1. Foreign Direct Investment
... manly to allocate capital around the globe, but more importantly to move the firm's intangible assets: technology, marketing skills, managerial capabilities and assets. Strategic motives drive the decision to invest abroad. Firms seek new markets for their products, procurement of inputs (raw materials, components, natural resources, etc) from cheapest possible source, low cost and highly skilled labor. The cost and skills ... account deficits, the balance of payment effect can be a major consideration for host countries. There are three potential effects of FDI on the balance of paymen...
- Word Count: 2347
- Approx Pages: 9
- Has Bibliography
- Grade Level: Undergraduate