| Research on Chinese national oil companies (NOCs) strategic modes is a comprehensive way to shed light on their competitive environment since their'going global'. As such we make an empirical study of the various determinants that they choose in diverse market especially in Africa to help ensure their effective operation. However, for lack of aggregate data of some countries though important in terms of their potential of natural resources, we then resume our work to selective countries (Algeria, Egypt, Nigeria and South Africa).We therefore find out that China's OFDI in Africa is mainly influenced by (1) OIL and NATGAS factors; (2) Our analysis also shows us that crude oil is the main driving forces of China's FDI in Egypt and South Africa. The natural gas factor plays a key role in Chinese FDI in Nigeria.In other words, Chinese foreign investors seem to perceive oil as one of the main driving forces for their investments in Africa.Related to the strategic modes Chinese firms adopted when going out, we also find out (1) China's oil companies may want to make full use of domestic and international "two markets" and "two resources", to achieve national oil security and to pursue maximum profits, (2) the bulk of Chinese OFDI in developing countries is mainly natural resource seeking and market seeking motives, (3) the strategic areas for China's oil companies abroad to explore include Middle East, Middle Asia, Russian, African, South American and Asia-Pacific area.China oil industry consists of state-owned companies, its strategies for building relationships with oil producing countries had to be synchronize with is foreign policies, both economic and diplomatic. This could be both a benefit and a constraint.Given these, china's oil strategy has three basic elements:-Differentiate.Chinese initiatives from those offered by the western governments and their oil companies.-Leverage china's comparative advantages while downplaying its disadvantages. -Focuses on those countries in which there was a high probability that oil reserves would grow and where china could negotiate arrangements to its long-term.This thesis studies Chinese petroleum corporations' investment in Africa from the theory and real diagnosis angle. The full text is divided into seven parts.Chapter one is the introduction of the dissertation which mainly expounds the meaning, purpose, main thought and framework based on the analysis of the actual and theoretical backgrounds of the research. We explore the descriptive overview of Chinese enterprises' FDI in Africa. Chinese' firms are increasing investing in different continents and regions. The ways they invest are specifically based on multinational firm strategy to make profit. Strategy for any particular country is made almost independently of the firm's interests and operations in other parts of the world. We define our methodology and the main innovations of this thesis.Chapter two is the main part of theory inference. We will elaborate the main theories of foreign direct investment and the internalization. Since the location choice of investment and the entry mode are valuable criteria when investing abroad, and then we will cover some of the recent theories of FDI.Chapter three is a SWOT analysis of Chinese petroleum corporations' investment in Africa. This is essential in terms of locating their underlying strengths as well as weaknesses, opportunities as well threats.In Chapter four, we investigate the main strategies of Chinese petroleum corporations' investment in Africa namely the entry mode, the location strategy, the operational strategy and the marketing strategy. This managerial concept is intended to prove fundamental changes or innovation brought in their operation.Chapter five focuses mainly on three case studies of the big three Chinese oil companies:China National Petroleum Corp. investment, SINOPEC's FDI and China National Offshore Oil Corp. investment. A comparative study of Chinese and Western oil companies shed light on their similarities and differences. These case studies focus on several aspects of their strategies.Chapter six is an empirical analysis and it shed light on the key determinants of Chinese petroleum corporations'FDI in four African countries (Algeria, Egypt, Nigeria and South Africa). Our empirical study focuses on the correlation analysis and the regression analysis. The first shows the relations between Chinese enterprises' FDI flows and some variables (GDP, imports, exports, total trade, inward FDI, exchange rate, crude oil, natural gas, population, inflation and GDP per capita) that we judged essential for this analysis of the host countries.Chapter seven is a conclusion of the thesis. We made some recommendations that can further help and develop Chinese petroleum corporations in their investment in Africa. It also discussed the limitation and further research direction.From the view of the literature review and the research conclusion, the innovation of the dissertation mainly shows in following seven aspects.Firstly, this thesis puts forward Chinese foreign direct investment in Africa based on the analysis and case studies;Secondly, the dissertation develops the strategic modes of Chinese petroleum enterprises' investment in Africa based on Chinese and foreign research, and obtains a result with high reliability and validity by experience study which provides support for further research in the field;Thirdly, the thesis tests the relationship between China's FDI and oil and natural gas factors, which not only enriches theory research but also provides more detailed instruction for China actual energy strategy formulation.Fourthly, foreign direct investment (FDI) represents an important source of finance for developing countries particularly the African ones. The major consumers of African oil are the United States, Europe and fast developing countries of Asia. It is pertinent to study Africa's oil production in the light of overall global oil demand.Fithly, we investigate the main strategies of Chinese petroleum corporations' investment in Africa namely the entry mode, the location strategy, the operational strategy and the marketing strategy. This managerial concept is intended to prove fundamental changes or innovation brought in their operation.Sixthly, our empirical analysis shows us that natural resources particularly crude oil and natural gas are the main drivers of China's outward FDI in Africa.Seventhly, China's oil companies are different from their Western counterparts because they receive the support of Chinese government and banks. They also operate in highly risky regions. Finally, I wish the dissertation can serve to the work of more interested researchers.
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