Europeanisation strategy of Chinese companies: Its perils and promises

The magnitude of outward FDI from China over the recent years has been impressive. It is widely acknowledged that China’s government plays an active role in encouraging its companies to go global and become multinational as they realise the value of outward FDI. The paper traces the development of China’s outward direct investment policies and discusses the various motives of Chinese companies' internationalisation. More specifically, in this paper we look at the European continent as the emerging destination for Chinese outward direct investment and analyse the implication this trend has for European companies and governments.

Key words: China, multinational companies, emerging economies, outward investment, public policy

JEL classification: F23, O52, E61

UNU-MERIT Working Papers ISSN 1871-9872