Foreign Investment and Joint Ventures in China - Essay Example

oming in of foreign investment can only be remarked as being positive, in the right direction and one that is aimed at the betterment of the common Chinese populace. The environment of foreign investment is such that even the US investors have started putting their money in the reserves of the Chinese threshold. [Robinson, 1987] They have understood that the future is with China and hence it gives all the more reason for them to put their money where the coming times are favored more. Being an Asian giant, it draws a lot of foreign investment from its Asian neighbors as well as that from Japan, which similarly has rose a lot in the economic sectors since it was bombarded in the Second World War in 1945.

Apart from that, joint ventures are the name of the game with Chinese neighbors like India, Pakistan and Russian States investing heavily in fields like ammunition, artillery, roads, heavy transport bridges and so on and so forth. [Li, 2003] Add to that, technology remains one of the main factors for which the foreign investors turn towards the Chinese markets and as is expected and predicted, in the years to come, more and more people would turn towards them as the future looks bright. There are as such very little or negligible restrictions or clauses in the wake of investing in the Chinese markets and thus it gives all the more reason for the foreign players to call China their second home, especially when investments are concerned.

China has attracted foreign investment of late by sending its troupes of investors and high profile businessmen who give presentations and tell the people of the country they are visiting about the benefits that they could draw from investing within China. [Beltz, 1995] More than that, it is a plus point that the people from different countries visit China themselves to give in their money. This could only be termed a positive sign and one on which Chinese government is proud of. [Kapuria-Foreman, 2003] With regards to the WTO pact