Articles

China: FDI attracting strategy

Vostok/Oriens '2016, №4

 
The article focuses on China’s strategy for attracting foreign direct investment (FDI). The author uses the concept of strategy, based on model of strategy map by Robert Kaplan and David Norton. Favorable investment climate is considered as a driving force of FDI inflows and the core of strategy. To evaluate the achievement of strategic objectives a number of indicators produced by international organizations and consulting companies was chosen. Composite index of favorability of investment climate in China is calculated on the base of indicators in question. This index was 8.02 out of 10. Such components as the size of the domestic market, an attractive balance of work force skills and costs for wages, a wide geography of FDI protection through bilateral investment agreements made a decisive contribution to the highly favorable investment climate.

Keywords: FDI, strategy, investment climate, strategic objectives, key performance indicators

Pages: С. 161–171