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The extant research provides inconsistent results regarding the effect of outward foreign direct investment (OFDI) on firm productivity. There is no research on the effect of OFDI in belt and road (B&R) countries on Chinese firm productivity. In this paper, the impact of B&R OFDI on Chinese firm productivity and its influencing mechanisms are investigated. The main findings of this research are as follows. First, B&R OFDI positively influences productivity by alleviating firms' financial constraints. Second, the presence of market‐driven and production‐driven subsidiaries in B&R countries exerts a favorable moderating impact on firm productivity. Finally, the productive influence of B&R OFDI is more pronounced for firms in eastern China and for those in the energy and transportation sectors, and it is particularly significant for nonstate‐owned enterprises. These findings have practical implications for governments engaged in the design of effective policies for the promotion of B&R OFDIs and for firms developing robust OFDI strategies along the Belt and Road to improve their levels of productivity. [ABSTRACT FROM AUTHOR]

This paper examines market entrance and pricing strategies for a remanufacturer with capital constraint and competition from an original equipment manufacturer. In the study, the remanufacturer is divided into two types, namely the H-type and L-type, and is assumed to have access to bank loans and equity financing to ease the capital constraint. With the Nash game, it is found that (i) if remanufacturing is costly, the remanufacturer will choose partial remanufacturing and not enter into the remanufacturing market until the equity financing ratio excesses a certain threshold. (ii) A H-type remanufacturer is more flexible in term of market entrance than a L-type remanufacturer. (iii) The remanufacturer's profit increases first and then decreases in the equity ratio. (iv) Equity ratio and interest rate have opposite effects on the pricing of the new and remanufactured products. Furthermore, with some research extensions, it is exhibited that the results and managerial implications developed in the paper hold well for different financing modes and the random demand setting, and hence are robust to a good extent. [ABSTRACT FROM AUTHOR]