As the entry of WTO, the Mainland China has gradually become an important global market. In response to fierce competition derived multinational enterprises (MNEs), Mainland China's enterprises also must invest overseas in order to gain competitive advantages and enhance their global competitiveness. When MNEs embark on foreign direct investment (FDI), according to the views of assets-seeking, their purpose are to seek and develop the strategic assets in overseas markets. The main purpose of this study is to analyze outward foreign direct investment (OFDI) of Chinese MNEs by means of asset-seeking strategy. Using firm-level data, we discuss that what determinants have essential effects on entry modes when Chinese MNEs invest overseas market. Especially, we investigate some important factors, such as firm characteristics, international experience and investment scale. According to 98 Chinese MNEs? projects on asset-seeking investment in overseas market, we found some interesting results. First of all, the firm? characteristics and the investment scale significantly bear on the choice of entry modes when Chinese MNEs embark on the OFDI of strategic assets. That is, the larger companies, or the smaller size of foreign investment, the more likely to use wholly-Owned subsidiary when Chinese enterprises invest in foreign countries. Second, we also find that the more international experience of Chinese MNEs, the more possible to take advantage of joint venture (JV).
