A Research Of Promoting The Linkages Between Host Country Enterprise And Multinational Corporations

More and more researches demonstrate that, in recent years the relationship between enterprises has changed from competition to cooperation, the foreign direct investment also will produce "double wins" result to both the host country and the multinational corporation. FDI can cause the exchange between the host country enterprise and the multinational corporation in the information, technology, skill and other properties continues, the linkages produced by this kind of exchange specially plays an extremely positive role to the host country, therefore from the host country angle to promote the linkage between the host country and multinational corporations appears especially importantly.The domestic enterprise first enters the market through the middle goods supplier, produces the backward linkages with the multinational corporation, along with the multinational corporations'technology transfer, the human resources seepage and market competition strengthening, more and more middle goods suppliers join to the downriver industry production, and these middle productions in turn stimulated the final product production development, thus caused more host countries enterprise and the multinational corporation invests into the final product production, which has formed a way of circulation accumulation causes and effects. We can finally promote the development our country's industry through this kind of dynamic linkage way, and cultivate the host country correlation enterprise's competitive ability.The foreign direct investment has many positive effects on the Chinese economy. But along with foreign capital advancement speeding up, some risk factors in the using of foreign capital gradually appear. The research discovered, the low linkage rate between the domestic enterprise and the multinational corporation causes many disadvantage factors. The foreign investment "enclaves effect" is a key factor for the weak linkage, the processing trade causes the domestic enterprise to be independent to the multinational corporation whole world production chain. Therefore the Chinese government and the enterprise need to formulate the countermeasure measure from macroscopic and microscopic to promote the linkage with multinational corporations.