The Performance Pattern of Decentralized Investment and Concentrated Investment in China: The case of Electronic Companies Listed in Taiwan

• Main Authors: Yu-Li Liu, 劉玉立
• Other Authors: Wei-Kang Wang
• Format: Others
• Language: en_US
• Online Access: http://ndltd.ncl.edu.tw/handle/c86b5x

碩士 === 元智大學 === 財務金融暨會計碩士班(會計學程) === 103 === The aim of this study is to explore the efficiency of Decentralized Investment and Concentrated Investment in China. As the Chinese mainland surpassed the largest exporter of Taiwan, dependence between the two sides means deepening and prompting investors of domestic enterprises to go public in China; however, it really means bringing investments in mainland China businesses to new heights. Through this research it on occasion to invest in mainland China can minimize risks, caused improve the overall business performance. As Taiwan's electronics industry is more complete than other industries, Taiwanese companies are currently ranked first in the mainland investment industry, thus, this study is representative of the industry as the main study to explore the depth of its investment in the mainland, as well as the breadth of the company's operating performance impact. First, the number of test without the mother continent to explore the impact of investment and non-investment performance of the mainland, and then integrates data envelopment analysis and regression construct the depth and breadth of relations firm. The empirical results show that, the larger the company's investment in mainland China, the better the performance. The depth degree of investment in China has a negative and significant relationship due to firms’ lack of sufficient know-how, thus, they suffer from a higher learning cost. The breadth degree of investment shows a positive and statistically significant relationship. Thus, companies tend to implement overseas investment dimensions in China to achieve better corporate performance.