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The Difference Among Foreign-Funded Enterprises, Chinese-Foreign Cooperative Joint Ventures and Chinese-Foreign Equity Joint Ventures
2005-12-09 09:37:52

Foreign-funded enterprises (also called solely foreign-owned enterprise) refer to enterprises with all capital invested by foreign investors, excluding branches established in the interior of China by foreign enterprises and other economic organizations.

 

Chinese-foreign cooperative joint ventures are contractual joint ventures. Investment and cooperative conditions provided by Chinese-foreign cooperators are not converted into shares, so there are no issues of rights of obligations in terms of the proportion of the share holdings. Chinese-foreign cooperative joint ventures may be enterprises that acquire Chinese corporate capacity or non- corporate enterprises.

 

Chinese-foreign equity joint ventures are joint ventures established in the form of stock equity.

 

All foreign-funded enterprises that established in the interior of China are Chinese corporate enterprises.

 

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