Factors Affecting Chinese Enterprises' Investment in Central Asian Markets

Abstract

This article uses empirical analysis to determine the factors that can actually attract Chinese companies in the Central Asian market, and then uses a simple econometric regression method to verify the relationship between them. The results of this study show that as the population and purchasing power of the host country increases, Chinese companies are more willing to invest in the region, and China's neighboring countries are expected to attract more Chinese investment than other countries. In addition, the increase in the number of newly developed products by Chinese small and medium-sized enterprises can also determine the ownership advantage of the enterprise, that is, the newer products an enterprise develops, the higher its chances of entering the Central Asian market.