Foreign direct investment (FDI) is one of the most active area in current economic life. So far, many scholars from domestic and overseas researched FDI and found some basic laws in this area, however, there is few focused on FDI location selection. The thesis absorbed and made full use of the current overseas and domestic FDI theories for reference, especially those updated research on location selection. The thesis extends its study by quantitive and qualitative analysis, normative and empirical analysis and theoretical and case study. Meanwhile, combining both static and dynamic analysis, both comparative and countermeasure research with words and graph as long as necessary theoretical paradigm and analytical framework. The thesis summarized the current FDI location selection theories by theory-history-Stat and analysed determinants on FDI location selection. Then, expounded the means and procedure for decision-making & performance-review, revealed the evolvement rule of FDI. Finally, the thesis focused on the empirical analysis on FDI location in China, Japan and R&D.The thesis outspread FDI research by cutting-in location selection, analysed by making use of SCP paradigm in industrial economics, concluded with Environment sectors-FDI location selection-Performance paradigm, which regards FDI location selection as a system. In the system, the FDI location determinants is the input while decision-making is the process and performance is the output. Moreover, the system is evolving and the thesis concluded with the evolvement paradigm, FDI-industry structure matching theory and 3 generations FDI policy evolvement paradigm.