1From the theoretical point of view of technology transfer cycle Analysis of foreign economic strategy of multinational companiesAbstract: This paper introduces and analyzes the four stages of product life cycle, and technology transfer cycle in exports, direct investment and technology relationship between output, foreign economic multinationals is also an important part of the strategy, which focuses on analysis of decided to multinational foreign direct investment. Finally, a brief description of the policy implications of international technology transfer as well as some of our inspiration. Keywords: technology transfer cycle theory; multinational corporations; foreign economic strategy of a technology transfer technology transfer, product life cycle theory is generated due to economic reasons, for production processes, procedures and methods and other systems of knowledge transfer in international . on the technology-importing countries, the introduction of 2technology can bring to the economic role in promoting the introduction of technology to bring economic benefits, while the introduction of technology will make the industrial structure changes, the introduction of technology to improve business in the international market in the competitive exporter from a technical point of view, but also the transfer of outdated technology will extend the life cycle of a technology means the transfer of technology will also bring economic benefits. Overall, a national economy and the root cause of the introduction of technology companies, is driven by economic interests. From the perspective of technology transfer, international trade in the product life cycle consists of four phases, as shown below: The first phase, the product innovation stage, in the diagram as T0-T1. At this stage, the product innovation was invented or created out of the country, and began in innovative domestic production and consumption, increasing production, expanding production capacity This stage, innovative production of the country for their own consumption all 3when production exceeds consumption, innovative country, that country began in the T1, the export of the innovative new products. The second phase, the innovation country’s exports, the country began to imitate the consumption of the new product stage in the diagram as T1-T2. At this stage, in addition to innovative production of the country to meet their own consumption but also export to other countries, to imitate China is aware of this product, and start spending. With innovative country manufacturers of new products and market dominance, they were able to obtain monopoly profits at home and abroad in T2, the innovative country to export its peak. The third phase, the country began to imitate the stage to imitate the production of the product, in the figure for the T2-T3. At this stage, this innovative technology has matured, the production process standardization, to imitate the production of the country’s producers began to imitate the kinds of products, and self-supply consumption, innovation and 4the country’s exports declined. to T3, the country’s exports to zero innovation, imitation of the country stopped importing the products. The fourth stage, innovative imitation products into the country market, the country’s stage, as shown in the figure after T3. The stage, mimicking the country due to the size comparative advantage or other advantage, production expanded rapidly and began to export low-cost, innovative country in the the production of this product has lost its comparative advantage, production gradually decreased, began importing the product to meet their own consumption. In practice, innovation and imitation of the country began exporting countries start spending may exist between the horizontal distance depends mainly on the income gap between the two countries. In addition, the country may imitate other countries first export, then export to the innovative country, so innovation and the country’s exports to zero exports began to imitate the country may exist between the time gap. 5This after four stages of the product that is innovative countries to complete their life cycle, with the comparative advantage of the dynamic shift in the imitation of it for their own country and start a new cycle, extending the life cycle of the process, the products can be as much as possible for people to create revenue streams. Second, the technology transfer process in accordance with the cycle at all stages of product life cycle characteristics, in general, advantages of new technology companies share in the foreign economic strategy, mostly through three stages: new product exports, direct investment in the production of the product and technology transfer. Advantage of the enterprise with new technology, the first step is always to export earnings, has the exclusive nature of the market; when the export market to begin production of the product,。