Based On The Control Of The Evolution Of Sino-foreign Joint Venture

At present, China's direct investment in China's Multi-National Corporation compared with the early reform and opening up has been a huge change. On one hand, China's policy of attracting foreign capital after China's entry into WTO has become more and more favorable, on the other hand is the further development of China's reform and opening up to create a more stable and open market environment. Multi-National Corporation's direct investment in China is an important source of funds in our country, but also the carrier of China's use of global resources. It can be said that welcome the Multi-National Corporation to establish a company in China is also the effective use of foreign capital to improve their competitiveness, to enter the platform of globalization, to enhance and develop in the open competition. However, past to establish a Sino foreign joint venture enterprise as the main investment of an increasing number of multinational companies to "owned", and which part is the joint ventures to enter the China market, in the original on the basis of cooperation expanding proportion of equity, holding reach a owned Sino foreign joint ventures. So the investment of multinational companies in China "joint-owned" intentions slowly becomes clear, and Chinese enterprises will encounter the challenge of more severe, past the "market for technology" target no longer desirable, in active and passive integration into the globalization process requires more to grasp the initiative to meet challenges from multinational companies.The research to multinational corporation international joint venture "owned" as the breakthrough, expounds the correlative theories about multinational joint ventures and mergers and acquisitions, combined with the research status at home and abroad, puts forward the thinking of Sino foreign joint ventures "joint venture-M" phenomenon. From the perspective of a dynamic development of Sino foreign joint ventures, found the multinational companies from the aspects of control to realize joint venture merger evolution process. This research is based on the relevant research results combined with theories and facts, this research combined with theory and facts, from two aspects of equity and non-equity control reveals a Sino-foreign joint venture “joint venture–mergers”problem of control over the evolution and put forward to prevent being merger control allocation model of joint venture. By combining with case study, the typical failures and successful cases in the course of Sino foreign joint ventures--Guangzhou Procter& Gambleand Shanghai Volkswagen Company as the research object, a detailed analysis of the United States Procter & Gamble from non-equity to achieve the actual control of joint venture, and through the capital expansion shares holding owned the whole process and methods, from the Shanghai Volkswagen company equity equality under the common management model found, both the advantage of the split control of mutual trust and win-win is can achieve joint venture enterprise health management. Thus the analysis of the proposition is presented in the paper and can be verified. Puts forward the prevention of Sino foreign joint ventures “joint venture-mergers and acquisitions”, the proposed path enriched the conclusion for the case, for the enterprises of our country from the control angle of science reasonable utilization of foreign capital, to meet the development of Sino foreign joint ventures, get rid of enterprise M&A to provide a reference for achieve good enterprise credit management development model provides theoretical guidance.