The Study Of The Direct Investment From China To Latin-America

With developing of economic globalization, the situation of world economy is changed from leading by international trade from leading by international direct investment gradually. International direct investment is also changed from developed countries investing in developing countries to developed countries investing in developed countries, developing countries investing in developed countries, developing countries investing in developing countries. The globalizations of manufacture, allocation of resources and capital flow, require Chinese companies to internationalize. And accordingly, also bring the requirement of foreign direct investment to China.This dissertation reviewed theorization of FDI, and go deeply into guiding function of these theories for China investing in Latin-American countries. China's economy has been kept on developing quickly for many years. But with the fast growth, it exposed more and more problems. For example, industry unbalance, shortage in resources and so on .These problems consist the direct reasons for China investing in Latin-America which can not only make up the gap between the storage of resource and the need of economy development in the future, and require china to proceed industrial structure adjustment, transfer the excess productivity of the already saturated industry in domestic to other developing countries. Moreover, China encountering more and more trade barriers in export also urges Chinese enterprises to promote the foreign direct investment.To approach the reasons and feasibility of Chinese investment to Latin-America, the author has studied large quantity of data and cases, analyzed the direct investment situation from China to Latin-American and the complement between Chinese and Latin-American economy. Finally, the author has raised several practical suggestions for Chinese companies to solve the existing problems and obstacles in direct-investment in Latin-America. The result of this research could assist the international direct investment decision- making of both the government and business organization.