ABSTRACT

With the acceleration of economic globalization, penetration of foreign capital accelerated the development of enterprises, for the production of similar products enterprises, there are different types of enterprises so that competition among enterprises is growing, so firm requires innovation in management, and technological innovation continuously. In addition, as the improvement in the diverse and complex level of products on the current market, the degree of differentiation between products are constantly close, makes the firms producing products with differentiation increasingly fierce competition, this also require firms producing products with differentiation must be innovative, in order to obtain their competitive advantage to dominate the market place. Otherwise, may be eliminated. Leading technological advantage of foreign enterprises to promote domestic enterprises must carry out technological innovation and reduce production costs, at the same time the firms conduct technology research and development by independent research and investment is a common way of technological innovation for firms. Therefore, in the study of the foreign competitive firm environment, research the R&D investment of different companies producing differentiated products is very necessary.