IDEAS home Printed from https://ideas.repec.org/a/eee/tefoso/v183y2022ics0040162522004528.html
   My bibliography  Save this article

Pathway and key factor identification of third-party market cooperation of China's overseas energy investment projects

Author

Listed:
  • Peng, Benhong
  • Zhao, Yinyin
  • Elahi, Ehsan
  • Wan, Anxia

Abstract

There are still few studies on the third-party market cooperation of China's overseas energy investment projects. The current study selects typical cases of third-party energy market cooperation, combined with risk management theory, and uses qualitative comparative analysis (QCA) and machine learning (ID3) algorithms to analyze the influencing paths and key factors of third-party market cooperation of China's overseas energy investment projects. The results depicted that a single factor did not constitute a necessary condition to affect the effectiveness of China's third-party energy market cooperation, and the social environment, project organization, and cooperation subjects jointly formed a diversified configuration. We found that each four influence paths, which are “social environment-project organization-cooperation subject”, “social environment-cooperation subject”, “social environment-project organization,” and “project organization-cooperation subject,”; Institutional environment and conflict of interest are the core factors in the path conditions. The disturbance intensity of conflict of interest was higher than that of the institutional environment. This study not only complements the quantitative analysis of existing literature but also provides theoretical analysis and practical guidance for China to better carry out third-party market energy cooperation projects with other countries.

Suggested Citation

  • Peng, Benhong & Zhao, Yinyin & Elahi, Ehsan & Wan, Anxia, 2022. "Pathway and key factor identification of third-party market cooperation of China's overseas energy investment projects," Technological Forecasting and Social Change, Elsevier, vol. 183(C).
    • Handle: RePEc:eee:tefoso:v:183:y:2022:i:c:s0040162522004528
    DOI: 10.1016/j.techfore.2022.121931
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0040162522004528
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.techfore.2022.121931?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Brian W. Nocco & René M. Stulz, 2006. "Enterprise Risk Management: Theory and Practice," Journal of Applied Corporate Finance, Morgan Stanley, vol. 18(4), pages 8-20, September.
    2. Kurul, Zühal, 2017. "Nonlinear relationship between institutional factors and FDI flows: Dynamic panel threshold analysis," International Review of Economics & Finance, Elsevier, vol. 48(C), pages 148-160.
    3. Globerman, Steven & Shapiro, Daniel, 2002. "Global Foreign Direct Investment Flows: The Role of Governance Infrastructure," World Development, Elsevier, vol. 30(11), pages 1899-1919, November.
    4. Schulhof, Vera & van Vuuren, Detlef & Kirchherr, Julian, 2022. "The Belt and Road Initiative (BRI): What Will it Look Like in the Future?," Technological Forecasting and Social Change, Elsevier, vol. 175(C).
    5. Yang, Jiao-Hui & Wang, Wei & Wang, Kai-Li & Yeh, Chung-Ying, 2018. "Capital intensity, natural resources, and institutional risk preferences in Chinese Outward Foreign Direct Investment," International Review of Economics & Finance, Elsevier, vol. 55(C), pages 259-272.
    6. Farla, Kristine & de Crombrugghe, Denis & Verspagen, Bart, 2016. "Institutions, Foreign Direct Investment, and Domestic Investment: Crowding Out or Crowding In?," World Development, Elsevier, vol. 88(C), pages 1-9.
    7. Bhaumik, Sumon Kumar & Co, Catherine Yap, 2011. "China's economic cooperation related investment: An investigation of its direction and some implications for outward investment," China Economic Review, Elsevier, vol. 22(1), pages 75-87, March.
    8. Zhaoqiang Zhong & Benhong Peng & Ehsan Elahi, 2021. "Spatial and temporal pattern evolution and influencing factors of energy–environmental efficiency: A case study of Yangtze River urban agglomeration in China," Energy & Environment, , vol. 32(2), pages 242-261, March.
    9. Chen, Lihong & Li, Xiaobing & Wen, Wanyu & Jia, Jingdun & Li, Guoqing & Deng, Fei, 2012. "The status, predicament and countermeasures of biomass secondary energy production in China," Renewable and Sustainable Energy Reviews, Elsevier, vol. 16(8), pages 6212-6219.
    10. Jiménez, Alfredo & Benito-Osorio, Diana & Puck, Jonas & Klopf, Patricia, 2018. "The multi-faceted role of experience dealing with policy risk: The impact of intensity and diversity of experiences," International Business Review, Elsevier, vol. 27(1), pages 102-112.
    11. Sadia Bano & Yuhuan Zhao & Ashfaq Ahmad & Song Wang & Ya Liu, 2019. "Why Did FDI Inflows of Pakistan Decline? From the Perspective of Terrorism, Energy Shortage, Financial Instability, and Political Instability," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 55(1), pages 90-104, January.
    12. Egli, Florian, 2020. "Renewable energy investment risk: An investigation of changes over time and the underlying drivers," Energy Policy, Elsevier, vol. 140(C).
    13. Liu, Ximei & Zeng, Ming, 2017. "Renewable energy investment risk evaluation model based on system dynamics," Renewable and Sustainable Energy Reviews, Elsevier, vol. 73(C), pages 782-788.
    14. Steckel, Jan Christoph & Jakob, Michael, 2018. "The role of financing cost and de-risking strategies for clean energy investment," International Economics, Elsevier, vol. 155(C), pages 19-28.
    15. Zhang, Huiming & Xu, Zhidong & Sun, Chuanwang & Elahi, Ehsan, 2018. "Targeted poverty alleviation using photovoltaic power: Review of Chinese policies," Energy Policy, Elsevier, vol. 120(C), pages 550-558.
    16. Jiahai Yuan & Yurong Zeng & Xiaoxuan Guo & Yu Ai & Minpeng Xiong, 2018. "Electric Power Investment Risk Assessment for Belt and Road Initiative Nations," Sustainability, MDPI, vol. 10(9), pages 1-21, August.
    17. Weilei (Stone) Shi & Sunny Li Sun & Daying Yan & Zhu Zhu, 2017. "Institutional fragility and outward foreign direct investment from China," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 48(4), pages 452-476, May.
    18. Alvaro Cuervo-Cazurra & Luis Alfonso Dau, 2009. "Structural Reform and Firm Exports," Management International Review, Springer, vol. 49(4), pages 479-507, September.
    19. Daniela Campello & Leany Lemos, 2015. "The non-ratification of bilateral investment treaties in Brazil: a story of conflict in a land of cooperation," Review of International Political Economy, Taylor & Francis Journals, vol. 22(5), pages 1055-1086, October.
    20. Shimbar, Ali & Ebrahimi, Seyed Babak, 2020. "Political risk and valuation of renewable energy investments in developing countries," Renewable Energy, Elsevier, vol. 145(C), pages 1325-1333.
    21. Quintin H. Beazer & Daniel J. Blake, 2018. "The Conditional Nature of Political Risk: How Home Institutions Influence the Location of Foreign Direct Investment," American Journal of Political Science, John Wiley & Sons, vol. 62(2), pages 470-485, April.
    22. Na Tan & Liang Chang & Rui Guo, 2021. "China’s outward foreign direct investment in energy sector: The role of “intimate” relations between countries," PLOS ONE, Public Library of Science, vol. 16(7), pages 1-21, July.
    23. repec:dau:papers:123456789/200 is not listed on IDEAS
    24. Peter J Buckley & L Jeremy Clegg & Hinrich Voss & Adam R Cross & Xin Liu & Ping Zheng, 2018. "A retrospective and agenda for future research on Chinese outward foreign direct investment," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 49(1), pages 4-23, January.
    25. Pueyo, Ana, 2018. "What constrains renewable energy investment in Sub-Saharan Africa? A comparison of Kenya and Ghana," World Development, Elsevier, vol. 109(C), pages 85-100.
    26. Bondarev, Anton & Weigt, Hannes, 2018. "Sensitivity of energy system investments to policy regulation changes: Too many, too fast?," Energy Policy, Elsevier, vol. 119(C), pages 196-205.
    27. Barbara Vis & Jan Dul, 2018. "Analyzing Relationships of Necessity Not Just in Kind But Also in Degree," Sociological Methods & Research, , vol. 47(4), pages 872-899, November.
    28. Sun, Xiaolei & Li, Jianping & Wang, Yongfeng & Clark, Woodrow W., 2014. "China's Sovereign Wealth Fund Investments in overseas energy: The energy security perspective," Energy Policy, Elsevier, vol. 65(C), pages 654-661.
    29. Stav Fainshmidt & Michael A Witt & Ruth V Aguilera & Alain Verbeke, 2020. "The contributions of qualitative comparative analysis (QCA) to international business research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(4), pages 455-466, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Peng, Benhong & Zhao, Yinyin & Elahi, Ehsan & Wan, Anxia, 2023. "Can third-party market cooperation solve the dilemma of emissions reduction? A case study of energy investment project conflict analysis in the context of carbon neutrality," Energy, Elsevier, vol. 264(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Ilbahar, Esra & Kahraman, Cengiz & Cebi, Selcuk, 2022. "Risk assessment of renewable energy investments: A modified failure mode and effect analysis based on prospect theory and intuitionistic fuzzy AHP," Energy, Elsevier, vol. 239(PA).
    2. Shahnazi, Rouhollah & Alimohammadlou, Moslem, 2022. "Investigating risks in renewable energy in oil-producing countries through multi-criteria decision-making methods based on interval type-2 fuzzy sets: A case study of Iran," Renewable Energy, Elsevier, vol. 191(C), pages 1009-1027.
    3. Nguyen Thi Tuong Anh & Hung Quang Doan & Tuan Anh Bui & Nam Hoang Vu & Duong Thuy Thanh Le, 2022. "A Revisit of Motives for Chinese Outward Foreign Direct Investment: The Role of the Institution in Host Countries," SAGE Open, , vol. 12(4), pages 21582440221, December.
    4. Huang, Youxing & Yang, Yu, 2023. "Determinants of Chinese energy OFDI location decisions and entry failure risk: The roles of public diplomacy endeavors and firm investment strategies," Energy, Elsevier, vol. 267(C).
    5. Huang, Jianbai & Liu, Jia & Zhang, Hongwei & Guo, Yaoqi, 2020. "Sustainable risk analysis of China's overseas investment in iron ore," Resources Policy, Elsevier, vol. 68(C).
    6. Yu, Donghui & Gu, Baihe & Zhu, Kaiwei & Yang, Jiawen & Sheng, Yuhui, 2024. "Risk analysis of China's renewable energy cooperation with belt and road economies," Energy, Elsevier, vol. 293(C).
    7. Tan, Man & Yang, Dengyu & Yang, Qijing, 2023. "Institutional quality, asset specificity, and foreign direct investment," Journal of International Money and Finance, Elsevier, vol. 134(C).
    8. Buitrago R., Ricardo E. & Barbosa Camargo, María Inés, 2021. "Institutions, institutional quality, and international competitiveness: Review and examination of future research directions," Journal of Business Research, Elsevier, vol. 128(C), pages 423-435.
    9. Andrew G Ross & Maktoba Omar & Anqi Xu & Samikshya Pandey, 2019. "The impact of institutional quality on Chinese foreign direct investment in Africa," Local Economy, London South Bank University, vol. 34(6), pages 572-588, September.
    10. Dylan Sutherland & John Anderson & Nicholas Bailey & Ilan Alon, 0. "Policy, institutional fragility, and Chinese outward foreign direct investment: An empirical examination of the Belt and Road Initiative," Journal of International Business Policy, Palgrave Macmillan, vol. 0, pages 1-24.
    11. Wen, Wen & Ke, Yun & Zhao, Tingyu & Zhang, Mengjiao, 2023. "Managerial foreign experience and outward foreign direct investment: Evidence from China," International Review of Economics & Finance, Elsevier, vol. 88(C), pages 650-669.
    12. Yuan, Jiahai & Li, Xinying & Xu, Chuanbo & Zhao, Changhong & Liu, Yuanxin, 2019. "Investment risk assessment of coal-fired power plants in countries along the Belt and Road initiative based on ANP-Entropy-TODIM method," Energy, Elsevier, vol. 176(C), pages 623-640.
    13. Alvaro Cuervo-Cazurra & Anna Grosman & William L. Megginson, 2023. "A review of the internationalization of state-owned firms and sovereign wealth funds: Governments’ nonbusiness objectives and discreet power," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 54(1), pages 78-106, February.
    14. Kong, Qunxi & Guo, Rui & Wang, Yang & Sui, Xiuping & Zhou, Shimin, 2020. "Home-country environment and firms’ outward foreign direct investment decision: Evidence from Chinese firms," Economic Modelling, Elsevier, vol. 85(C), pages 390-399.
    15. Yin-Wong Cheung & Jakob Haan & XingWang Qian & Shu Yu, 2014. "The Missing Link: China's Contracted Engineering Projects in Africa," Review of Development Economics, Wiley Blackwell, vol. 18(3), pages 564-580, August.
    16. Yixing Yang & Md. Qamruzzaman & Mohd Ziaur Rehman & Salma Karim, 2021. "Do Tourism and Institutional Quality Asymmetrically Effects on FDI Sustainability in BIMSTEC Countries: An Application of ARDL, CS-ARDL, NARDL, and Asymmetric Causality Test," Sustainability, MDPI, vol. 13(17), pages 1-29, September.
    17. Hunjra, Ahmed Imran & Azam, Muhammad & Bruna, Maria Giuseppina & Verhoeven, Peter & Al-Faryan, Mamdouh Abdulaziz Saleh, 2022. "Sustainable development: The impact of political risk, macroeconomic policy uncertainty and ethnic conflict," International Review of Financial Analysis, Elsevier, vol. 84(C).
    18. Huang, Xinli & Liang, Yanze & Webber, Don, 2024. "Strategic asset-seeking acquisitions by emerging market multinational enterprises and the liability of emergingness," Journal of International Management, Elsevier, vol. 30(4).
    19. Anderson, John & Sutherland, Dylan & Hurst, Jamie, 2024. "Measuring Chinese MNE activity: The challenge of corporate inversions and capital in transit related FDI," Research in International Business and Finance, Elsevier, vol. 70(PA).
    20. Federico Carril-Caccia & Juliette Milgram Baleix & Jordi Paniagua, 2019. "The foreign direct investment-institution nexus in oil-abundant countries," Working Papers 1903, Department of Applied Economics II, Universidad de Valencia.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:tefoso:v:183:y:2022:i:c:s0040162522004528. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.sciencedirect.com/science/journal/00401625 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.