The Hollowing-out Effects on Manufacturing of Home Country: A Study of Taiwanese FDI Firms

• Main Authors: Long-Chang Huang, 黃隆昌
• Other Authors: Wen Chung Hsu
• Format: Others
• Language: zh-TW
• Published: 2013
• Online Access: http://ndltd.ncl.edu.tw/handle/68944194049149260613

碩士 === 國立暨南國際大學 === 管理學院經營管理碩士學位學程碩士在職專班 === 102 === Foreign direct investment (FDI), a major force in world economics, has been a globalization strategy since the 1980s. Taiwan, an export-oriented country, poor in natural resources and possessing a small domestic market, has been affected by rising costs and low cost competition. As a result, Taiwanese firms, in an attempt to become more competitive in terms of manufacturing, have moved their factories to China or other countries which have low labor costs. In this article, in order to review Taiwanese FDI firms at the present time, the indexes we need include data on: manufacturing value, manufacturing labor productivity, gross fixed capital formation, the unemployment rate and the amount of total exports. However, in this particular case, we only use manufacturing labor productivity, the unemployment rate, the total amount of exports as proposed by experts and data from the Directorate General of Budget, Accounting and Statistics, Executive Yuan, R.O.C. and the Investment Commission, Moea, to investigate if Taiwanese FDI firms in the manufacturing industry are suffering from hollowing–out effects. Lastly, we will provide some strategies for Taiwanese firms investing in other countries.