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Impact Of The Market economy On Foreign Direct Investment In The People's Republic Of China
The Chinese market economic system has created a magnet that attracts foreign investors from all over the world. The Chinese ethnic compatriots from Hong Kong, Taiwan, Macau and Asian countries which formerly played significant role in the investment has been followed by other investors form the European Union, America and Japan. However, in the middle of the rapid FDI inflows, China faced several problems due to the increase of production cost and enviromental degradation. Therefore, through industrial upgrading by giving empashize service sector development, China is hoping the FDI to give more positive impacts to its economic development.
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