A Research On The Round-tripping Investment By Chinese Private Enterprises

At present, round-tripping investment by Chinese private enterprises has become a prominent phenomenon in our country.In China, British Virgin Island has already become the second largest source of FDI for several years. It seems that establishes a shell companies in international tax paradises like British Virgin Island, then injects the enterprise assets into the shell companies, and lists overseas, has become a tendency. It has caused market order confusion.This phenomenon has attracted many researchers'attention. The thesis researches the round-tripping investment particularly.This article has mainly used the method which combines the qualitative analysis and the quantitative analysis.The essay will research the problem from 6 chapters.First of all, it introduces the theories about FDI and round-tripping investment by Chinese private enterprises.In the second chapter, the paper shows the abnormal features of Chinese FDI. We think the abnormal phenomenon caused by the round-tripping investment by Chinese private enterprises.Chapter three describes the present situation of round—tripping investment by Chinese private enterprises , and summarizes the research conclusion on the quantity of that.Fourthly, it analyzes the advantages and disadvantages of round—tripping investment by Chinese private enterprises from the private enterprises and the country. To private enterprises, it's good to them,because it widens the financing channels. But,to the development of the country, it would reduces the growth of tax revenue and causes other negative effect.Fifthly, it thoroughly analyzes the reasons of the round—tripping investment by Chinese private enterprises from the land policy,tax revenue policy,openning field,and domestic financing. The treatment to private enterprises is very different from foreign investment enterprises. They are prejudiced seriously. In order to pursue the benefits, the private enterprises chose the round-tripping investment.On the basis of the analysis above, the last chapter brings up some policy recommendations to solve the problem of the round—tripping investment by Chinese private enterprises from both short-term and long-term perspectives. It points out that in the short term, we should block carefully with strengthening information screening; And in the long term,we should primarily rely on reorganize the economy order to improve the private enterprises'competitive power.This paper attempts to make contributions in the following aspects.Firstly,at theoretical respect, there is very few research on the view of the round—tripping investment of the private enterprises . So, choosing this issue to carry on thoroughly exploration itself is an innovation.Secondly, many of research confuse the round—tripping investment and capital flight. So,the author differentiates them in the thesis.At last, the thesis should improve in two aspects.First,my knowledge scope is so limited that I can just tell the research of the discrimination between FDI and round—tripping investment superficially.The next, the scale of the round—tripping investment is not very concrete.