Research On Influencing Factors Of Direct Investment In Countries Along The Belt And Road

Influenced by the global economic globalization,China first put forward the "The Belt and Road" initiative in 2013.The promotion of the "The Belt and Road" initiative not only benefits countries along the belt and road,but also brings new investment opportunities for Chinese enterprises.As the top priority of the "The Belt and Road" initiative,Chinese enterprises' investment activities in countries along the "The Belt and Road" have an important impact on the promotion of the "The Belt and Road" initiative.The research topic of this paper is to analyze the key influencing factors of Chinese enterprises' direct investment in countries along the "The Belt and Road" route.Based on literature analysis and enterprise interviews,the paper proposes 16 influencing factors of Chinese enterprises' FDI in countries along the "The Belt and Road" route from the perspectives of political environment,policy environment,economic situation,technological innovation ability,investment environment and the connection between host country and investor country.Furthermore,Fuzzy DEMATEL method is used to analyze the causality among various factors to identify key factors.Then,based on the results of Empirical research,the paper takes the investment of the three gorges corporation(Karot hydropower station project)in Pakistan as an example,and analyzes and evaluates the investment projects of the case enterprises from the perspective of key influencing factors.Finally,The paper put forward the proposal about how to improve the investment efficiency of enterprises in countries along the "The Belt and Road" route.The article identifies the four key influencing factors such as the political stability,the wage level,the investment facilitation level and the infrastructure level of the host country from 16 factors by comparing the cause and centrality of each factor.Then,the article describes the investment strategies adopted by the case enterprises to face key influencing factors,which provides inspiration for Chinese enterprises to carry out direct investment along the “Belt and Road” at the same time,teach Chinese enterprises how to avoid investment risks and help them to expand the scale of foreign direct investment of Chinese enterprises and Promote the smooth implementation of China's “The Belt and Road”Initiative.