Wait a second!
More handpicked essays just for you.
More handpicked essays just for you.
China Economic Impact Of Globalization
China Economic Impact Of Globalization
China Economic Impact Of Globalization
Don’t take our word for it - see why 10 million students trust us with their essay needs.
Recommended: China Economic Impact Of Globalization
Foreign Direct Investment in China 1.0 Introduction I found this article "Foreign direct investment: Companies rush in with the cash" on the financial times website (www.FT.com) published December 11, 2002 written by John Thornhill. The reason for choosing this article is my personal interest in the Chinese economy and its attractiveness to the foreign investors. Apart from the foreign direct investment this topic has also helped me in understanding the impact of Chinese economy on the global market. China the land of giant panda has also become the land of numbers and achievments. Official figures shows that China's economy is the fourth largest in the world when measured by nominal GDP and is predicted to surpass Germany to take the third place in early 2008. 2.0 Summary China has come a very long way in the past 25 years. China has grown at nearly 10 percent a year over the past 20 years. China's explosion on to the world investment, production and trade scene is the product of its size, growth and openness. This is leading to tremendous changes in the global economy. China has become the second largest foreign direct investment recipient country in the world and the largest recipient among developing countries. Since 1978 the foreign direct investment has flooded into the country. In 2002 china became the first country for a very long time to attract more foreign direct investment in one year then the United States (bringing in US$53.2 billion while US$52.7 billion flowed into the United States). Foreign direct investment has played a vital role in the transformation of the Chinese economy in China, with value contracted increasing from US$ 52.1 billion (1998) to US$ 115.1 billion (2003). In geogra... ... middle of paper ... ...itten the full word Foreign direct investment and then in the brackets he has put the abbreviation (FDI). The article also give snap shot of the foreign companies who misjudge the Chinese culture, competition, size the market, and some other factors, have been badly affected by investing in china. The writer has given a name of the reference book in the article " The china dream" by Joe Studwell. He has also given an example of Dupont an American investor company in china to make the article easy to understand. The weaknesses of the article is some generalization, difficult language, some business jargons like cost-competitiveness, state owned enterprises etc. The main weakness in the article is, the author may use graphs or tables to elaborate facts and figures. 5.0 References www.ft.com www.bbc.com www.cbcnews.com www.oecd.org www.chinafdi.org.cn
China has an extensive history that spans thousands of years and various dynasties. Each dynasty has made their own significant achievements which have contributed to the shaping of China. However, some historians believe that because China followed a "dynastic cycle" for so long, the society was unchanging and stagnant. But the fact of the matter is that China was actually undergoing massive changes within itself which would lead to the shaping of a new China.
One weakness can be seen in the first few chapters with the presentation of dense information. ...
In the global media and especially in the US print media, there is hardly a single day that passes without the mentioning of China and either its internal affairs, or its dealings with one country or the other. China has become a resounding theme in current affairs because of its new role as a sponsor and a facilitator of growth and development projects in developing countries. The one particular region in the world where China’s influence has recently grown to be pervasive is Africa. This influence however faces a collar-grabbing excoriation from the media, from the West and from the World in general. Conversely, sincere opinions from other onlookers are of deep praise for the good and needed support that China is currently giving to African countries. This dual view of China’s development work in Africa has led to a Ying and Yang identity for her, naturally, and may possibly be slowing down the full potential of Chinese investment and development projects on the continent. This paper in response, aims to bring forth a more crystallized review and understanding of China’s role in Africa by seeking out both the positives and the negatives in the enactment of China’s role, and elucidating whether it has brought forth growth and or development.
I believe that one of the best investments I could make would be an FPI (foreign portfolio investment) into state-owned industries in China. Announced on April 23rd, the government has opened 8 state-controlled industries to investment. I’d recommend FPI (as opposed to FDI) in this venture because, while China is opening these industries up, they are not opening them up for control. Still, companies like Sinopec Ltd., a large oil company, are up to selling about 30% of the SBU that controls its filling stations, a unit valued at over $20 billion. As the middle class continues to grow and be able to purchase more items (like cars), the huge population’s demand for necessary products like these will continue to grow. Companies like Sinopec are adamant that they will not give up any control, and that’s why FPI would be preferable to FDI when it comes to these industries. Another significant reason that I’d prefer FPI over FDI in China is due to risk (political, socioeconomic, etc.) These companies say the reason they won’t lose control is because they don’t want to have to change their operational practices. With FPI, these companies won’t get paranoid that investors are trying to change them. The previous reasons are very specific, but China has general policies, procedures, and trends in place (good or bad) that make it plain for investors to see that they are wanted, and business is a priority. China has an autocratic government, which is very efficient in getting things done, so it is more conducive for companies to work in. China also has very low wage costs ($1.74 per hour). Also, China has some of the least progressive environmental regulations laws, which lowers costs. China’s GDP growth rate is still at 7.5% (14th in the wor...
To begin with, this research exposed a FDI puzzle between India and China through analyzing the current economic condition. Prime, Subrahmanyam and Lin (2011) stated, "Given their growth records, large markets, and reformed economic systems, both China and India appear to be equally likely candidates for foreign direct investment. Yet, China has received substantially more FDI" (p. 303).
China, located in East Asia, is the third largest country by area and the largest
...st and stand in the world. It is predicted that China will one day be the largest economy growing country in world. They continually growing and rebalancing their world to be the best. The growth of economy will depend on the Chinese government comprehensive economic reforms that more quickly accelerate in China transition to a free market economy. The consumer demand, rather than exporting the main engine of economic growth; boost productivity and innovation; address growing income disparities; and enhance environmental. (Morrison, 2014,para2)
From the 1970s, there has been a wave of liberalization in China, which was introduced by Deng Xiaoping. This is one of the key reasons to the rise of China to be one of the economic giants in the world. In the last 25 years of the century, the Chinese economy has had massive economic growth, which has been 9.5 percent on a yearly basis. This has been of great significance of the country since it quadrupled the gross domestic product (GDP) of the country thus leading to saving of 400 million of their citizens from the threats of poverty. In the late 1970s, China was ranked twentieth in terms of trade volumes in the whole world as well as being predicted to be the world’s top nation concerning trading activities (Kaplan, 53). This further predicted the country to record the highest GDP growth in the whole world.
Chinas Economy China has experienced major economic growth in the past forty years, but how did it develop into the economically powerful country that it is today? China has been through many difficulties and complications to get to the place it is today. China’s government is called the People’s Republic of China and it operates on a socialist market economy. The culture of China is very diverse, it has fifty-six minority groups and many cultures have their own languages. However, the Chinese culture is trying to transition from traditional Chinese culture to a more modernized version of Chinese culture.
In the year 2007, China and India ranked first and second respectively in the list of ideal foreign direct investment (FDI) destinations, according to A T Kearney, a global strategic management consulting firm (The Press Trust of India Limited, 2007a). The two nations, because of their similarities in geopolitical, economic and demographic aspects, are often compared with each other. To determine which one is more attractive for businesses to expand to, this essay will examine the business environment of both countries from the following perspectives: political/legal, economic, socio-cultural and technological.
The people Republic of China is one of the world’s most rapidly growing and developing economies. The introduction of China to foreign direct investment has given rise to a huge wave of multinationals from around the globe, establishing some important forms of operations and working in mainland China. (China Mike, n.d.)
Foreign direct investment policies in different countries influence the investment into business in a nation by a company of an alternative country.
The rise in China from a poor, stagnant country to a major economic power within a time span of twenty-eight years is often described by analysts as one of the greatest success stories in these present times. With China receiving an increase in the amount of trade business from many countries around the world, they may soon be a major competitor to surpass the U.S. China became the second largest economy, last year, overtaking Japan which had held that position since 1968 (Gallup). China could become the world’s largest economy in decades.
In Shanghai, there are many foreign investments have left. Because of change, those investors have frustrated about the economy in Shanghai as well as the worse and worse environment. They could not bear the bad weather even in Hong Kong (International Business Times, 2015). We should that China have a great change in economy and abstract lots of foreign company to invest in China. However, the increasing rent, labor, pollution. That make too many companies consider that China is still a better place to invest. And now, India and Vietnam may be a next choice for them to invest.
Foreign Direct Investment is a major source of capital for most developed and developing countries. It is usually difficult for countries to generate capital through domestic savings and based on their domestic strengths and capacities alone. It is even more difficult to import up-to date technology from abroad taking into consideration issues of transportation and the technical expertise required for operation,