What are the two types of outbound investment in general corporate actions?

There are two forms of overseas investment in general corporate behavior: one is new establishment, as the name suggests, a domestic company as a shareholder to set up a new company overseas, the shareholders of this company can not only have this company, but also other companies, mainly depending on the customer's situation; The second type is mergers and acquisitions, that is, the Chinese company as a shareholder acquires all or part of the shares of a foreign company, which is called mergers and acquisitions.

There are three main forms of international direct investment: greenfield investment, cross-border mergers and acquisitions, and equity and non-equity participation.

1. New investment.

New investment refers to the investment behavior of multinational companies and other investors in the target country to establish international business investment in new enterprises or new factories, so as to form new business units or new production capacity.

2. Cross-border mergers and acquisitions.

For a certain purpose, an enterprise in one country buys the entire assets of an enterprise in another country or shares in exercising control over its operations through certain channels and means of payment.

3. Equity and non-equity participation.

1) Equity participation: refers to the share of equity held by multinational companies in their subsidiaries.

2) Non-equity participation: It mainly refers to the fact that the multinational corporation does not participate in the shares of the host country company, but provides various services to the host country through technical, management and sales channels that are not directly related to equity. Non-equity arrangements are mainly flexible measures adopted by TNCs in the face of nationalization policies in developing countries and the gradual withdrawal of foreign capital.

They are also an important means of maintaining their status as developing countries.

Hello, the investment type of multinational corporations 1: resource-oriented investment, resource-oriented investment, that is, the outward direct investment made by multinational corporations to obtain a certain resource. In the face of the growing domestic demand for raw materials and the worldwide energy crisis, transnational corporations must make direct investments in resource-rich countries to solve the problem of resource shortage and ensure the normal operation of their production. 2. Export-oriented investmentThe purpose of export-oriented investment is to maintain and expand the export market.

Since the domestic market is limited, with the development of production and the intensification of competition, domestic demand will soon be saturated, so the size of the export market share is of great significance for the survival and development of multinational companies. In the era of protectionism, when normal means could not bypass tariff and non-tariff barriers, transnational corporations practiced OFDI. 3. Cost-Reducing InvestmentDue to the rapid rise in labor costs, multinational corporations in developed countries and some newly industrialized countries have shifted the production of labor-intensive products to countries and regions with abundant and cheap labor resources through foreign direct investment, in order to seek low labor costs.

In addition, the transportation costs saved by investing and building factories near the raw material production area, the financing incentives of the host country**, low land rent, low tax rate, etc., also help multinational companies reduce costs and obtain comparative benefits. 4. R&D investment in advanced technology is an important factor for multinational companies to win in the international market competition. R&D investment refers to the establishment of high-tech subsidiaries or control of existing high-tech companies in the host country through investment in advanced countries, and use them as the forefront of scientific research and development and the introduction of new technologies, new processes and new product designs.

Multinational companies engage in R&D investment, mainly to break the technological monopoly and blockade of competitors, and obtain advanced technology that cannot be obtained by general ** or technology transfer license agreements.

Answer]: The main forms of participation of multinational corporations in foreign investment are:

1) Form of equity participation.

Equity participation of a multinational corporation means that the parent company has a certain share of equity in the foreign subsidiary. There are two main ways to obtain equity, namely, the acquisition of enterprises and equity investment. Multinational companies can choose different forms of equity participation according to their own strength.

2) Non-equity arrangement.

Non-equity arrangements are a form of investment that has been gradually and widely adopted since the 70s of the 20th century. It is to establish close ties with and profit from the companies of the host country through the control of various resource technologies such as technology, management, sales channels, etc., and through the signing of a series of contracts to provide various services to the host country. For multinational companies, non-equity safety socks are a flexible investment method that not only greatly reduces the company's operating risks, but also obtains considerable profits and a certain degree of actual control through a number of contracts.

1. All kinds of legal persons in China, including all kinds of industrial and commercial enterprises, institutions and departments authorized by the state for investment, public institutions, etc., are imitation legal entities in China and are subject to the jurisdiction of Chinese mainland law.

2. Overseas enterprises or institutions controlled by domestic investment entities, through which domestic institutions invest overseas. These overseas enterprises or institutions are not legal entities in Chinese mainland and are not subject to the relevant laws of the Mainland, but when domestic institutions invest abroad through these overseas institutions, they still need to perform the corresponding approval procedures in accordance with the policies and regulations on the approval of relevant domestic enterprise investment projects. Similar to international practice, natural persons who are qualified to invest in China can also invest abroad.

(1) Location advantage theory.

This was proposed by Professor Walterlsard. This theory is a development of the theory of direct investment, which not only explains why investors invest abroad, but also provides a good answer to the geographical location of the investment.

2) The theory of international production eclecticism.

The theory was founded by the British economist John Harry Bunning, and was caused by the limitations of various theories of international direct investment that emerged after World War II, which only explained international direct investment from a certain point of view, and had no universality. Since 1973, he has used the method of eclecticism to conduct a general and comprehensive analysis of various theories of international direct investment, combining the theory of monopoly advantage, the theory of internalization and the theory of location advantage to form the theory of international production eclecticism. Dunning's theory of international production compromise has made great progress compared with the various international direct investment theories mentioned above, but it is proposed to target the outward direct investment of transnational corporations in economically developed countries, and its scope of application is still not broad enough to explain the outward direct investment of developing countries.

3) Theory of comparative advantage.

The theories of international direct investment that were popular before the 70s of the 20th century, mainly focused on American multinational corporations, and these theories could not explain Japan's OFDI problems well. Based on the situation of Japan's foreign investment at that time, Professor Kiyoshi Kojima of Japan put forward a new theory, the "Theory of Marginal Industrial Expansion", also known as the Theory of Comparative Advantage. This theory is a macro theory that explains OFDI in terms of the comparative advantages of both countries, and it is a good reflection of the characteristics of Japan's OFDI at that time.

It is more suitable for direct investment from newly industrialized countries in developing countries. However, there are shortcomings: it denies the role of monopoly factors in direct investment and avoids the consequences of developed countries maintaining an irrational international division of labor through OFDI.

A brief review of the above theories shows that these theories are basically formed on the basis of the analysis of Western multinational corporations, and also shows the importance of the theory of "going out" suitable for Chinese enterprises. How to explain theoretically or use what kind of theory to guide the behavior of Chinese enterprises to "go global"? For example, go to the ** first, what way to do it, etc., all need to be clarified theoretically.

Only in this way can we better guide the action of "going out".

Irrigation mourning, please do not refer to it).

It seems that not only did you not study well in class, but you even forgot the ** request I made to you in the last class. I hope that my cleverness will not be seen by me, otherwise, students, we will have to meet again next year! Sheet.

Our questions for this year's exam, ask for answers.

This one... Ask for the same answer, Mr. Zhang's exam questions are not simple...

A bai-like multinational corporation to a participation in the investment has.

duThe following ways zhi:

First, foreign investors directly independent dao

Invest in the company. This category is generally an industry that has obvious competition and monopoly advantages with the region, instruments, material science, instruments and equipment, etc. It is an independent operation and has the same management model as the headquarters.

Second, foreign joint ventures. This kind of industry is generally engaged in the region is difficult to penetrate, through joint ventures to achieve strategic localization, investment fields include engineering, education, food and agriculture, etc., with a large amount of investment, indirect management, through dividends, allotment to earn profits.

Third, financing, this kind of general engaged in non-traditional industries, there are financial insurance, bonds, etc., generally through the market capital, direct financing investment, generally do not participate in management, with large returns, high risk characteristics. Multinational corporations have the characteristics of large investment scale, global centralized and unified operation and management, and comprehensive industrial diversification. On the contrary, compared with multinational corporations, other types of companies have smaller investment scales, decentralized management, and a single industrial structure.

Since the mid-80s of the 20th century, cross-border mergers and acquisitions have gradually replaced new investment and become the main way of outbound investment.

Development of multinational corporations.

It is the inevitable result of economic globalization and the great integration of global resources. The external factory of multinational companies is the result of combining the company's development strategy, global economic development and industry development considerations.

Among them, political, economic, and cultural factors are all important factors for multinational companies to consider. In the future, the expansion of multinational enterprises will accelerate, large companies in developing countries will also go abroad to participate in international competition, and the factors influencing the decision-making of multinational enterprises will also be enriched and complicated. ‍