Research And Application Of Overseas Mining Investment Location Choice

The research work of this dissertation is related with two projects, one is the EleventhFive-Year Science and Technology Plan of China-“Risk Evaluation Technology for theUtilization and Development of Foreign Mineral Resources (No.2006BAB08B01)”, whichincluding “Technical and Economic Evaluation on the Utilization and Development of ForeignMineral Resources”; the other is the Social Subject Developing Plan of JiangXi province-“Research on the Mining Investment Decision based on Flexible Theory and its Applications(No.09YJ238)”.This dissertation studied the location choice of China’s overseas mining investment. Basedon the systematic review of location theory’s origin and its development, many methods werecarried out to do the research: scene analysis method, multiple regression method, analytichierarchy process, objective weighting method, fuzzy mathematics method, qualitative andquantitative analysis method. It indicated that right location choice is very important to overseasinvestment. Also the principles and details of evaluating location condition were expounded.Besides, an empirical analysis on the location choice of Chinese mining enterprises’ overseasinvestment was implemented. The content and conclusions are as follows:First, based on the mineral resources demand strength evolutionary cycle theory, usedquadratic regression function and combined with scenario analysis method predicted the next10years’ domestic demand of copper resources, revealing that overseas investment is the main wayto solve the contradiction between supply and demand.Second, focus on the host countries’ mineral resources, polity, laws, economy and society,according to the characteristics of mining investment, each pivotal factor as well as theirimportance in the location choice was discussed.Third, an evaluation index system of location choice of overseas mining investment wasestablished, which is composed of four first-level indexes, eleven second-level indexes andnineteen third-level indexes. Then on the basis of the evaluation index system a constant weightmodel was established, and the weights of the third-level indexes were worked out throughanalytic hierarchy process and coefficient of variance method. After that, the variable-weighttheory was brought forward, and the weights of which were determined correspondingly, finally,combined with the index values, the variable-weight model was established.Fourth, interpreted the constant weight model and variable-weight model with a case ofChinese mining enterprises’ location choice of copper resources’ overseas investment, elevencountries which are rich of copper resources in the world were chosen to evaluate the location advantages, then the evaluation results were analyzed, and according to the evaluation results,several suggestions were brought forward: Chile and the developed countries are first choices, thedeveloping countries which possessed prominent resources advantage are second choices, whilethe developing countries which are poor of resources should be well considered before thedecision.