China's Offshore Investments

'This book presents an interpretation of China's outward direct investment in the last quarter century. The research is motivated by the phenomenon that, compared with foreign investment in China, direct investment from China has so far attracted relatively little attention from researchers. It is hoped that this research can make a contribution to the body of knowledge on foreign direct investment (FDI). . . The difficulties in providing a convincing explanation of the pattern of China's outward FDI by using mainstream theory called for a different approach. For this purpose a network model of FDI was developed for this book by formalising network ideas from business analysis for application to economics analysis of FDI.'- From the introduction by the authorPresenting a thorough analysis of China's outward Foreign Direct Investment (FDI) in the last quarter of a century - something little explored in the literature - this book explores the rationale behind its emergence and development. China's outward FDI exhibits unique features in respect of timing, pace and geographical distribution that defy the existing mainstream theories of FDI. China's Offshore Investments uses the framework of a network model of FDI, which is developed by applying economic norms to ideas of networks in business analysis. This network model has been designed specifically by Dexin Yang for the purpose of theorising the changing pattern of FDI in the era of globalisation in general and interpreting China's FDI in particular.Dexin Yang's analysis reveals that Chinese firms engage in FDI for a variety of networking benefits. Accordingly, the geographical distribution of China's outward FDI reflects the distribution of network benefits required by Chinese firms and the relevant cost saving impacts of obtaining such benefits. As the functioning of networks relies on certain elements particular to market economies, the author argues that the development of China's outward FDI was affected by the progress of marketisation in China. This book is a fine contribution to the body of knowledge on FDI in developing countries and transitional economies. Scholars and researchers interested in the fields of FDI and Multinational Enterprise (MNE) analysis, economic development and the Chinese economy will all find this book of great interest. Policymakers will also find much to engage them within this book.