Chinese Enterprises in Laos and Cambodia

In recent years there has been a rapid increase in Chinese enterprises investing in Laos and Cambodia. However, this increase has drawn both praise and criticism. Praise is mainly concerning Chinese enterprises’ efforts to support local development, and their assistance in achieving power-sufficiency in power generation and stabilizing domestic prices. Criticisms, which mainly concentrate on their lack of transparency, environmental awareness, and communication with local communities, reflect the challenges Chinese companies face in going global. To address these criticisms, the Chinese government needs to strengthen their oversight capacity with respect to Chinese overseas enterprises and help them develop an awareness of corporate social responsibility (CSR). Enterprises themselves should improve their overseas image by internalizing the idea of CSR in their business model, and interacting more with local communities and NGOs.