Since the reform and opening-up of China, there is a great progress of China's FDI, which plays a positive role in the internationalization and modernization of China's economy. The article discusses China's FDI in terms of strategies, including five parts.In the first part, FDI is introduced, including the concept, cause and trend, the necessity of China' s FDI is also recommended.In the second part, the significance of FDI strategy is demonstrated from the point of creating the conditions of micro-investment projects, realizing the goals of macro-foreign investment and the traits of FDI.In the third part, the factors which influence the choice to strategy of China's FDI are analyzed , (1) the mechanism: there are some defects in the macro-investment management and the micro-operational mechanism because of the planned economy, thus leading to the negative results of China's FDI; (2) the economy development level: the shortages of domestic capital, the biggish market volume and the lack of the innovation of technology for the enterprises which reduce the motive of FDI affect the China's FDI; (3) the resources: the shortage of China's resources means that China have to acquire recourses from overseas to make up for itself.From the point of the development of international economy and investment environment, the overseas factors are analyzed which includes the international factors and the host country factors. (1) The international factors affect FDI by means of international investment agreements among countries and Merger & Acquisition of Transnational Corporation. (2) the investment environment of the host country affects FDI by evolving the host country's FDI policies and the economy development level.In the fourth part, there are both sides of medal for FDI in process of entering the WTO. On one hand, it provides a fair competitive environment and incentive ofFDI, on the other hand, it pricks up the enterprises competition and makes the investment management more difficult.In the fifth part, on the base of the above analysis, the strategies of FDI are introduced.The subject strategies of FDI are discussed from the point of the scale of subject, FDI project and private enterprises' status. It is that giant enterprise groups linked up by capital must be dominated among the investment subject, the scale of FDI project must be expanded and the private enterprises' status must be promoted.The industry strategies are discussed from the point of the correlativity of the choice of enterprises-industries, the turn and direction of the industries development in the process of China's FDI. It is that the enterprises' radiating effect must be strengthened in the process of FDI, the investment of manufacture must be increased in term of the order of industries' investment, the investment in labor congestion industry must be increased to exert the industry advantage, the direction of the investment must be consistent with the direction of advanced structure of domestic industries.The regional strategies are discussed from the point of principles in relative advantage and the graduation. It is that the best regions of acquiring resources from overseas are Middle-East, Russia and Africa and so on, the best regions of processing trade are the developing countries, the best regions of study-type are the developed countries, such as the US, Europe and Japan in term of relative advantage. The best regions of primary investment are the ASEAN in term of graduation. |