What are the main advantages and disadvantages for these externally oriented enterprises? What are the measures relevant government departments have taken to encourage them to invest abroad?

After nearly 30 years of reform and opening up, more and more Chinese enterprises, whether state-owned or privately owned, have the qualifications to enter the international market. So far, 10,000 Chinese enterprises have operated in 170 countries and regions, mostly in developing countries, and have performed well as a whole.

Chinese enterprises now have favorable conditions to compete in the international market. First, China's international status and reputation are on the rise, amid the growing recognition worldwide of its development achievements. Second, most of the Chinese enterprises preparing for overseas expansion are in sectors in which China has a comparable advantage, such as textiles, chemicals, energy and construction. Most of them have strong international competitiveness and their technologies are suitable for the target countries, especially those in the developing world. Third, with China's deeper integration into the world, many indigenous enterprises have adopted internationally recognized management systems. So standardized management, advanced technology and low labor costs combined to give them a competitive edge. In addition, most Chinese entrepreneurs are hard-working and innovative, and they believe in the management philosophy of mutual benefit, which makes it easy for them to enter in win-win cooperation with foreign partners.

Admittedly, there are also a number of failed attempts. Most of the defeats should largely be blamed on concerned enterprises' blind decision-making, rigid operational mechanisms and weak competitiveness.

In recent years, to support and encourage Chinese enterprises to invest overseas, relevant government departments have promulgated a series of incentive measures in the fields of business registration, financial assistance, insurance and taxation, which are all available on their websites for consultation and public supervision.

As the only investment event in China approved by UFI, the Global Association of the Exhibition Industry, what role has the China International Fair for Investment and Trade (CIFIT) played in promoting Chinese enterprises' investment overseas?

Sponsored by the Ministry of Commerce and held in the coastal city of Xiamen in Fujian Province, the CIFIT is an important platform for promoting bi-directional investment. In recent years, the fair's organizing committee has actively carried out the "going global" strategy, widely invited government institutions and investment promotion departments of foreign countries and regions, and held investment promotion meetings for different countries to introduce their investment policies and projects. Thus, Chinese enterprises can easily know about the investment information of foreign countries and regions, which can substantially reduce the cost for them to find investment projects.

In 2003, the CIFIT initiated the matchmaking symposium for investment projects, an effective platform for face-to-face business negotiations between developers and potential investors, with 107 Chinese enterprises participating that year. The number grew to 156 in 2004 and 179 in 2005. Target investment countries also increased year by year, with 73 in 2003, 85 in 2004 and 97 in 2005. The effect of the matchmaking symposium has become increasingly evident.

This year marks the 10th anniversary of the CIFIT. The organizing committee has strengthened its efforts in promoting Chinese enterprises to invest overseas. "Introducing FDI" and "going global" will still be the themes of this year's session, and several important forums in relation to the "going global" strategy will be held. One of them will focus on the African investment environment, which can help Chinese enterprises know more about the less developed but promising continent and encourage them to start up businesses there, in a bid to further strengthen China's traditional friendship with African countries.

As an important part of the Year of Russia program in China in 2006, another forum is scheduled to promote investment policies of Russia's special economic zones. China hopes the increase of Chinese investment in Russia can relieve the trade imbalance between the two countries. Meanwhile, there will be an economic and trade forum for Shanghai Cooperation Organization members, and an investment promotion symposium for Mexico. I believe these activities will be helpful in promoting Chinese enterprises to invest overseas.