In recent years, the impact of national power on international investment is growing, specifically in two aspects: one is the national hard power, which promotes international investment through industry advantage, scale advantage, location advantage and organizational advantage; another is the national soft power, which will benefit the international investment in the aspect of assimilation and specification of power and influence. It’s difficult to use specific figures to measure how the soft power influence on international investment, but it means a lot. Thus, this paper will focus on the impact of national soft power on international investment. Besides, based on the Grainger causality, this paper shows that: the national soft power is closely related to the international investment. To promote the international investment, the national soft power needs to be enhanced.
Keywords: International investment; Soft power; Granger causality analysis model