Research On China’s OFDI To The United States Of America

With the development of economic globalization, the development of international direct investment has developed rapidly. Meanwhile, foreign direct investment has become an important mechanism linking the national economy together, which has greatly promoted the development of economic globalization. At of the end of2013, total global FDI reached$1.45trillion. A lot of enterprise in China go abroad and choose to invest to make full use of the "two markets and resources", and then participation in the international market competition broader and deeper scope. China’s total foreign direct investment has reached$660.48billion until2013, ranking the11th among all of the countries in the world, and global flows of foreign direct investment hit a record high of$107.84billion, becoming one of the three major foreign investor in the world for the second year.According to the theory of international direct investment, FDI generally happened to developed countries, or the developing countries who invest to a poorer developing country, while China’s OFDI to the United States is against to the theory in the past. In recent years, China’s OFDI to the United States has developed rapidly, and the government and enterprises in China have not yet been fully prepared to go abroad, coupled with long-standing alert to China’s economic rise from United States, so there are a lot of obstacles to Chinese companies which choose to invest to the United States. It is in urgent need of government and business to work together in order to continue to expand China’s FDI in the United States.The paper summarized the theory of foreign direct investment from developing countries and then combined with the development of China’s foreign direct investment, features, Motivation, comparative advantages and issues of Chinese direct investment to the United States and China to the United States, and finally put forward some advices for the government and corporate.Chapter one is a review of the article.Chapter two introduces the Chinese direct investment to the America, and then summarizes up the characteristics of it from the four aspects, such as the scale of investment, the investment industry. Chapter three analyzes the motive of Chinese direct investment to the United States, and then introduces four comparative advantages to prove the feasibility of OFDI to the America.Chapter four analyzes the impact on China of China’s OFDI to the United States. In conclusion, China’s OFDI to the United States not only is the initiative to get the world’s advanced technologies.Chapter five discusses the various obstacles faced by Chinese enterprise when they choose to invest to the United States.Chapter six gives some advices on China’s OFDI to the United States from the government and enterprises.Chapter seven is the last part of the paper.China’s OFDI to the United States belongs to reverse type of OFDI, the paper has summarized foreign direct investment theory, case analysis, and comparative analysis to illustrate China’s OFDI to the United States. However, due to lack of data and bounding to my academic ability, there still are some issues in the paper that need further research and improvement.