1 FEATURE ARTICLE
Published online in Wiley Online Library (wileyonlinelibrary.com)
© 2014 Wiley Periodicals, Inc. • DOI: 10.1002/tie.21629
Correspondence to: Dr. Xueli Huang, School of Management, RMIT University, 445 Swanston Street, Melbourne, Victoria 3000, Australia,
+61 3 9925 1648 (phone), +61 3 9925 5960 (fax), Charlie.huang@rmit.edu.au.
By
Xueli Huang
Chi Renyong
Chinese Private Firms’
Outward Foreign
Direct Investment:
Does Firm Ownership
and Size Matter?
This article investigates and explains the behaviors, motives, and characteristics of Chinese privately
owned enterprises’ (POEs’) outward foreign direct investment (OFDI), and compares this with the
behaviors, motives, and characteristics of Chinese state-owned enterprises (SOEs), using the insti-
tutional perspective and resources-based view. Through in-depth interviews with senior managers
and an extensive secondary data analysis of Chinese POEs’ OFDI, we found that Chinese POEs are
increasingly active in committing both market- and strategic asset–seeking OFDI due to the unfavor-
able institutional environment they face in China and the different types of resources possessed. POEs
cluster with their business partners or domestic peers for international market expansion and adopt
several approaches to acquire strategic assets. © 2014 Wiley Periodicals, Inc.