Research On Localization Business Strategy Of Multinational Companies In China

Since the1980s, the global economic landscape has undergone major changes,and the world economic environment is into "transnational era", besides, regional economy is more and more obvious, multinational gradually become a major force in the world economy.These changes prompted multinational companies need to develop a more scientific and effective development of business strategies to meet the challenges and opportunities brought about cross-cultural investment,with improvements in business strategy, investment patterns, institutional management, in order to enhance their competitiveness, and thus gain a foothold in the target market.This article first defines a number of related concepts, such as multinational corporations, operating subsidiaries and localization of business meanings, etc., then the global and multinational companies in the development process of China were introduced and analyzed.Only in understanding the premise of its development process, thus we can further objective and comprehensive understanding of its current development status of the background.For the status of multinationals operating in China, the paper analyzed from two aspects:the first is the number of multinational companies in China and investment.This article lists the data as much as possible in order to understand the operation of multinational companies in China currently more comprehensive and deep from these data. The second is by analyzing the current multinational identify mistakes occur in developing strategies and business process,and then analyze the causes and negative effects of errors may arise for the company, hoping to provide experience and lessons for foreign companies and domestic companies.The main part of the paper discusses the localization of the main forms of transnational corporations operating in China, from procurement, technology and research, marketing, localization of management, and our government’s public relations, etc., through a number of examples of large multinational companies, this paper comprehensive analysis the major strategy form that multinational corporations in China’s developed. Finally, based on the above research study on the localization strategy, we draw some coping strategies of foreign multinationals to invest in China,and make some suggestions for our government and domestic companies.I hope our country can fully see the positive and the negative impact brought by multinationals to invest in China,on one hand, multinational proper policy support and guidance to accelerate the pace of reform and opening up, promote the development of China’s economy and society, on the other hand, also learn from the experience and lessons learned to help improve the management level of China’s domestic enterprises to enhance the competitiveness of enterprises promote domestic enterprises to the world, access to greater development.In today’s rapid development of globalization, Chinese enterprises to go abroad into the world, has become an inevitable trend. Hope this analysis and recommendations mistakes and experiences of multinational companies can give some reference to the Chinese government and enterprises.