Client configuration -
Windows 7 ,
Locale -Chinese .
Server configuration -
windows server 2008 R2
Locale -Chinese
SharePoint 2010
While adding the SharePoint URL of server on client machine as a network location ,target.lnk file is created instead of pointing to the server URL location .This happens when i give the name to network location(Chinese name) more than 7 characters.Both client and server must be having Chinese locale.