Multinational enterprises have mainly two modes of entry to destination: one is greenfield investment; another is M&A. This paper constructs a simple model by which we research how multinational enterprises choose the mode of entry, whether the level of technology transfer from multinational enterprises shows differences between two different entry modes and what affects multinational enterprises' choices between two modes of entry and their technology transfer. Based on related theoretical research and considering the reality and practice in China, the paper gives some related policy adjustments on how to enhance the level of multinational enterprises' technology transfer to China.