The strategy of multinational enterprises in the light of the rise of China

This paper examines the strategy of multinational enterprises in the global economy with particular emphasis on their strategies in and about China. It outlines the rise of globally distributed manufacturing, services and marketing under the control of a focal firm (“the global factory”) and applies this analytical framework to strategies in China. The paper outlines the constraints on future growth in China and the interacting effects of these constraints with the strategies of foreign firms.