A Study On The Impact Of The Quality Of The Host Country’s Political System On Agricultural Foreign Direct Investment

China’s further expansion of opening up and the rapid development of foreign direct investment have provided new development space for resolving contradictions such as the growing shortage of resources in domestic agriculture,and foreign direct investment in agricultural enterprises has become increasingly active.It is worth noting that,based on the particularity of the agricultural investment field,the long investment income cycle and many restrictive factors have greatly affected the process of agricultural enterprises’ direct foreign investment.Throughout the recent years of foreign direct investment in agricultural enterprises,the influence of the quality of the host country’s political system has become increasingly prominent.The study of the quality of the host country’s political system will effectively provide realistic guidance for agricultural enterprises to carry out foreign direct investment,promote the smooth progress of direct investment projects,improve the degree of protection of direct investment income,at the same time,it points out a new direction for studying the location choice of agricultural foreign direct investment.Based on the perspective of Chinese agricultural enterprises,this paper constructs a theoretical analysis framework of the quality of the host country’s political system on China’s agricultural direct foreign investment,and systematically illustrates the mechanism and specific paths of the impact of the quality of the host country’s political system on Chinese agricultural enterprises’ direct foreign investment.Differentiating investment entities of different natures,through the analysis of the current situation of Chinese agricultural enterprises’ direct foreign investment,reveals the impact of various political system indicators of the host country on agricultural enterprise investment at different levels of political risk.The study found that investment in state-owned agricultural enterprises is concentrated in low-and middle-level countries with political risks,while foreign direct investment by private agricultural enterprises is concentrated in countries with low political risks.The quality of the host country’s political system has a positive impact on the direct investment of Chinese agricultural enterprises.The impact on state-owned agricultural enterprises is greater than the impact on private agricultural enterprises,and the quality of various political systems in countries with different levels of political risk affects large,its promotion effect is more obvious in countries with low political risks.Based on theoretical analysis,this article further conducts sub-sample empirical research on different subjects and different levels of political risk.The results show that the higher the quality of the political system of the host country,the greater the amount of investment and the possibility of investment by Chinese agriculture.When investing in countries with low political risk,agricultural enterprises will pay more attention to the quality of the political system of the host country;although the investment activities of state-owned agricultural enterprises are policy-oriented,their investment amounts are affected by the host country’s political system.The private agricultural enterprises’ foreign direct investment activities and investment amounts are affected by the quality of the host country’s political system.The impact is greater than the impact on private agricultural enterprises.Therefore,this article believes that Chinese agricultural enterprises’ foreign direct investment should start from its own characteristics,give play to their respective advantages,and improve international competitiveness;strengthen the cooperation between enterprises to jointly resist investment risks;when investing,focus on the degree of perfection of government supervision and legal rules of the host country’s political system;the Chinese government should provide financial support,actively build a platform for corporate dialogue,and at the same time strengthen cooperation between countries,reduce host country political risks,and provide protection for Chinese agricultural enterprises’ foreign direct investment.