Foreign investment boosts local innovation in China's electronic industry
The study looked at how foreign companies investing in China can help local Chinese electronic firms come up with new products. They found that foreign companies doing similar things as local firms can really help them be more innovative. It's better when foreign companies share knowledge across different industries rather than just within the same industry. Also, when local firms are already doing innovative things, it can make the foreign companies' knowledge even more helpful. The study shows that being close to each other and having different kinds of knowledge can really boost innovation in China.