The World Automobile Multinational Companies To Invest In Mainland China Strategic Studies

TNC is the first in the West economically developed countries to the creation and development of a business entity in these countries, the multinational companies have several decades of history. Major multinational companies with strong risk tolerance, flexibility and diversity of competition strategy, financial accounting complex and difficult, as the management and coordination ability, and the diversification of production and operations of the higher level of the five characteristics. TNC is a product of international productivity movement, is a worldwide, rational, and effective distribution of resources in the form of a business organization. Multinational companies reflect a national industry and the monopoly of foreign economic exchanges and the depth of its allocation of global resources is the primary means of foreign direct investment. In today's world, TNC is integrated global resources, and promote the globalization of the world economy and integration of the most important factors, by virtue of its solid strength in the international capital has become a particularly productive capital in the global campaign main carrier and guiding force. International investment as an international capital and international production transnational flow of capital as a form of capital is from one country or region into another country or region's economic activities. Along with the rapid development of multinational companies, the impact on the world economy has become increasingly prominent and international investment theory in international investment practice gradually formed and develop. In November 1978, the State Council passed the Chinese auto industry and multinational companies on the proposed cooperation, this began a multinational companies to enter China's automobile history. Today, ordinary Chinese people can basically buy in the market listing of the various global synchronous motor vehicles. In the automobile industry in the process of globalization , multinational companies played a key role. Transnational corporations and the globalization of production management strategy, a global scale with a more rational allocation of resources. Contemporary auto industry in the international division of the multinational corporations in large measure the external manifestations of the internal division of labor. With transnational automobile giants have a joint venture with the Chinese automobile enterprises, and in the Chinese market is accelerating its pace of progress, transnational automobile giants of the occupation of the Chinese market competition has become fiercer. At present, the development of China's automobile industry is the main characteristics of weak independent development capabilities, the introduction of more than imitate, less with independent intellectual property rights. The automobile industry dispersion, the industrial chain short, small-scale enterprises, and high production costs. Automotive multinational companies investing in mainland China there are many problems, lack of proper service system, low labor productivity, technological backwardness, lack of matching production with numerous issues including investment intensity of the existence of a certain degree, this has hampered the development of China's automobile industry. When transnational automobile giants in China playing the sexy time, China's automobile industry will be how to develop their mutual understanding Art of War says. Therefore, through in-depth analysis of transnational automobile giants in China's development strategy, we can deal with competition Response to the Challenges, and made China's auto industry able to economic globalization as an opportunity, in the fierce competition in the market healthy growth, and truly become a pillar of China's national industry.