Xiaohui Liu
-
Loughborough University Business School, UK
;
Igor Filatotchev
-
Cass Business School
;
Trevor Buck
-
Loughborough University Business School, UK
;
Jiangyong Lu
-
Guanghua School of Management, Peking University, Beijing, China
;
Mike Wright
-
Centre for Management Buy-out Research, Nottingham University Business School, Nottingham, UK
Using panel data analysis, this paper investigates the impact of returnee
entrepreneurs, foreign direct investment (FDI) intensity and inter-firm
employee mobility on innovation in Chinese high-tech firms. International
technology spillovers and internal R&D efforts are found to jointly
determine the innovation performance of Chinese high-tech firms, and we report
that the presence of returnee entrepreneurs positively affects innovation. In
addition, there are significant knowledge spillover effects associated with
returnees and multinational enterprise (MNE) employee mobility, and the effects
of these two components of international human mobility on local firms'
innovation are mutually reinforcing. We also present the distinctive result
that FDI intensity in an industry has a negative impact on local innovation.
The findings have important implications for practitioners and
policymakers.