Internal

Strengths

1. Domestic rapid economic development

2. Sufficient foreign exchanges

3. Appreciation in Chinese currency

4. China’s higher trade position

5. China’s carrying out the strategy of investing overseas

Weaknesses

1. Increase in raw material cost

2. Increase in labor cost

3. Small size and weak competitiveness of enterprises

4. Lacking experience in overseas FDI

External

Opportunities

1. Further globalizing

2. High level development of American economy and technology

3. American good infrastructure

4. American free and stable policies and their stable laws

5. Local governments’ favorable policies

Threats

1. American government’s interfering by political methods

2. Lobbying of the interest groups concerned to their government

3. Complex law and policy environments of investment

4. Difficult industry access

5. Other competitors in the USA