On the bases of addressing the basic content and main practices of TNCs’ localization，as well as the economic rationality toward localization of Chinese going abroad private enterprises，this paper investigated the localization factors influencing Chinese going abroad private enterprises to promote international competitiveness，and explored the issues and challenges faced by Chinese going abroad private enterprises to localization，and gave some suggestions for Chinese going abroad private enterprises to localization. It concluded that the localization of products R&D，brand and cross-cultural management had significantly contributed to positive effects on promoting international competitiveness，while the localization of human capital and financing significantly had negative effects on international competitiveness.