Strategic analysis of the engagement in the world economy by Chinese enterprises
Zhong Peng-rong
Abstract
Zhong Peng-rong
Abstract
Facing two different strategies taken by the Chinese enterprises in abroad investment, the Chinese government should not encourage too many companies to set up factories in foreign countries, particularly in some developed countries. Instead, the government should form a better environment for investment, and push China into such a country that will have the best environment for investment in the world. Meanwhile, through improvement of comprehensive environment, the government should let the cost of production in China decrease further, make China have its advantage in global competition, and help much more goods to be produced in China that are going to be sold in each area of the world. In this sense, we should learn from such companies as Glanz, Fuyao, and China city of retailing goods in regard to the problem of investment abroad.
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Facing two different strategies taken by the Chinese enterprises in abroad investment, the Chinese government should not encourage too many companies to set up factories in foreign countries, particularly in some developed countries. Instead, the government should form a better environment for investment, and push China into such a country that will have the best environment for investment in the world. Meanwhile, through improvement of comprehensive environment, the government should let the cost of production in China decrease further, make China have its advantage in global competition, and help much more goods to be produced in China that are going to be sold in each area of the world. In this sense, we should learn from such companies as Glanz, Fuyao, and China city of retailing goods in regard to the problem of investment abroad.
Key concepts: China, Government (linguistics), Business, Competition (biology), Investment (military), Foreign direct investment, Production (economics), World economy