The Financing Strategy For Small And Medium Sized Taiwan Business In Mainland China.

This study primarily aims to review the sources of the needed funds and the financing demands of small and medium sized Taiwan business in Mainland China. Since the Taiwan promulgated the Statute of Governing Relations between People of the Areas of Taiwan and Mainland China in 1987 which allows Taiwanese enterprises to indirectly invest in Mainland China through a third place. Then, cross-strait economic and trade relations have grown closer by the day. Owing to the Taiwan investment environment deterioration, for example like the increase of the labor cost, elevation of environmental awareness, highly increased cost of the land and the attractive of very large market and 1.3 billion human resource in Mainland China, the investment in Mainland China is a non-stoppable fad from Taiwanese enterprises.Taiwanese enterprises investing in Mainland China have gradually moved from traditional labor-intensive and export processing industries in the early stages to high-tech industries such as electronics and semi-conductor in recent years. As the quantity and nature of Taiwanese investment in Mainland China are rapidly increasing, the fund sources and financial needs to Taiwanese enterprises in Mainland China are becoming more significantly demand.