On China's Foreign Direct Investment In Service Industry Under The Economical Globalization

With development of the economical globalization, The proportion of service industry unceasingly increases in the national economy in the countries all over the world. The world economic center turns to service industry, and service industry is playing a strategic role in the future prosperity of a courtry. The current service industry has already substituted for the manufacturing industry and becomes the mainstream of the international direct investment. FDI in service industry is playing a more and more vital role in the global industry and the market conformity, and gradually becomes "the adhesive" of the economical globalization. Under the economical globalization, if a country merely depends on the introduction of foreign capital to participate in the global division system, it can only passively accept the global strategic layout of developed country and its multinational corporations. It will have difficulty in getting the advantages in the economical globalization and the global division pattern. China has already joined in WTO and this symbolizes China's economy has already been brought into the world economic integration system. China's service enterprises should positively develop FDI in service which they have comparative advantages, and participate in the international division of labor. Then it can strengthen the international competitiveness of the service enterprises and promote the economy of our country truly to melt into the economical globalization. Therefore, choosing China's FDI in service industry under the economical globalization as topic of master paper has important practical significance.Since China's reforming and opening policy, China's service industry has already get a lot of progress in utilizing foreign capital. However, we are still at the start stage in developing FDI. The scale is not big. Meanwhile, the theoretic and positive research about this aspect is also obviously lagged. Thus, on the basis of the results of the existing research both at home and abroad and combination of the newest trends of FDI in foreign countries, this paper tries to give a systematic research on China's FDI in service industry. It starts with the motives of China's development of FDI in service industry. Through the theoretic and positive analysis, it states the theoretic basis and the economic effect of China's FDI in service industry. Finally, this paper analyzes some main questions that exist in the current China's FDI in service industry, and put forward the train of thought and suggestions on how to promote China's FDI in service industry.