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Introduction Since the initiation of the open door and reform policy, China has experienced the rapid economic growth. During the period, China has drawn numerous worldwide foreign direct investments. For instance, since 1994, China has become the second largest foreign direct investment (FDI) absorber, only after the United State. In 1996 attracted more than 40 percent of the total FDI to the developing countries.1 According to the study of Alvin Y.So, the rapid economic growth of China in the past two decades has strong tie with the inflow of FDI, and the splendid achievement of China's economy has been contributed by FDI in the aspect of capital, technology and management, etc.2 Among those foreign countries which have invested in China, Japan, as the largest trade partner and the neighbour of China, covered a high ratio of direct investment in China. With the increasing investment, Japanese has become one of the most...

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