New challenges for firms going global

The global competition for markets and resources is intensifying with many advanced Western economies implementing "re-industrialization" policies for the re-flow of capital and retracting investments in developing countries such as India and Vietnam.

Amid this global scenario, Premier Li Keqiang said last week that China's GDP growth target for 2015 has been lowered to 7 percent in accordance with the "new normal" rate of expansion, indicating that a series of changes is about to take place for domestic enterprises that intend to "go global".

The "go global" wave among Chinese enterprises is strong. The country's "go global" strategy, proposed in 2000, has yielded results as overseas investments have widened and increased in scale. According to the Ministry of Commence data, foreign investments over the past five years have enjoyed high growth rate, ranging from 15 percent to 20 percent a year. In 2014 alone, industry-wide direct foreign investment amounted to $116 billion making China the world's third-largest investor for three years in row. Last year also saw China almost striking a balance between inward and outward investment.