Germany as a Chinese target market -- Economic background -- Cultural factors -- Regulatory framework -- Process of company takeovers -- Special features of German-Chinese transactions -- Guidelines for successful cooperation -- Case studies.

This paper examines how capital controls affect FDI decisions and how the impact of these restrictive measures varies with different levels of country risk. We construct a model of firms' FDI decisions, broadly in Dunning's "eclectic theory" framework, using "real options" to emphasize economic...