Motivations,Impacts and Coping Strategies of Relocation by Foreign-Funded Enterprises in China
In recent years,there has been a notable increase in the relocation of foreign-funded enterprises from specific sectors in China,prompting widespread concern within the community.The driving forces behind these relocations encompass a range of factors,including rising operational costs,the influence of the international environment and geopolitics,the appeal of business environments and investment incentives in other countries,and heightened competition from domestic enterprises.Conducting a comprehensive analysis of the advantages and dis-advantages of foreign-funded enterprise relocation is crucial.It is vital not only to acknowledge the negative conse-quences,such as the reduction in the share of foreign exports,adverse effects on GDP and tax revenue growth,and societal employment pressures resulting from relocation,but also to recognize the positive aspects.The relocation contributes to the transformation and upgrading of domestic industries,as well as the bolstering of China's position in the global value chain.In response to the phenomenon of foreign-funded enterprise relocation in specific indus-tries,we propose that relevant government departments take measures to continuously enhance the business environ-ment,further implement the"Negative List System",and actively encourage foreign-funded enterprises to relocate and transfer operations within the country.This strategy aims to minimize both the frequency and scale of outward relocation by foreign-funded enterprises,fostering an environment where they can play a more substantial role in propelling the high-quality development of China's economy.
foreign-funded enterpriserelocation motivationsadvantages and disadvantages analysiscoping strategies
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维普
