The Study Of Some Issues On The Transnational Investment Of Enterprises

The globalization of economy makes the MNC and FDI popular in the international economic research. With the deepening and widening of these researches, many researchers attach more and more attention to newly-rised problems. But, with a general view of the globalization of economy, there are many phenomena which can be explained smoothly by classical theories. Therefore, the review of classical theories in some chapters of the article constitutes an indispensable part of the whole article logically.The article tries to answer the following three questions: what conditions the enterprises should have before transnational investment? After that, which entry mode the enterprise should choose? Then, how to choose the host country in international investment?The article consists of six parts. First, in order to give the analysis a general sensible background, I describe the development of MNC and FDI in the past fifty years, and summarize their present characters, which are also the framework for the article to explain. In the second part, I review some classical theories and some opinions on them. Then, I introduce subsequent theories and clarify the phenomena those theories can explain. In part three, by the comparative analysis, I try to answer which entry mode the MNC should adopt in transnational investment. And I offer an idea to analyzes the question from supply and demand. Then, with the analysis of Chunlan case, I put forward a qualitative answer to the question. In part four, I review the classical location theories and the location factor in new economic geography, clarify the factors which effect the location choice of MNC, and explain the imbalance of MNC's geographical distribution and the convergence of FDI in some degree. In chapter five, from a global view to a Chinese view, I analyze the local determinants of the FDI to China by an econometric method. At last, I advance some relevant advices on an enterprise and government basis separately, which make thearticle more realistic.The innovation of the article lies in two sides. For one thing, I analyze the problem that how to choose the entry mode from supply and demand, that's to say, from the two conditions of the realization of factors. For another, I use three types of data to analyze the location choice, and the panel data is seldom used in relevant literature, but it shows a significant effect in explaining.