2007Tropical GeographyRequires access

Comparison of the Location Condition of Foreign Direct Investment between Hunan and ten other Provinces in China

HE Qing-yun

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Abstract

By using the method of Grey Correlation Analysis,the foreign direct investment(FDI) in Hunan and 10 representative provinces(municipalities) in China are studied,in which the representative indexes of location factors are set up.With the place-to-place contrast analysis of correlative factors,the location condition of FDI in Hunan is discussed.The results show that: economic scale and capacity of market,regional globalization degree and dependence degree on foreign trade,informatization level,infrastructure conditions,geographical location and location inertia decide the location choice of FDI,while industrialization level,labor cost,urbanization level,marketization degree and development level of tertiary industry have certain effects on FDI.Hunan has some advantages in informatization development degree,infrastructural facilities,labor resources,science and technology and tertiary industry level,but disadvantages in dependence degree on foreign trade,financing ability,industrialization level,etc.

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By using the method of Grey Correlation Analysis,the foreign direct investment(FDI) in Hunan and 10 representative provinces(municipalities) in China are studied,in which the representative indexes of location factors are set up.With the place-to-place contrast analysis of correlative factors,the location condition of FDI in Hunan is discussed.The results show that: economic scale and capacity of market,regional globalization degree and dependence degree on foreign trade,informatization level,infrastructure conditions,geographical location and location inertia decide the location choice of FDI,while industrialization level,labor cost,urbanization level,marketization degree and development level of tertiary industry have certain effects on FDI.Hunan has some advantages in informatization development degree,infrastructural facilities,labor resources,science and technology and tertiary industry level,but disadvantages in dependence degree on foreign trade,financing ability,industrialization level,etc.

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Available abstract

By using the method of Grey Correlation Analysis,the foreign direct investment(FDI) in Hunan and 10 representative provinces(municipalities) in China are studied,in which the representative indexes of location factors are set up.With the place-to-place contrast analysis of correlative factors,the location condition of FDI in Hunan is discussed.The results show that: economic scale and capacity of market,regional globalization degree and dependence degree on foreign trade,informatization level,infrastructure conditions,geographical location and location inertia decide the location choice of FDI,while industrialization level,labor cost,urbanization level,marketization degree and development level of tertiary industry have certain effects on FDI.Hunan has some advantages in informatization development degree,infrastructural facilities,labor resources,science and technology and tertiary industry level,but disadvantages in dependence degree on foreign trade,financing ability,industrialization level,etc.

Key concepts: Marketization, Foreign direct investment, Industrialisation, Informatization, China, Investment (military), Urbanization, Business

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