Foreign direct investment (FDI)

Foreign direct investment (FDI) involves companies or individuals from one country investing in business interests in another country.


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Foreign Subsidiary

Benefits of FDI

FDI can bring several benefits to both the investor and the host country, including increased capital investment, job creation, technology transfer, knowledge spillovers, infrastructure development, and economic growth.

Foreign Subsidiary

Motives for FDI

Companies invest abroad for various reasons, including accessing new markets, accessing raw materials or resources, reducing costs (such as labor or production costs), gaining access to new technology or expertise, and diversifying risk.

Foreign Subsidiary

Global Trends in FDI

FDI flows are influenced by global economic conditions, geopolitical factors, technological advancements, and shifts in market dynamics.

Foreign Subsidiary

Measurement of FDI

FDI is typically measured in terms of inflows (the amount of investment flowing into a country) and outflows (the amount of investment flowing out of a country).

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