THE STRATEGY OF CHINA’S ECONOMIC DIPLOMACY TOWARDS ASEAN CASE STUDY: “THE FOREIGN DIRECT INVESTMENT OF SAIC GENERAL MOTOR WULING (SGMW) IN INDONESIA” 2015 – 2018
Abstract
The aim of this research is to explain the economic diplomacy of China in ASEAN through the investment of SAIC General Motor Wuling in Indonesia (SGMW). Furthermore, it will explain the strategy of Wuling as the Multi National Cooperation (MNC) and Foreign Direct Investment (FDI) in the automotive industry to increase its existence and to competing others automotive industry in the Indonesian market place. Moreover, SGMW is the one of Chinese investment in the automotive industry that focused on Low Multi Purpose Vehicle (LMPV). However, like others Chinese product, Wuling provides cheap product that targeting middle economic level of the society. As a result, the investment will provide about 3000 job fields for Indonesian people and transferring technology that very beneficial for Indonesian, because of SGMW build the factory of Wuling in Cikarang Indonesia. Furthermore, the writer will use the concept of MNCs to explain the decision of SGMW to invest in Indonesia. This research used the qualitative method through literature and document studies.