Study On The Risks And Avoiding Measures Of Foreign Investment Promotion

Foreign and domestic experiences show that the foreign investment promotion has been of great significance for economic development. Since the reform and opening to the outside world, China adopts foreign investment promotion policy actively and foreign investment plays an important role in the economic development, such as supplying capital, improving investing benefits and enlarging employment etc..At the same time, foreign investment also brings some unfavorable influences to us .Especially, when facing the tide of economic globalization, we will be a more important part of international economy, and the scale of utilizing foreign investment will be larger. The risks will appear progressively. Therefore it is the high time to study the risks of attracting foreign investment and offer some possible solutions. And that is the one reason why I choose this topic for my master's degree thesis. The method of standard study and case study is applied in this thesis.This thesis mainly covers five parts.The first chapter introduces the purpose and significance of this thesis and the study achievements in China and other countries. In contrast with the theories about favorable roles of foreign investment promotion, those studying the unfavorable roles are less .Furthermore, they seldom put forward the concept of foreign investment promotion risks, but mostly describe it as the unfavorable effects and protecting national economic safety. At present, more and more scholars are pay attention to it.The second chapter addresses the implication, cause and types of the risks .It's the base to analyze and avoid risks to understand them correctly. The foreign investment promotion risks mentioned in this thesis are defined in the narrow sense, that is, the possibility to suffer some losses. It analyzes the cause from both the internal and the external sides. The risks can be divided into different types according to different standard.The third chapter chooses several representative countries including USA,Japan,South Korea and India as samples to analyze and compare the international experiences in avoiding foreign investment promotion risks and gain the enlightenments for China.The forth chapter analyzes the situation of China on the base of general theory and international experiences. Firstly, study the present stage and main features of foreign investment promotion in China; secondly, analyze the risks during the process of foreign investment promotion; thirdly, probe into the avoiding measures in detail.The fifth chapter tries to take Wei Fang as an example to analyze what risks local government can meet and what should it do in avoiding risks.