Internationalization Of Chinese Enterprises, Business Model And Strategic Research

With the trend of China entering WTO and world economic integration, Chinese enterprises?internationalization trend is becoming an irresistible historical process. It has become an important probleirr to all entrepreneurs, economists and governmental decision-making institutions. Chinese enterprises international developing and managing strategy is discussed arid is suggested iii the thesis.Chapter first look back enterprises?international managing history, and then introduce some leading foreign direct investment theories, including Specific Advantages Theory, Product Life Cycle Theory, Internalization Theory, Aliber's Theory, Kojirna's Theory and Eclectic Theory of International Production etc.Chapter 2 analyzes the present Chinese enterprise status, and then the necessity and feasibility of enterprise international managing is discussed. The chapter also discusses the prerequisite of Chinese enterprises?international managing. The chapter then draws 5 major conclusions of Chinese enterprises?competitiveness, such as the sequence of Chinese enterprises?internationalization is from industry with higher comparative advantages to industry with lower one, one by one. It is not the labor-intensive enterprises of China, which first should be internationalized, but the high-tech ones. The sequence of Chinese company foreign direct investment should be from high-tech industry to traditional manufacturing industry, then to international project contracting one, and then to labor-intensive industry. Chinese high-tech enterprise should have the first priority to do direct foreign investment, and will get a strong market share in most developing countries. Chinese labor-intensive enterprises should not be encouraged to transferred to other countries, but could be transferred from Chinese developed region to undeveloped region.Chapter 3 points out that China mainland market will be the first arena between Chinese enterprises and Western enterprises, while the overseas developing countries?market should be the second one. Concerning the development strategy of Chinese company, the author concludes that Chinese enterprises should avoid those capital-intensive industries, but should focus in those intelligence intensive industries. Chinese enterprises should merge some Western enterprises of the same industry or of the upstream industry to improve Chinese enterprises?technology and management level, and to expands market share in developed countries and developing countries.Chinese economic policy should encourage high-tech enterprises and traditional manufacturing enterprises to do FDI and the author suggest an economic community among China, Japan and Korea etc., should be established.Concerning international managing strategy of Chinese enterprises, the chapter suggests Chinese enterprises should pay more attention of the representation in China of foreign enterpnses. Concerning direct export, first it is very important to set representation in the target country, and second it is a very useful method for Chinese enterprises to become a supply chain of international enterprises. Concerning FDI, Chinese big enterprises could merge some Western designing firms, high-tech laboratories etc. to get advanced technology.