China's Largest Independent Think Tank Releases First Blue Book Report on Globalization of Chinese Enterprises

Ten new trends revealed in Chinese enterprises going global
Six policy measures proposed to address eight major challenges
The Center for China & Globalization (CCG)
2014-10-30 09:00 1742

BEIJING, Oct. 30, 2014 /PRNewswire/ -- With a strong impetus in China's outbound investment that projected over 120 billion USD this year by China's Ministry of Commerce, China is set to, for the first time, have its outbound investment surpass its inward investment as soon as 2014. Approaching this historical moment, the Center for China and Globalization (CCG), the largest independent think tank in China, published, through China Social Science Academic Press, the first Blue Book Report on the Globalization of Chinese Enterprises on Wednesday in Beijing -- providing a thorough overview of the current situation of Chinese enterprises going global, as well as identifying the major challenges, and proposing policy solutions.

Mr. Long Yongtu, Former Vice Minister of Commerce and Secretary General of Boao Forum, now the Chairman of CCG, said at the releasing ceremony that the blue book, titled the Report on Chinese Enterprises Going Global 2014, is very special in this area of study and can provide valuable insights and guidance for Chinese companies to do investment at the overseas markets.

Dr. Wang Huiyao, CCG's President and the leading author of the book, and Yang Qun, Chief Editor of China Social Sciences Academic Press also delivered the speech to give some academic perspectives about the book.

According to Dr. Wang, the book is based on the extensive quantitative and qualitative research of first-hand data and over 1,300 China outbound case data. It identifies the ten new trends seen in the process of Chinese enterprise globalization in recent years, including the bigger share of Chinese outbound investment in Asia and Pacific, the strong emergence of private enterprises investment and the diversification of target sectors.

The Blue Book also analyzes the eight major challenges that impede Chinese enterprises from expanding their investment abroad, such as political risks and legal barriers as well as the lack of cooperation among Chinese companies overseas. The scholars propose multiple policy measures in the book to provide political and other resource support for Chinese enterprises going global, including accelerating the formulation of outbound investment laws and the reform of review and approval processes.

In view of the new trends and challenges, the book introduces a new methodology to evaluate Chinese enterprise globalization. Frances Sun, co-editor of the book introduced the methodology on how to evaluate the effectiveness of Chinese companies going global: "Not only in terms of quantity but also quality. The criteria of CSR activities and global talents are also included when selecting the top 50 Chinese companies going global." A list of the top 50 emerging firms, and the top 50 companies listed abroad was also released. Among those on the lists were large state-own enterprises such as Sinopec, ICBC and China Minmetal Corporation, and privately-owned companies such as Huawei, Lenovo, Hanergy and Xiaomi.

These enterprises will be invited to and awarded at the Inaugural Meeting of China Outbound Forum on Nov. 21-23 in Sanya, Hainan. The forum, as a partnership of CCG, Sanya municipal government, China Association of International Economic Cooperation (CAFIEC) of the Ministry Commerce, and Smadja & Smadja Strategic Advisory, is designed to become the new "China Going Global Davos Forum" for Chinese outbound investment companies.

Source: The Center for China & Globalization (CCG)
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