nashrawan, T., & Andrew, C. (2016). International students’ networks: A case study in a UK university. Studies in Higher Education, 41(1), 182-198.
Sui, Y. (2010). “Dual” foreign direct investment and trade structure: Mechanism and evidence from China. International Business (Journal of the University of International Business and Economics), (6), 66-73. [in Chinese]
Sun, S., He, X., Zhao, R., & Niu, J. (2017). Research on overseas M&A premium of Chinese enterprises. Nankai Management Review, 20(3), 77-89. [in Chinese]
Wang, S., Sun, H., Cui, M., & Su, M. (2015). A penetrating cultural integration path of cross-border M&A. Nankai Management Review, (18), 47-59. [in Chinese]
Wu, J., Chen, W., & Zhang, P. (2017). Research progress on location selection mechanism and effect of enterprise M&A investment. Advances in Geographical Sciences, 36(11), 1423-1434. [in Chinese]
Xing, A. (2017). cross cultural construction of social network of chinese students studying in Germany- A case study of chinese students in T university [Master’s thesis]. East China Normal University. [in Chinese]
Yan, D. (2009). International experience, cultural distance, and business performance of overseas M&A of Chinese enterprises. Economic Review, (1), 83-92. [in Chinese]
Yan, X., & Lin, J. (2019). Leaders’ visit and China’s foreign direct investment. World Economy, (2), 147-169. [in Chinese]
Zang, X., Lin, Z., & Shao, J. (2012). Cultural closeness, economic development, and the export of cultural product-An empirical study based on the export of Chinese cultural products. Finance and Trade Economy, (10), 102-110. [in Chinese]
Zhang, M., Chen, W., & Lan, H. (2019). Chinese enterprises «why» to completely acquire overseas high-tech enterprises-Fuzzy set Qualitative Comparative Analysis (FsQCA) based on 94 cases. china’s Industrial Economy, (4), 117-135. [in Chinese]
Zhang, S. (2018). The impact of “strong connection” in social networks on the life of studying abroad -An empirical study based on Chinese students at the London school of economics and political science. Jianghan Forum, (1), 138-144. [in Chinese]
Zhu, J. (2010). The choice of human resource management mode of transnational operation. Business Economics and Management, (9), 27-32. [in Chinese]
Zong, F., Lu, J., & Wu, C. (2012). Bilateral investment agreements, institutional environment, and location selection of enterprises’ foreign direct investment. Economic Research, 47(5), 71-82. [in Chinese]