China’s Red Carpet Draws CEOs but Few Expect Their Money to Follow

BEIJING—The Chinese communist regime devoted the week to a red carpet welcome for foreign executives to try to halt a retreat in corporate investment from China. But many executives leave China with a shared caution: while things may not be getting worse, the risks of an expansion in China still outweigh the rewards, they say. Foreign direct investment represents only 3 percent of total investment in China, but it has been falling for two consecutive years. Investment from overseas has been seen as a signal of confidence in China’s economy and a way to sharpen the competitiveness of Chinese firms....