| Chinese construction machinery industry is the most important subsectors of equipment manufacturing industry. Its development plays a vital role in the growth of national economy. And the industry is an important guarantee to achieve industrialization. Under the background of economic globalization, Chinese government implements the "go global" strategy. The main construction machinery enterprises like Sany, Zoomlion, Liugong make global plan with this strategy. In 2015, the policy "One Belt and One Road" was put forward, focusing on the development of roads, railways and other infrastructure construction, energy and related industries. This also provides an important opportunity for the development of construction machinery industry.If the enterprises want to go out, one of the crucial strategic decisions is to choose the international market entry mode. However, due to the lack of the in-depth research in target countries and market, un-clear strategic objectives, the lack of international experience and so on, the enterprises make wrong choice on entry mode. Thereby it will affect the enterprises' operational status in the international market. Therefore, it's of theoretic and realistic significance to study the international market entry mode.In this paper, the questions "how Chinese construction machinery enterprises choose the entry mode and which factors are" are put forward, then tease out the domestic and foreign literatures about the international market entry mode. After reviewing the concept and classification of the entry mode, the paper focuses on the analysis of the internal and external factors, and analyzing the current situation of the construction machinery enterprises'choice on the international market entry mode. On the cases analysis, this paper combined the three classic cases about how Sany enters into the major markets India, USA and Germany. Then it summarized and analyzed the choices and factors of its international market entry mode. From this the problems appeared, and the reasons are analyzed. Chinese construction machinery enterprises want to stand out in the international market, not only to improve the internal competitiveness, but also according to the current external factors, combined with the internal advantage and choose the appropriate entry mode. In addition, the government as a strong backing for enterprises going out, it should create a good home environment. To optimize the management of the exchange rate and improve the international trade, investment laws and regulations. Also it must strengthen the international exchanges and cooperation, in order to improve the identity of international market for Chinese construction machinery enterprises, thereby reducing the organization and management's risk from cultural differences. |
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