Analysis of the International Real Estate Financial Investment of Chinese Real Estate Enterprises

Abstract

With the relatively tight policy adjustment of the government's outbound investment in the general environment and the impact of COVID-19, Chinese real estate enterprises have been challenged and international investment has lost money for a while. In the fierce competition, real estate companies represented by Wanda and Vanke Group successfully used the transformation and upgrading of enterprises to survive, while some of real estate companies (e.g., Evergrande Group) faced a crisis of collapse due to failure of adjusting their business strategies in a timely manner. This paper studies the investment status and development trend of Chinese real estate enterprises in international markets, and analyze the risks and countermeasures of major Chinese enterprises in international real estate financial investment in the past six years. Wanda Real Estate's decision to shift from asset-heavy to asset-light is worth learning. Vanke's business strategy conforms to the green environmental protection requirements of social development and is worth looking forward to in the future development prospects. The enlightenment given to us by Evergrande is that when facing international investment, we must adapt measures to local conditions and choose investment methods suitable for our own enterprises in order to develop steadily in international markets. These results shed light on guiding further exploration of international investment for real estate companies.