Study On Foreign Direct Investment Of Japanese Small And Medium-sized Enterprises

The Small and Medium-sized Enterprises (SMEs) play an important part in Japanese Economy, and make great contribute to the development of the Japanese Economy. Although Japanese SMEs's FDI activities started very late, they developed very fast. With the deepening of the economic globalization degree, more and more Japanese SMEs started or are starting FDI activities. Chinese SMEs can learn a lot from the Japanese SMEs's FDI activities. This paper analyzes theories on SMEs's FDI and the recent situation of Japanese SMEs's FDI activities, and makes some practical suggestions to the development of Chinese SMEs's FDI activities.In many developed countries, SMEs's FDI share a big part in the all enterprises. The amount of the SMEs that took activities has reached a certain scale, according to the statistical data of many countries in 1980s. More and more SMEs took or are taking FDI activities under the background of deepening degree of economic globalization. The development of theories on SMEs falls behind the condition of SMEs's FDI activities, because many scholars at home and aboard focused on researching FDI of large enterprises at beginning. Studying on the Japanese SMEs's FDI can help the research of other countries'SMEs's FDI. There are many fiscal, financial and technical policies for SMEs in Japan. Japanese SMEs did well in dealing with problems in the process of FDI, such as SMEs and SMEs merged or SMEs and large enterprises merged in order to improve the ability to compete in globalization. In China, most of the enterprises that take FDI activities are state-owned enterprises or large multinational enterprises. Less SMEs like private enterprises take the FDI activities, they don't have much experience about FDI, so they meet many problems to be solved in the process of FDI. This paper discusses how to improve the Chinese SMEs's FDI by analyzing the situation, advantages and problems of Japanese SMEs's FDI, which is good for the development of Chinese SMEs's FDI.This paper is dividend into five chapters. The first chapter is the introduction, which introduces the purpose and significance of writing this paper, literature review, the article structure, the innovation and deficiencies. The second chapter first describes the definition of Small and Medium Enterprises, the definition of FDI and FDI of Japanese SMEs, then introduces the theories that can explain the Japanese SMEs's FDI activities. The third chapter describes the recent situation of Japan SMEs's FDI activities, including the motivation, determinant, location distribution, industry distribution and ways of investment; it also mentioned the withdrawal from overseas. The fourth chapter analyzes the Japanese SMEs's advantages in starting FDI activities, including technology advantages, management advantages, policy support advantages and intermediate organization advantages. It also points out the problems that Japanese SMEs met in the process. Learning from the Japanese experiences, the fifth chapter makes suggestions to the development of Chinese SMEs's FDI activities, according to the problems that Chinese SMEs met in the process of FDI activities.The article, comprehensive referenced to all kinds of documents, latest statistics data, and FDI theories about SMEs, makes comprehensive discussion on Japanese SMEs's FDI, comes up with its opinions, in order to solve the problems that the Chinese SMEs met in the process of foreign direct investment and promote the development of Chinese SMEs's FDI.