Abstract
Trade liberalization has contributed significantly to the economic growth in developing countries and emerging markets through foreign direct investments (FDI). Several advanced nations have taken the opportunity to internationalize their products and services in these markets, whereas others have opted to invest purely based on the market potential of these markets. Yet some countries altogether avoided doing businesses in some of the markets that do not conform to human right obligations, labor laws, and environment treaties, among others. The purpose of the chapter is to examine how the four broad factors—natural resources, aid versus partnership, non-interference, and trade relations—can influence China’s strategic investments in Africa. This chapter also discusses a case study which specifically focuses on Chinese FDI in Zambia.
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Acknowledgements
The support from the Canadian Social Sciences Humanities and Research Council (SSHRC) Explore Grant (ID# 17029, 2022-2025) is gratefully acknowledged. We are also grateful to Mr. Shedrick Salili and Ms Sharon Sichilongo for their valuable insights into somewhat complex and delicate issue of Chinese investments in Zambia.
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Singh, S., Lubbungu, J. (2022). How China Strategically Invests in Africa? The Case of Zambia. In: Rajagopal, Behl, R. (eds) Inclusive Businesses in Developing Economies. Palgrave Studies in Democracy, Innovation, and Entrepreneurship for Growth. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-031-12217-0_4
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