By the Ministry of Commerce, International Trade and Economic Cooperation Research Institute and Beijing Institute of Transnational Corporations, the Chinese Association for International Economic and Technical Cooperation, co-sponsored 2008 (6th) multinational forum on February 22 in China held in Beijing. The meeting held, 1992 years, multinational companies began to implement the global strategy, and began to take on global responsibilities, this trend, more than a decade for global business development and market competition has brought a significant impact, therefore, the forum theme of global responsibility . multinationals to global companies. During this period, there has been a globalization of markets, multinational companies to promote the globalization of marketing, assembly manufacturing globalization, R & D globalization, in particular globalization of capital operation, and finally the emergence of these transnational companies in the global allocation of resources, creating the world's industrial chain.
strategic adjustment in the same time, multinational ownership structure, governance structure, management structure have changed. In the past, some multinational companies as a hub and spoke to a number of home countries Guo Jia subsidiaries, such a center-style management of radiation, now into a multi-center, multi-junction in networks management. in the strategic restructuring at the same time, these multinational companies the concept of culture also striking change occurred . In the past these companies tend to integrate home country national cultural center employees to bring different cultures, and now often by multinational companies around the branches to attract local talent, and respect for local culture to absorb human cultural diversity, the formation of such a kinds of multi-cultural enterprises. In this process, many multinational companies play down the nationality, stressing global interests, and strengthen global responsibility.
So we believe that these companies with three important changes: strategy, structure and philosophy. If just the three aspects of a qualitative analysis, we feel that in this transformation process, we have a quantitative study transnational corporations. as compared with the average multinational corporations, globalization of the world's greatly improved The international index (foreign assets, foreign sales and foreign employees and total assets, total sales and total employees ratio), a large number of companies over 50%. our survey analysis, when more than half of a company's assets if the Overseas, more than half of its revenue from overseas, more than half of the time employees in overseas employment, the company's way of thinking and business models of multinational companies and the general place for a huge difference, overseas operations as the company's center of gravity.
annual publication of UNCTAD 100 index of the world's largest multinational multinationals, we have summarized the cross-index, we found that in 1994, the company's overseas multinational index is more than 40%, but after a short ten years, to 2005, these three indices are more than half. in the 100 large companies, international index of more than 50% have 71, but only 43 in 1994.
president in 2006, DuPont In an important article published called Today, multinational companies are quietly showing that the new situation, this is no longer a multinational enterprise, and it becomes global. In the long course of history, the company has been evolving, and now, there has been such a The new organization, so we inspired by this study, we have this time we released a book called to a new stage. but worth noting is that these companies full access to China. They extend to China, the global strategy, global network coverage to China, to China to promote global responsibility.
second question is how like to respond to global companies. In recent years, the domestic effect of the emergence of global companies made a lot of discussion, there are various opinions. we feel in the face of this case, the era of globalization, we should broaden their horizons, changing concepts of such a global company with a global point of view re-analysis of treatment. The first of these ideas, I think it should be from the traditional economic security to the globalization of economic security. the face of such a species around the world in depth, and deep into China's global companies, we are self-reliant, self-contained economy more secure, or with these global companies to increase cooperation and interdependence is more secure? I think it is from the traditional outside the gates use of local resources to address the challenges of global companies, and their ideas still remain in the national enterprises and foreign enterprises in the competition, I think, we can not a country or a nation's business and global business competition, Chinese companies should learn from our global company learn to absorb the integration of global resources, to participate in the global competition. In other words, Chinese companies have grown into a global company.
second suggestion, I think that Chinese enterprises should continue to improve themselves, to see since in the globalization age, the global company there, we have to redefine how we do. many of our regional business from the past into the Chinese business enterprises, and many companies began to export out a large scale, into an international company. And some companies are now go the fastest growing companies, but also should consider how to learn from global companies. This go there I think China is a relatively fast association. Lenovo acquisition of IBM a full three years, and its headquarters moved to New York first, and later to North Carolina, Lenovo's senior management team of 18 individuals only six Chinese and 12 U.S. executives, Lenovo's capital 47%, IBM11%, other foreign public shares, Lenovo's sales in Greater China 38 %, while 62% came from all over the world. It should be said, Lenovo's successful use of foreign talent, the successful use of foreign capital, but also successfully used the foreign market. In an era of globalization, it is deeply into the United States, the United States if there is a national sentiment, or a political point of view to counter the association, I think it is invalid. But such companies, China is still too little.
Third, as a global company in China positive effects. the first two years there are also some discussion on the role of foreign investment in China has been criticized. but this time the central congress made it clear that foreign investment should play in independent innovation, industrial upgrading and coordinated regional development, positive role. We believe that these global companies have four functions: it is a bridge to communicate with China and the world; it is a benchmark that can play an exemplary role, such as leaders and foreign experts have mentioned a lot in environmental responsibility, social responsibility demonstration effect; it is related to the leading role can be to drive China's industrial chain, the upstream and downstream enterprises; it brings the competition, it has a stimulating, through competition, eliminating the backward, the promotion of advanced.
Finally, it should strengthen the study of transnational corporations, multinational corporations urgent theoretical innovation.
his view, this view two years of foreign-funded enterprises have a significant theoretical errors, the CPC Central Committee State Council in April 14th 1998 put forward a very clear document , legally established foreign-funded enterprises in China is part of the business, in this congress document also made it clear that the equal protection of property rights, to encourage equality between enterprises of different ownership of competition and cooperation, the two important documents After a decade ago and ten two important documents have stressed the fact that legally established foreign-funded enterprises in China is a part of Chinese enterprises, so the slogan raised by our research center, that is, multinational corporations in China, Chinese companies One Army, the Army is important to state-owned enterprises, private enterprises is also an Army, Army is also a global enterprise. the first two years, we tend to foreign as foreign enterprises, which in fact is not right.
the Central Party School Vice President Li Jun as saying: There are two versions: One says that at the turn of the century, multinational corporations have been transformed into a new global company. another way of saying turn of the century, there has been the trend of globalization and multinational corporations trend. that the two statements may seem to some people and not much difference, but I think these two arguments is different. the former way of saying the subject is global company, the main body of the latter argument is multinational.
multinational and global companies are two different forms of enterprises or companies with two different forms. According to UNCTAD data, among the world's 100 largest multinational companies, by 1994, when more than 50% cross-index only 43, with more than 70% of only 16, by 2005 more than 50% of cross-index of 70, with more than 70% reached 31. This data can explain a number of multinational corporations have been transformed into a global company. but there are information, by 2001 the global multinational corporations have sixty-five thousand, then the cross-index of more than 50% of the 70 companies in the proportion of multinational corporations in the world can be said is too small. So overall, I am afraid the current stage still in the process of globalization, multinational companies. Nevertheless, this is worthy of our attention a new trend, new problem.
Second, the reason why multinational companies should pay attention to the problems of globalization is that multinational company and the world is the form of two different companies. multinationals have had various names, such as multinational companies, international companies, over international companies, Cosmos, etc., early 70s of last century, the United Nations Economic and Social Council comprehensive study of various criteria and definitions of transnational corporations, after reunification in 1974 decided to adopt subsidiary, engaged in production and business activities of international monopolies, such enterprises, the United Nations is defined as the multinational companies treat it. The United Nations Commission on Transnational Corporations that multinational companies should have three basic elements: composed of an industrial and commercial enterprises located in the business, including two or more countries, entities, regardless of the legal form of these entities and fields are; second, in a decision-making system within the business, through one or a few centers to take a unanimous decision measures and common strategies; the third, each entity through equity or otherwise linked to one or more entities other entity is likely to exert significant influence, especially in sharing knowledge with other entities, resources and shared responsibility. > What is a global company? according to many people now say, a multinational company index, which is a multinational company index, foreign assets, foreign sales and foreign employees and total assets, total sales and total employees of more than 50% The global company will be called. With the company's resources more and more to move overseas, overseas business has become the focus of its domestic business has dropped the case, and multinational corporations in general have a greater difference.
many developing countries were marginalized in the globalization process, so the contradiction between globalization and anti-globalization has been very prominent in this case, the development of globalization, multinational corporations, the emergence of global companies will be the economic development of democracy in the companies will produce what kind of impact, should be a problem in our study. For the developing countries and developing enterprises, how to protect themselves, how to develop, there should be What kind of rules, fair competition so that we could, etc., are a problem we can not avoid.
Assistant Minister of Commerce Fu Ziying said: the development of multinational companies to promote the global flow of production factors, and deepen the global division of labor, industry, many multinational companies in China as an important link in the chain, multinational corporations implementing global strategies, will more high-end industrial, research and development center moved to the center, give full play to the benefits of the effects of technology, promote China's independent innovation and the development of high-tech industries, multinational corporations pay attention to localization, to strengthen corporate social responsibility, will help ease the employment pressure in China to protect the resources and the environment, promote energy conservation. multinational investment to the less developed regions, is conducive to promoting China's urban-rural and coordinated regional development. In general, multinational companies focus on global strategy and global responsibility, give full play to the exemplary role of responsible business conduct, which is conducive to the transformation of economic growth in China to achieve sustainable development of economic and social subjects. Chinese enterprises grow, must bear with the development trend of multinational companies. The development of multinational competition in the domestic market, the growing internationalization of Chinese enterprises to grow, we must actively participate in economic globalization, the global absorption and integration of international resources, development of the situation facing new requirements, the Chinese government will strengthen co-operation of foreign investment as the current and future focus of the opening period. innovative foreign investment and cooperation, support domestic enterprises in the development, production and sales, international operations, accelerating the development of China multinational companies and internationally renowned brands.
Office of the United Nations Global Compact Senior Advisor to the Secretary-General Du Xian Hui said: President Hu's visit to Sweden at the time, signed an agreement on corporate social responsibility of state documents .2008 January 4, state Asset Management Committee issued the pointed out that sustainable development, enterprise development and for building a harmonious society plays an important role.
this the development of mission and development process. With this and also to encourage increased transparency in these state-owned enterprises.
Seventeenth Congress of President Hu Jintao put forward the goal of which is also proposed to the state-owned enterprises to ensure their profits, but also serve the public, service to society. I want this change, one of the manifestations of this trend is to increase the environmental awareness, but also can improve the corporate governance of state-owned enterprises. I think this performance assessment will become a very important aspect. < br> In 2007, the global leader in the Geneva Summit, the Secretary-General Ban Ki-moon said: In this interdependent world, if not in the environmental, social and governance performance of the leadership, then the business will not be able to maintain leadership position, this interdependence, there is a fundamental point of view, the responsibility is inseparable from the right, for enterprises, in order to maintain sustainable growth, we need to build trust, to be recognized, and for the market, we must for the current market those outside the more better opportunity to improve their living conditions, we now have to take action based on the idea of a.
Chen Quansheng State Council Research Transit Trade Division, said: Some people said that globalization because of the Internet, worldwide network linked together, but I think the most fundamental, is the global market. What is the global market? is all past planned economy countries have abandoned the planned economy, are engaged in the market economy. now the world except Cuba and North Korea engaged in a planned economy, the rest of the countries are engaged in a market economy, according to the principles of market economy, allocation of resources and dilute the concept of national borders and the concept of territory, or to break through the boundaries concept, which the global economy, or talk about globalization, as the Chinese government is concerned, not to mention globalization, economic integration, not to mention, whereas the economic globalization.
it means for our business what? means that your competitors base exponentially increase. originally produced in the domestic cup, ten thousand enterprises, a business rival is nine thousand nine hundred ninety-nine, and now economic globalization, the production of the glass business is one million, the face of the rival Chinese-nine hundred ninety-nine thousand nine hundred ninety-nine, rivals such as forests, the competitiveness of your original point of death, you have to form their own best at something, it is necessary to study global rivals. this global strategic out. that our corporate strategy to die, a strategy for a region, a strategy for an industry die, there must be a global strategy. this one, is a leading multinational corporations, We want to follow them.
global responsibility is actually a global corporate social responsibility, but the world Standardization Committee, has formally the the entire country should be all the organizations commitment to social responsibility, not only is the enterprise, various intermediaries, various NGO organizations have committed to social responsibility, including a variety of government, whatever the ruling government or the Communist Party of China The government must take social responsibility, social responsibility is so.
another to figure out that social responsibility come from? the origin of social responsibility is in the early 70s, the Cultural Revolution, when we engage in vigorous, the eruption of a vigorous European consumer movement, some Europeans, discovered the candy is actually a three-year-old child package, with the child to do, so these consumers together to sanction the enterprise, launched a few million , tens of millions of people do not buy this product, so that the fall of the company, which is called the consumer movement. There is the labor movement, Greenpeace campaign, engage in environmental protection movement. the three together to form what we call Corporate Social Responsibility. which put corporate social responsibility movement.
Ministry of Information Industry Sub-theory of economic operation, Zhou: I am two months ago with the president of the United States Semiconductor Industry Association has one exchange, he said, 2001 years, when 30% of the world's advanced manufacturing in the United States, and now, this world of advanced manufacturing in the United States only 11%, the drop very low low, in general, can not be less than a quarter of the U.S. Therefore, he felt a kind of pressure, he said, the technical staff of this makes useless the United States, resulting in uneven, this is detrimental to the United States, so he gave me that requires us to China, and Chinese companies to the U.S. to invest.
This is what I had not thought of, that is 30 years of reform and opening up, China up to today, our trade surplus so large, the imbalance caused by the U.S. side, and his word you utter a This is dangerous do go to China, so reminds me of the so-called developed countries in calling us, but we have not grown up .30 years of reform and opening up a larger and larger multinational companies in China, along with fierce competition, particularly competitive industry, we Chinese are also slowly growing number of small and medium enterprises it is also part of the world now, but they could only be reached in Africa, went to America, South America, went to a number of developing countries relative to that in Europe, North America is very difficult. they have a disorder. But today the Americans raised, China to the United States to invest, or imbalance, and China, walking is dangerous, so let me have a great reflection, I said, we will go, our business also is not big enough, so we business grow up, will certainly have to go to the United States certainly help you balance it out.
same time, I said to him, some of our businesses have the time to take this step, when we have several companies to you to the United States, why the U.S. government should also take a variety of means to block them, review them, and his last with me very angry criticism of the American behavior. This is what I recently met a very interesting things. This thing reminds me a lot, I thought, China has created a very good competitive environment in which our entire world, multinational corporations, especially in industries such as ours, 95% of the world's five hundred , IT100 strong companies are making money in China, getting rich, they are in China is a fully competitive environment, in such an environment, but also to our local enterprises in China interact and promote each other, driving each other to grow up. our own Although the size of some enterprises reach such a large world-class multinational corporations, may in some core technology there is a gap, but they grow up, they in some areas, has come to the world's first team went inside, We are the future for these multinational companies in China and cheering, and we very much hope that they grow up as soon as possible. because the United States still cry about us.
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