Research On Chinese Foreign Direct Investment Location Choice

Since 2002, Chinese foreign direct investment (FDI) has been rapidly developed, with an average annual growth rate at 54.4%from 2002 to 2009. Until 2009, Chinese foreign direct investment (FDI) flux has reached $ 565.3 billion dollars, to become fifth-largest in the world and the biggest source of overseas direct investment of developing countries. However it is out of proportion to foreign investment development speed, study on Chinese overseas direct investment's location choice is so rare. It is unclear that how some location factors to influence foreign investment development. And study which is based on the theoretical study with empirical analysis policy suggestions is that scarce. The relation between location factors and foreign direct investment need empirical test.Location research is a crucial and important aspect in Chinese overseas direct investment research. Firstly this paper systematically analyzes location choice's thought of the foreign direct investment and location theory. Secondly, after a terse reviews about Chinese overseas direct investment's history, this paper focuses on analyzing Chinese overseas direct investment stock intercontinental distribution, industrial distribution and classification of stock according to investment type distribution through the combination plenty of detailed data and charts. It analyzes the development trend of the location selection through investment flux variation. Thus it sums up some problems in investment location's distribution.Thirdly, it makes systematic analysis on the location selection's factors of foreign direct investment, and it establishes three panel data model according to Chinese foreign direct investment enterprise market seek, resources seek, technical seek motivation. Then it carries three model on empirical test and analyzes inspection results respectively by adopting the general influence factors and the specific factors. Finally, it proposes systematic optimization location selection's suggestions of Chinese foreign direct investment from three angle between the government, enterprises and intermediary agencies.