A Study On The International Operations Of China's Enterprises And Their Foreign Direct Investment

Chinese enterprises, foreign direct investment to its late start. In 1999, the Central Committee has put forward the "going out" strategy, foreign investment enterprises to speed up the pace significantly. Non-trade enterprises of direct investment to accelerate the pace of development though, still insufficient, but compared to the gap between world-class multinational corporations is still very great. In this paper, theoretical analysis and example of the combination of foreign investment to developing countries based on the theory of foreign direct investment of Chinese enterprises to carry out an analysis of the external environment, but also on the international operations of Chinese enterprises and transnational direct investment history, current situation and conducted in-depth discussions disadvantage , On this basis, the proposed cross-border business strategies of Chinese enterprises innovative ideas and suggestions.Full text is divided into five chapters. Chapter I sets out the topics of theoretical significance and practical significance, the problem relates to the relevant concepts and theories to do the overview, this article summarizes the main opinion and pointed out that the article of innovation. Foreign direct investment of transnational corporations, for China, is both an old question, but also a new problem in China is increasingly deepening integration into the economic globalization of the new situation, to further study this issue, both theoretical significance, but also have practical significance. Overall, China's enterprises in the transnational business process, there are still many problems, such as the scale of investment is relatively small, has not yet formed a global production management system, enterprise development stamina enough to resist the risk of power is relatively weak, are restricting our country multinational enterprises operating the further development of important factors. According to China's economic development stage, to follow the laws of the world's foreign direct investment, a modest development of enterprises of non-trade foreign direct investment , and Chinese are widely participate in international competition, and enhance the international competitiveness of an effective way. Foreign direct investment rather than trade area are important phase of business investment and securing investments Characterization of the key to success, to enhance corporate non-trade foreign direct investment in the global spatial distribution and trend of research has important theoretical and practical significance. Research on international operations of Chinese enterprises and transnational direct investment must first question clearly involved in some of the basic concepts and theories, including the concept of corporate international operations and its environmental analysis and strategy selection, the concept of international direct investment characteristics and investment evaluation index .Chapter II focuses on global economic integration with the accelerated pace of cross-border flows of international capital has become increasingly active and has shown lot of new features. International investment, especially foreign direct investment, continued liberalization and globalization of world economy is playing an increasingly important role, as the world economy is extremely active component.In the last few years, the United Nations World Investment Report of UNCTAD, based on depth analysis of the internationalization of Chinese enterprises operating environment faced by the world so as to arrive at our country to vigorously develop the need for foreign investment, substantial facts and figures before us, and competition stress from the different aspects of Chinese enterprises, policy makers and staff are required to assess the situation and stand together on a higher level study and solve our country's international business operations and external investment.Chapter III begins international operations of Chinese enterprises and foreign direct investment in history to start a phased manner in different periods of time demonstrated the Chinese multinational business and foreign-invested enterprises typical characteristics. Followed by the last few years, Chinese Ministry of Commerce issued by China's foreign investment bulletin as the basis, summed up the Chinese enterprises and the stock of foreign investment flows, investment flows, investment characteristics of the main aspects. Finally focus on overseas Chinese enterprises operating level compared with international standards exist for the wide gap between the analysis, grouped into seven areas of disadvantage.Chapter IV of the major developing countries to explore the development of international operations and foreign investment theory. Pointed out that foreign direct investment in developing countries are in the 20th century at the end of the 60's early 70's developed, there is a representative one of Japan Kiyoshi Kojima's "marginal expansion of industry," Dunning investment in the development stage of , L ? T ? Wells small-scale technical theory , Cantwell and Ti-tolland technological innovation and industrial upgrading in theory and S ? Lall technology places theory. These theories with the traditional set up direct investment in developed countries, empirical studies of basic theories of foreign investment compared to more in line with Chinese national conditions and the status quo, at the same time these theories must exist separately limitations, we can not completely according to copy, there is need to strengthen research and exploration of "Chinese-style" foreign investment model used to explain and guide our country enterprises into the world. No matter what kind of foreign direct investment patterns must be based on the country's reality, with its own specific development stage of adaptation, must be pragmatic, and development.Chapter V is the main core of this article. To develop an open economy, the implementation of "going out" strategy, fostering and development of China's multinational corporations, in an effort to make use of domestic and foreign resources, both markets have a new breakthrough in efforts to improve China's comprehensive national strength and international competitiveness. Although the Chinese multinational companies temporarily Department can not counterbalance the initial stage of an internationally renowned multinational companies, but it has broad prospects and great potential. Transnational operations of Chinese enterprises and foreign direct investment must have the competitiveness of foreign investment will be possible to obtain the proceeds of foreign direct investment, and achieve their immediate objectives and ultimate goal. Transnational operations of Chinese enterprises and foreign direct investment with foreign investment competitiveness faced with the most important problem is to choose what area of direct investment. Through some examples to explore the area selection method. Transnational operations of Chinese enterprises and foreign direct investment to determine the investment target country or target area, the investment will further selection, in accordance with the total cost and total revenue compared methods, for new investment and cross-border M & further elaborated manner, the use of Success Stories and failure cases, further analysis of new investment and cross-border M & way good or bad. Transnational operations of Chinese enterprises and foreign direct investment must enhance foreign investment income and risk at the same awareness, must be careful to circumvent the risks of all kinds, eventually forming a series of risk prevention measures. Government departments to further strengthen macro-control, and enhance the functions of government services, enhance administrative efficiency, provide enterprises with the investment environment and market information services to help enterprises set up the risk of early warning, prevention and emergency disposal mechanism.Conclusion that economic globalization, transnational corporations at the global level to strengthen the market position, reduce costs, improve efficiency, optimize the allocation of resources brought about by competition of industrial capital and financial capital of international mergers and acquisitions, restructuring more active one climax after another . In other words, the Chinese market will become one of the world an integral part of the market. With more and more Chinese enterprises, many large-scale, international operations, more and more Chinese enterprises in many areas is leading the world trend. Chinese enterprises only seize the opportunity to take a firm "going out" strategy, China will achieve the ideal of the powerful and the rich.