Analysis on Influence and Inspiration of the Localization Strategy of Multinational Corporations in China

Abstract

Since the beginning of reform and opening up, mass of transnational corporations into China. Faced with their home countries of different political systems, economic systems, and cultural practices, transnational corporations had to integrate with Chinese political, economic and cultural customs, to carry out enterprises system innovation from the actual situation of China, to adapt to the needs of the Chinese market. More and more multinational companies  has developed a number of strategic measures and achieved remarkable results under the direction of thought of "think global, act locally". (Li, 2005)At the same time, these strategic measures to China business go out of the country to foreign investment and transnational corporations is of great significance. In this paper, researched the multinationals specific contents of the localization strategy in China, and its positive and negative impacts on China, and proposed strategies of China's enterprises.