Research On Location Choice Of China’s Outward Foreign Direct Investment

Currently, the world is in a period of rapid development of economic globalization. In order to maintain their competitiveness in this period, it is necessary for every country to keep pace with the globalization process and to select the road of economic internationalization. As the largest developing country in the world, China is also trying to achieve the internationalization of the economy. Since the reform and opening up, China’s FDI has obtained considerable development, especially in recent years, China’s foreign Investment quota gets strong growth. As of the end of2011, the total flow of China’s foreign investment has reached74.65billion U.S. dollars, its investment stock reached＄424.78billion, the Chinese enterprises which invest in foreign countries spread all over177countries and regions. In such a good momentum of development, China’s enterprises should strive to seek the optimal strategy for FDI,and the choice of investment location is the first factor to be considered. Therefore, it is of great significance for the study of the investment location choice.This article uses panel data of55countries to conduct a regression analysis to study how the different location factors to affect investment location choice. The article is divided into six chapters:Chapter1is an introduction, describing of research significance and background, research methods and ideas; The content of chapter2is literature review of home and abroad, including theoretical and empirical; The third chapter is the theoretical analysis of foreign investment, moving from the investment due and the institutional factors; Chapter4analyzes the status quo of FDI of Chinese enterprises, using a large number of charts and data to illustrate this stage of development, and proposing many problems that exist in the currently China’s FDI; The fifth chapter is the empirical analysis of influencing factors,using the model to test the factors of the location choice, reaching conclusion that different factors have different impact on the location choice; Chapter VI is put forward some suggestions based on the third chapter and the fifth Chapter empirical results.From the perspectives of corporate and government, the article proposes how to optimize our choice of investment location, so as to promote the development of China’s foreign direct investment.