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March 18, 2026SustainabilityOpen Access

The Impact of Business Environment on FDI Quality Under the Sustainable Development Goals: Evidence from China

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Authors

LFLei FuXJXu Jiang

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Overview

Examines how the business environment influences FDI quality in China, suggesting implications for development policies.

Key Points

  • The study aims to investigate how the business environment affects the quality of foreign direct investment (FDI) in China.
  • Analyzed provincial and firm-level data from listed foreign-invested enterprises in China between 2011 and 2023.
  • Constructed an FDI quality evaluation index system aligned with sustainable development goals.
  • Conducted dimensional decomposition to assess the impact of various business environment aspects.
  • China's FDI quality showed a consistent upward trend from 2011 to 2023.
  • Positive influence of the business environment on FDI quality was identified, particularly from government-legal frameworks and openness to investment.
  • Mechanisms identified include stimulation of entrepreneurship, acceleration of digital transformation, and optimization of supply chains.

Cite This Study

Fu et al. (2026) studied this question.

synapsesocial.com/papers/69ba42ae4e9516ffd37a3363https://doi.org/10.3390/su18062860
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