Research On Environmental Factors Of Foreign Direct Investment Of Shanxi Modern Service Industry

After three decades development since carrying out the reform and opening-up policy in1978,the economic development has been reached a new stage, which also contributes to the economicboom in Shan Xi province even the whole country. Studying on the all-sides scale of Shan Xifinance and economy, there are, however, certain issues: the improper industry structure, lack ofgrowth impetus and international competition. A new development strategy of economictransformation has been put forward, in the background of international industry diversion andpushing the transformation of economic development form in China. It is the principal mission thathow to boost the industry transformation in Shan Xi. Developing the modern service industry couldgive birth to optimizing industry structure and competition among industries. Whereas, heavyindustry has governed the central part of development in Shan Xi, which triggers off the unhealthydevelopment in service development that could make negative efforts on the progress ofindustrialization. It turns out that service industry developing can’t be postponed.There are considerable ways to develop the contemporary service industry. This thesisadvocates the productive ways are leading the abroad investing to service industry and being up tothe international diversion in service industry. Regarding that, steps should be taken to optimize theabroad investing circumstances and fix the problems in practice. Counting on the detailed statementof situation and problems on applying abroad investing to Shan Xi service industry, this thesis aimsto make comparison on the direct contributing factors to the abroad investing circumstances:economy factor, opening scale of service trade, fundamental facilities and HRM etc. After theempirical check in using the OLS econometric model, to achieve the goal, there still a number ofmatters need doing. The developing measures should be working together, in terms of improvingthe Administrative and legal circumstances, strengthening the fundamental facilities construction,speeding the process of opening-up in contemporary service industry, bringing in and training talentand capable personnel and urging the induced influences of IT industry to service industry.