The Location Strategic Choice Of Chinese Enterprises' Over-seas Mergers And Acquisitions

Since 2007, under the influence of the Sub-Prime mortgages,the world economy have come through a slow growth,then leading to global downturn. In this case, the value of foreign enterprise is often underestimated. If Chinese companies can seize the opportunity, through M&A, they can get higher quality assets, technology and market with cheaper prices. Therefore, in recent years, domestic enterprises have carried out over-seas M&A more and more. However, the current examples of successful implementation of over-seas M&A are little; most enterprises plunged into the plight. Of the some reason, the most important one is the acquisition of the target area selection mistakes. Different country has different economic development stage, geographical and cultural environment, so the resulting of over-seas M&A is totally different.Previous studies focused on location choice for green investment .The paper researches the location choice from the point of over-seas M&A investment. This paper selects the special historical background of international financial crisis, analysis over-seas M&A of Chinese enterprises investment in location selection respectively from the theoretical and empirical point.Chapter 1 introduces the background of this paper. Chapter 2 analyzes the Chinese enterprises'location choice of over-seas M&A from the point of theoretical view. Chapter 3 sums up the status of location choice of Chinese enterprises over-seas M&A investment through the case research. Chapter 4 analyzes the country risks of Chinese enterprises faced in over-seas M&A investment, the resulting shows that the economic crisis,political crisis and finance crisis are the most important factors to influence the location choice. Chapter 5 selects 40 countries and takes empirical analysis. The result shows that the GDP of host country can accelerate the amount of over-seas M&A, while the host country, China's geographical location and per GDP of the host country are inversely proportional to the amount of over-seas M&A. At last, the paper sums up the research conclusion about Chinese enterprises over-seas M&A region strategy choice. The paper finally gives further policy proposals from the different aspects.