The determinants of global integration strategies of Chinese multinationals—some empirical evidence

Hobdari, B., Sinani, E., Papanastassiou, M. and Pearce, R. (2010) The determinants of global integration strategies of Chinese multinationals—some empirical evidence. Review of Market Integration, 2 (1). pp. 61-86. ISSN 0975-4709 doi: 10.1177/097492921000200105

Abstract/Summary

The main purpose of this research is to understand the determinants of global integration strategies of Chinese Multinational Enterprises (MNEs). In this article, we identify four expansion strategies for Chinese MNEs, that is, horizontal, vertical, lateral and risk diversification and we investigate a series of location and firm-level factors that determine the adoption of each strategy. We present empirical evidence based on data from the 2008 Spring edition of the Lexis Nexis Corporate Affiliates Directory. Our results indicate that Chinese MNEs expand internationally through a grid of strategic choices which is diversified geographically and industrially.