The incentive for large corporations to take part in venture investment includes: obtaining innovation resources from outside, the high uncertainty and risk in high－ tech R＆ D, the soft－ budget constraint and low incentive in internal R＆ D.

Seeking technical advantage is the world s leading countries to respond to the increasingly fierce competition in the market an important means of technology R&D investment rate of return is the focus of attention of enterprises, from the enterprise level technology research and development on the proceeds of economics has become a hot is.

With a two-stage game model of R&D-production,the paper analyses the effects of market scale,wage level and R&D quantity of the host country on R&D quantity of MNCs through the competitive modes of Cournot,Stackelberg and Collusion from the FDI perspective.