The Impact From Investment Climate In Mainland To The Investment Location Choice Of Taiwan Enterprises

The investment from Taiwan enterprises to the mainland has been developed rapidly, and it plays an important role of the cross-strait economic development. When Taiwan enterprises select investment location in the mainland, they have shown great geographical differences, and the Taiwan enterprises have shown new trends of investment location decentralization and space diversion in recent years. The characteristics and trends of Taiwan enterprises investment location choice are affected by various factors. The paper uses data of the Taiwan electrical and electronics industry association "Chinese mainland area investment climate and risk survey" report and related statistical yearbook, analyses assessment on investment climate of the mainland by Taiwan enterprises, and studies affection and the mechanisms from investment climate to Taiwan enterprises location choice.The paper comes to the following conclusions by empirical research,Firstly, the investment climate has important affection for Taiwan enterprises to select investment location. When Taiwan enterprises select investment location, the local investment climate is an important factor that needs to consider. At this stage, legal environment has the greatest influence to attract Taiwan investment in the seven factors of investment climate, especially the administrative efficiency of government and fairness in law enforcement.Secondly, the impact on investment location choice is affected by enterprise performance. Investment climate has an important impact on the performance of local foreign-funded enterprises, and the business environment and infrastructure directly affect the performance of local foreign-funded enterprises. On the other hand, the performance level of local enterprise decides the location attraction to Taiwan enterprises, and affecting investment amount in the location by Taiwan enterprises. Therefore, the impact mechanisms from investment climate to investment location choice: the investment climate affects the performance of local three-funded enterprises, thereby further affecting the amount of Taiwan investment in the region.