International Acquisitions By China on the Rise

Introduction According to statistics of the Ministry of Commerce in China, in 2013, Chinese investors made overseas direct investment in 5,090 companies in 156 countries and regions. As of the end of 2013, China's overseas non-financial direct investment totaled $ 525.7 billion. In recent years, the number of international acquisitions by Chinese enterprises has greatly increased. Traditionally, companies believe that the use of scope and scale economies or market imperfections is the main way to gain a competitive advantage.

Within this theoretical context, discussions on the peaceful rise of China began with the rapid rise of China. In the late 1990s, there was already a Western perspective that China would threaten the international order of power. The most representative study is a book called "conflict with China", which predicts the inevitable conflict between the United States and China (Bernstein and Munro, 1998). In addition, the influential article Samuel Huntington's "Clash of Civilizations" argues that the world will fall into civilization, especially between Christianity and Islam and Confucianism (Huntington, 1993). In terms of realism, John Mearsheimer's "tragedy of powerful politics" suggests that the rapid growth of China's material force will inevitably become an international system. Challenger (Mearsheimer, 2001; Qin and Mearsheimer, 2003)

The biggest long-term geological strategic challenge in the United States is the rise of China. The only country that has the potential to replace the international order led by the United States is China and it is China's primary goal to ensure China's peaceful rise since Richard Nixon's historic visit It is one.

Rise of China - Competitive pressure began to transfer Japan and other foreign investors to China. In 1994, China became a major competitor in the international production network, low cost labor force and currency appraisal. The rise of China is clearly the rise of Korea, Malaysia and Thailand. Overcrowding Market - At the same time, export earnings sharply declined as many countries overproduce the same goods for the same reason. The national export ratio fell to 8% from 30.2 in 1995, and the export price of heavy chemical products dropped by more than 46.3% from 1996 to 1998.