Study On Overseas Investment Performance And Influence Factors Of The Resource-based Enterprises

With the development of our country’s economy and the rapid increase of level of industrialization, the consumption of mineral resources is becoming larger. Some mineral resources are seriously less supplied, increasing dependence on imports.Under the background of the depth of globalization, more and more enterprises go abroad and invest overseas. In this process, some companies not only gain many strategic mineral resources, but also learn international advanced technology and management mode, greatly benefiting the development of the enterprises. However,some enterprises practice terribly in overseas investment, with the enterprises’ operating conditions go from bad to worse. So, whether overseas investment benefits enterprises or not launch a fierce discussion among academic members.Some scholars think that there are more disadvantages for resource-based enterprises invest overseas. As a developing country, we invest overseas late, lack of experience, and have no right of speech in international resource market. it is difficult for our companies to compete with large multinational companies form developed countries in fierce international market. Therefore, Chinese enterprises should slow the pace of overseas investment. Some scholars believe that resource-based enterprises should invest overseas. In their opinion, investing overseas is beneficial for companies to learn advanced technology and experience, which are necessary for them to enhance competitiveness and are also the inevitable requirement for our country when considering our resources conditions.Considering scholars’ Controversy and the current situation of resource-based enterprises in our country, this article analyzes the performance of resource-based enterprises with empirical method. In order to have a deeper understanding of overseas investment performance of the resource-based enterprise, comparison research method is widely used in paper. Specifically, overseas investment performance is compared with domestic investment performance, investment performance in developed countries is compared with performance in less developed country, and private enterprises’ performance is compared with state-owned enterprises’ performance. In addition, after reaching investment performance of the resource-based enterprises, this article tries to use the multiple regression method to find factors that influence the resource-based enterprises overseas investment performance thus to help improve the success rate of the overseas investmentresource-based enterprises. Through the empirical analysis, this paper gets the following conclusion:Firstly, 67% of the sample enterprises’ performance improved in the year of investment, all of the sample enterprises’ performance improved in the first year after investment, and 96% of the sample enterprises’ performance improved in the second year after investment.Secondly, the change of the performance of the resource-based enterprises overseas investment was bigger than domestic investment enterprises. the performance of the overseas investment enterprises increased at first and than decrease. the performance of the domestic investment enterprises declined at first and than rose. Within two years after the investment, the improvement of the overseas investment performance was greater than the domestic investment performance.Thirdly, the improvement of the private enterprise overseas investment performance was greater than the state-owned enterprises. The performance of Private enterprises and state-owned enterprises improved at first and than declined.Fourth, the performance of the enterprises invested in developed areas was higher than the enterprises invested in less developed areas. The performance rose at first and then declined.Fifth, the proportion of state-owned shares, the holding ratio of the target enterprise, the first two and the former top ten shareholders holding proportion effects on overseas investment performance passed the test of significance; The factor affecting the performance of domestic investment was only state-owned shares, which passed the test of significance.