China's Multinational Enterprises Strategic Choice

In this article, we analyze the status quo, problems and countermeasures of Chinese corporations' transnational operation grounded on the principle of theory with practice. The goal of the analysis is to grope for a way of transnational business competition with Chinese characters by drawing on the achievements of west countries and summing up the practice of our country.The study in transnational business strategy field at home began at the end of 1970s. It is still in its infancy, compared with a history of over one hundred years in developed countries. Currently, the investment of Chinese corporations mainly concentrates on the industry of exploiting products and resources in the area of North American and Asia and the Pacific. After analyzing the actuality of Chinese transnational operations, we find that the scale of overseas investment is too small and the area of investment is too strait.The main cause of the problem is the lack of financial stronghold and sufficient capitals. Most of Chinese enterprises have no definite strategic objects for themselves, and are short of analysis for the international market during the course of oversea investment. Therefore, there are a lot of deficiencies on both the selection of industry project and the position for investment region. Simultaneously, Chinese enterprises have to select basic investment industry and relatively behindhand methods because of low management level.As to the current situation of Chinese enterprise's transnational Business, we have to do positive strategy analysis. On the one hand, we should try hard to explore tactics for the transnational operations through transnational main body strategy, location strategy, industry strategy, market entrance strategy and financial strategy. On the other hand, they should improve their own management level, learn from the experiences of Western Transnational Operations, reduce the gap between them and the developed country's step by step, combine with the reality of China to find out a Transnational Operation method with Chinese characters.