Final answer:
Deng Xiaoping drew foreign investment into Chinese industry by implementing the open door policy, facilitating economic reforms, and creating special economic zones to offer incentives to international businesses.
Step-by-step explanation:
Deng Xiaoping attracted foreign businesses to invest in Chinese industry by implementing a series of economic reforms that opened up China’s market to the global economy. The open door policy in the 1980s initiated this fundamental shift. Considering the success of Hong Kong as a business and banking center, China, under Deng's leadership, recognized the potential of using Hong Kong's vibrant market as an access point for trade and commerce.
Deng's economic strategy included the Four Modernizations which targeted agriculture, industry, defense, and science and technology sectors, moving away from collective farming and encouraging private entrepreneurship. China established special economic zones (SEZs), particularly in the strategic port city of Shenzhen, to attract international corporations with incentives, taking advantage of an abundant labor force and new market opportunities.
The appealing combination of a large labor pool, SEZs, and a new openness to international trade and investment, accompanied by policies favoring innovation and private property within a controlled market, made China an irresistible destination for foreign businesses looking to expand their production and tap into new consumer markets.