<div><DIV>This study examines the global strategies of multinational corporations (MNCs), the strategic evolution and the categories of their subsidiaries in China based on research into 150 MNCs. It is the first large-scale project of this nature to be conducted. The research has significant bearing on strategic planning for firms that try to compete in the global marketplace as well as firms that have set up, are setting up or are planning to set up subsidiaries in China.  The authors' findings are significant for the West owing to the current economic crisis and the need to determine if subsidiary expansion strategies will help western firms achieve positive effects in operations and avoid the harmful impact of macro events. </div></div>