The Reconsideration For The Investment Pattern Of Foreign Manufacturing Enterprises In China

With the development of economic globalization and market economy,the investment policy for foreign investment is being opened up,the quantity of foreign companies enter Chinese market is increasing year by year,the investment patterns when foreign enterprises enter Chinese market have been concerned more and more.Last several years,foreign companies which enter Chinese market still focused on manufacturing enterprises,compared with the service,research & development and trade type enterprises,manufacturing enterprises need to consider and analyze more factors when they want to confirm a best enter pattern.Currently,the development of China economic is rapid,domestic market environment is changing,foreign companies also need to adapt to the demand of Chinese market.According to the different enter patterns,transnational investments have two kinds of investment patterns,which are greed-field investment and transnational M&A(merge sand acquisitions),this article combines the characteristics of manufacturing enterprises include the technique,industrial scale,managing cultural differences,host country policy changes and future investment value variable factors and so on,then we analyze and get the best entry pattern.This paper based on LS magnetic wire company which invested in China as a case,analyzing the enter pattern and business conditions,in order to get maximized investment return,the investment pattern need to be optimized and innovated.Now the investment environment and the influence factors are changing,so foreign enterprises need to adapt the development of the current economic situation in China,we should to optimize the previous investment patterns.We hope to provide some references for some foreign enterprises which will choose the investment patterns in China.