A Study On The Selection Of Industries Of OFDI By Hubei Industrial Enterprises

In the early 1980 s, in order to enhance the competitiveness of enterprises and to accelerate the development of enterprises, industrial enterprises in Hubei Province had already begun to develop and promote international trade and investment. However, due to the limit of the economic development of Hubei Province, foreign direct investment of industrial enterprises in Hubei has not been well developed. At present, China’s economy has entered a "new normal" phase, economic growth has slowed down, which has put the industrial enterprises in Hubei Province in the threaten of the domestic market saturation, overcapacity and other problems. The development of industrial enterprises in Hubei Province has come to a bottleneck. Under such circumstances, the study of Foreign direct investment of Hube industrial enterprises is of great significance in a practical sense.The initial researches we need to carry out about the foreign direct investment of industrial enterprises in Hubei Province are which enterprises are suitable to go out and which are not at the present. So this article did a research on OFDI of industrial enterprises in Hubei Province from the perspective of the choice of industry. The research of this paper is carried out by the combination of practice and theory. In terms of practice, I carried out a detailed analysis of the present situation of Foreign Direct Investment of the industrial enterprises in Hubei Province; while in terms of theory, I constructed the Boston matrix model based on the competitive advantage and development trend of 33 industrial sectors, which enabled me to come to the spatial distribution of the industrial sectors with different competitiveness in Hubei and research on the sectors from different spaces. Through the comparative analysis of practice and theory, we can find that some competitive industrial enterprises in Hubei Province haven’t carried out foreign direct investment or the scale of foreign direct investment is quite small. Finally, some strategic countermeasures of foreign direct investment industry are put forward by combining the competitiveness of various industrial sectors.