Chinese Enterprises In The Investment Of Political Economics Analysis

Since the implementation of the reform and opening-up policy, China’s FDI has been developing rapidly,"Going Out" Strategy has become an important part of the basic state policy of China’s opening up to the world. Africa maintains good political and economic cooperation relations with China. In recent years, China’s direct investment in Africa has a continued growth; a good development trend has been formed.Firstly, this thesis sorts out the formulation and implementation of the "Going Out" Strategy and evaluated by quantitative researches from five aspects:the benefits of Chinese enterprises’overseas investment, the subject of foreign investment, the configuration of overseas enterprises staff, the distribution of Chinese overseas investment industry and the geographical distribution of FDI flows. And then, the thesis select Chinese investment in Africa as the starting point, doing a further analysis of the current situation of Chinese enterprises’investments in Africa from four aspects:the amount of the investments, the coverage area, the number of overseas enterprises and the field of investments. This thesis argues that the Chinese enterprises investment in Africa has the following characteristics:the complementary industrial structure, and the protection mechanisms, the promotion of local enterprises in Africa, and also revealed many problems in the development process. Zambia Chambishi copper mine is selected as a case study to find the political and economic reasons for its repeated strikes. It was found that in the investment process in Zambia, Chinese enterprises paid insufficient attention to issues such as labor relations, working conditions and environmental protection, as well as the problems of their own enterprise system, the localization of corporate and the shortage of complex talents. And this thesis also analyzes the impact on Chinese enterprises’investments from the perspective of the alternation of leaders in host country and the overall environment and policies of the investments.Chinese enterprises’investment in Africa has some advantages of its own, but is facing greater challenges, how to deal with investment risk, to control the government involvement, and to assume the social responsibility is the problem that Chinese government and enterprises have to think about. This thesis argues that at the government level, to strengthen the protection of China’s overseas interests, to dilute corporate government color and to deepen regional/country studies are good methods; and at the corporate level, necessary research and analysis about the host country’s investment environment, policies and regulations, and customs should be done before "going out", and after "going out", the enterprise need to improve the investment diversification, enterprise localization and regulatory standardization.This thesis uses IPE theories and the case study approach to find the problem and causes in Chinese enterprises’overseas investment process, and possess certain referential significance to o improve the development of both the enterprises and "Going Out" Strategy.