Chinese Private Enterprises In International Business Strategy Discussion

Over the twenty years of opening and reform, Chinese nongovernmental enterprises have gained surprising achievements. Nongovernmental enterprises have become the main power in Chinese economic development, and hold an important position in the national economy. In 1999's industrial appreciated value, nongovernmental enterprises occupied 2/3 of it. Nongovernmental enterprises have been increasing at a rate of 20% per year while the State-owned Enterprises decrease at a rate of 10%-15% per year. Therefore, some specialists predict that the nongovernmental enterprises will become the mainstream in Chinese economy in 21 century with respect of the Chinese economic development trend and world economic tide. China has formally entered WTO in Doha on 19,November, 2001 after 15 years efforts. On one hand, Chinese nongovernmental enterprises will have more opportunities to go into the international markets and contact with foreign companies, they will survive and develop in competitions; on the other hand, after joining the WTO, a new situation has formed that the domestic market and international market constitute a huge market, and multinational operation is an inevitable trend. Chinese nongovernmental enterprises will grow strong when they actively participate in the international competition and experience a lot of difficulties and dangers.Thus, how the nongovernmental enterprises can implement internationalized operation has become an important subject in China. This paper tries to research the strategies suitable for Chinese nongovernmental enterprises internationalized operation by analyzing the internationalized operation strategy applied by Sino-Japanese jointventure Sichuan Leshan Tiancheng Industries Limited Company.This paper is divided into four chapters.The first chapter analyses and describes the development and internationalized operation status of Chinese nongovernmental enterprises, and analyses the main reasons why the nongovernmental enterprises have to implement internationalized operation combined with comparable advantageous theory, product international life period theory and resource distribution status in different countries.The second chapter analyses and describes the good opportunities and favorable policies Chinese nongovernmental enterprises are faced with after China entry into WTO, and analyses the major problems encountered in the course of Chinese nongovernmental enterprises carrying out internationalized operation.The third chapter puts forwards some considerations about Chinese nongovernmental enterprises in the internationalized operation with respect to the main problems existing in the course of Chinese nongovernmental enterprises carrying out internationalized operation and the natural features of Chinese nongovernmental enterprises.The fourth chapter analyses an example. This chapter researches the internationalized operation strategy of Sino-Japanese joint venture Sichuan Leshan Tiancheng Industries Limited Company, analyses the thoughts and measures taken by the company in the internationalized operation combining related theories, and summarizes the achievements and existing problems in the internationalized operation of Tiancheng Company, and brings forwards some corresponding methods to solve the problems. In a word, because Chinese nongovernmental enterprises encounter some common problems in the course of internationalized operation, drawing some successful experiences of other enterprises will bebeneficial to the nongovernmental enterprises, with regard to how to implement internationalized operation, and this is also the purpose of this paper.