A Study On The Foreign Direct Investment Of Chinese Enterprises

When the theories of the internationalization of enterprises and foreign direct investment is concerned, the main research done by the western economists since the 1960's is concentrated on the multinational corporations in developed countries, including the motive, decisive factor, development condition, growing experiences of multinational corporation. These theories reveal the process of how the multinational corporations grow up.With the industrialization of the developing countries in South Emerica and Asia ,such as China,South Korea andIndia , some corporations in these countries have grown into the comptitive force ,which began change their internationalization ways from internation trad into foreign investment. The changing situation has also reflected some new questions as followed: whether the developing countries's multinational corporations have been the reproduction of these in developed countries; whether this corporations'foreign investment is the result of its government's will.These question is worth thinking over.The Chinese enterprises'foreign direct investment began in the early 1980's, campared with FDI attracted by China and China's forein trade, to these days, its size is small too.Correspondingly, the research on the Chinese enterprises'foreign direct investment has laid in the staring stage and the research result is scattered.Therefore, how to promote internationalization level of Chinese enterprises; how to accelerate the enterprise to improve the competitiveness through taking part in the international competition, are vital strategic issues relating to optimizing our industrial structure.Concentrating on the growing process of China's multinational enterprises, the dissertation make an overall retrospection of the literature of internationalization of enterprises in developing countries systematically, the article studies attempts to employ the comparative advantage theory to explain the activities of foreign direct investment of Chinese enterprises. And it also gives the concrete answers to these questions, such as, whether the size of Chinese enterprises's foreign direct investment is consistent with China's overall ecomomy and why its size is so small; which mode Chinese enterprises should select when industries and areas they are ready to enter into are concered; which mersures China should take to change its exchange managemengt policy. The dissertation adopts the economitrics techniques and the cases study to analysize the question to draw a conclusion, take the example, the AHP(analytic hierarchy process).Part one serves as an introduction. The main-stream theories on the Trans-corporations are briefly looked back in this chapter, which shws the lack in the current studies and the significance in practice and in theory .it also define the main issues that will be discussed in the following chapters.Aming at the problems in a preceding part of this document, we investigate firstly the collective scope of foreign investment of our enterprise and check up the theory of foreign investment phase what Dunning has advanced . As a result, we discover the gap between the scope of the foreign direct investment and the theory of Dunning. From the point of view of the collective scope of our countery's economy, we might have the scope of foreign direvt investment being fitting for it.Part Two introduces a model of enterprises'hunting strategic resource after the introduction of such traditional theories on foreign direct investment as the monopolistic advantage theory, the product life cycle theory, and internalization, eclectic approach, the theory of comparative advantage, small-scale technology theory, technology adaptation theory as well as the theory of industrial upgrading of technological innovation.In order to explain the warp between the practice and the classic theory, we start with main body of foreign investment of our country and analyse deeply the multilayer character of foreign investment of our country. We conside that our country have not only the enormouse investment main body, but also the newly pullulating civilian enterprise. Various investment action mode of main point may explain the problems in a preceding part of this document.After putting forward the multilayer problem of our country's investment main point , we compare deeply the difference of various investment mainpoint choicing investment behavior. Especially aimming to the succeed case of civillain enterprise, we analyse the rationality of the investment choicing. Advance fitting the investing strategy thought of Chinese enterprise, basing our country's enterprise strategy choicing of foreign direct investment.In the part three, the practice of foreign direct investment by Chinese enterprises. These chapters make a theory testing on the phase's hypothesis of enterprises'foreign investment and give a detailed outline of the industry and regional selection decision.At last; the dissertation made an analysis on the effect of Chinese enterprises'investment and gives a discussion of exchange management system on foreign foreign investment, especial of the institution of foreign exchange controlling system. As a conclusion, the part give a option that there are different level in Chinese enterprise's foreign investment .Moreover, in this part, some suggestions to promote our country's enterprises foreign investment are given.