The continued growth of the Chinese economy accompanied with the expansion of the international investment in China has led to an increase in foreign research and development (R&D) activities in the country. Recently, the MNCs' investment structure in China has changed and the R&D lab increases rapidly, which show the new characteristics of the MNCs investment in China. The purpose of This paper is to examine the changing processes of the activity characteristics in the Multinational companies based in China. Especially, the purpose is to examine how the Organizational Transition of Global R & D Labs in China. In China, the R&D activities by and large go through 5 stage development processes: The first step is an inception phase (1978-1993) during which they explore and then invest in R&D as a form of winning a project rather than get into their stride. The second is a generative phase(1994-1997), where they start to set up their R&D labs in China. The third is a growth phase(1997-2001), in which they buckle down to the foundation of their own R&D labs. The fourth is a full-blown phase(2001-2008), because their R&D labs take a new turn along with China’s becoming a member of to. The final step is an expansion phase(2008-Now), for their R&D lab activities to be the most important turning point. This study is meaningful as it Levels how the multinational R&D labs in China has changed dynamically through five stages.