Abstract
Using France as a case study, the paper tries to explain for the presence of Chinese firms, assesses in detail factors influencing their activities and provides a tentative assessment of the impacts. The paper argues that the concerns expressed about the presence of Chinese investors are so far wholly misplaced for a number of reasons. Firstly, Chinese outward direct investment (ODI) is still extremely limited. Secondly, Chinese investors can be shown to behave exactly like any other foreign investors with market-seeking objectives prevailing over strategic asset-seeking motivations. Finally, Chinese ODI may lead to win-win situations. In particular, French firms can be in a position to benefit from Chinese ODI by either discharging underperforming assets or getting an access to the Chinese market.
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