Study on Development Strategy of Overseas Construction Company of Gansu
|Keywords||overseas investment economic cooperation development strategy|
International Contracted Engineering is an important part of "Going global" strategy. And it is one of the important decisions made by the CPC Central Committee, and the State Council of China in accordance with the situation of globalization and the its national economic development. In comparison with the "Introduction of Foreign Investment", "Going global" by Chinese enterprises has always fallen behind. However, over the past few years, "Going global" has achieved favorable momentum of rapid development. Under the basic principle of "Decision-making by Enterprise, Advantage Complementary, and Win-win Cooperation", the Chinese Government encourages Chinese enterprises with real strength to positively conduct external investment and economic cooperation. This has been not only in the interest of the promotion of self-development of Chinese enterprises, but also in the interest of the targeted overseas market by capital injection and job creation. The external investment conducted by Chinese enterprises will surely make contributions to the improvement of local infrastructure construction and increase of income of local people, job opportunity and industrialization. And consequently, the win-win cooperation will be realized.Gansu Overseas Engineering Corporation took the lead among enterprises in Gansu Province to "go out" to the world market. But with the present unfavorable conditions home and abroad, it has to strengthen its core competencies for future development and growth, continue to explore new overseas market and improve the efficiency. This paper briefly presents GOVEC’s background and history, meanwhile, by taking industrial analysis of the world overseas project contracting market and the advantages and disadvantages of GOVEC itself, proposes a future development strategic plan for it in view of the present situation both at home and abroad, i.e. by taking "engineering for resources-based" mode, and through overseas FDI initiatives such as purchases, mergers etc., to form the overseas expansion strategy of diversified businesses with international engineering contracting as its main business supplemented with import and export of goods, labor export as well as overseas investment in the field of real estate, build materials production and other industrial and agricultural projects and/or resource exploitation etc.