The outward foreign direct investment (OFDI) from Chinese multinational enterprises (MNEs) has been growing noticeably in Europe since the last decade, presenting good business opportunities for European SMEs. From 2005 to 2013 June, 98 large Chinese M&A operations were concluded in Europe, with a deal value of more than EUR 77 million (USD 100 million). The most targeted European countries in terms of China’s M&A value were the UK, France, Germany, and Portugal.
An improved understanding of the Chinese enterprises’ investment activities can help European SMEs develop a better business strategy to win the opportunities. This report provides an analysis of the Chinese enterprises’ expansion in Europe from a perspective of global value chain and policy recommendations for European government institutions; it also explains different value-added activities of Chinese MNEs, specific features and impact on European SMEs.