Nobody downloaded yet

Expansion by Foreign Direct Investment in European Countries - Dissertation Example

Comments (0) Cite this document
The dissertation “Expansion by Foreign Direct Investment in European Countries” discusses situations in which FDI has proven to be a boon to the host economy and the extent to which the investment contributed to the country's accession to the EU or the status of the EU member attracted investors…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER91.7% of users find it useful

Extract of sample "Expansion by Foreign Direct Investment in European Countries"

Download file to see previous pages The establishing of the transition state and their re-entry into the international market saw a phenomenal drive for privatization which necessarily required capital investments together with business and management assistance each of which are specifically FDI oriented.  Moreover, these transition states not only provide a stable supply of low labor costs they are both geographically and politically close to Western Europe.  Certainly, these factors ought to be appealing to FDIs.  Even so, the international expansion of Europe by FDIs has not developed as expected.  With the expectation that a number of Central and Eastern Europe (CEE) countries will eventually become members of the European Union, several questions relative to the impacts of international expansion in Europe arise. 
The first question is whether or not this prospect will contribute to European internationalization via FDI.  This paper investigates this question since Europe represents a unique conglomeration of developed and developing countries, an essential feature of the internationalization.  The main objective is to ensure that developing countries share in international capital flows.  Another relevant question for investigation is whether or not FDIs will introduce the skill and capital necessary for modernizing CEEs in Europe or will it encourage monopolies and rent-seeking practices.  If the FDI can be beneficial in terms of internationalization in Europe, what factors are essentially fueling its development and growth and what can European countries do to make the FDI more appealing?
Ideally, the impact of internationalization by FDI in Europe should be the supply of cheap labor with a reciprocal infusion of capital for the funding of privatization and industrialization.  In this regard, Western European and other foreign companies would assist in the transitioning of these socialist states to open-market economies by not only providing investment capital, but by virtue of technology and management transfers.  This is the intended consequence of economic integration under the auspices of internationalization.  More importantly, this is the way forward if Europe intends to achieve its goal of becoming a global economy. ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
(“Expansion by Foreign Direct Investment in European Countries Dissertation - 2”, n.d.)
Expansion by Foreign Direct Investment in European Countries Dissertation - 2. Retrieved from
(Expansion by Foreign Direct Investment in European Countries Dissertation - 2)
Expansion by Foreign Direct Investment in European Countries Dissertation - 2.
“Expansion by Foreign Direct Investment in European Countries Dissertation - 2”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Expansion by Foreign Direct Investment in European Countries

The Impacts of International Expansion by Foreign Direct Investment in European Countries

...for photocopying and for inter-library loan, and for the title and summary to be made available to outside organisations. Signed ……………………………………….. Date ………………………………………….. Abstract Prior to the 1960s, it was generally perceived that international expansion would flow primarily from countries with capital abundance into countries with little capital. Foreign Direct Investment (FDI) in the 1950s were primarily occurring among businesses in Western Europe and North America. The result was international expansion was limited to the extent that capital was not shared globally (Oxelheim and Ghauri 2004, p. 323). Essentially,...
10 Pages(2500 words)Essay

Foreign Direct Investment (FDI)

...?FOREIGN DIRECT INVESTMENT Foreign direct investment has increasingly been a business trend of multinational corporations within the global economy. Foreign Direct Investment (FDI) is defined by Ho and Yiu Lau (2007, p. 39) as the investment of a company in a foreign country which aims at acquiring a long-term economic interest in business enterprises within the host country. FDI can also be defined as an investment of a company in a foreign country by building a factory within the host country. It is through a company’s direct investment in machinery, building and equipment in another country that foreign direct investment is made possible. With the emergence of globalization and the global economy, FDI has played a leading role... in the...
10 Pages(2500 words)Essay

Foreign Direct Investment

... aspect of IFIs in the past decades was the growth of globalization and the increasingly integrated role of the capital markets. In the early 1980s, a bulge in the level of capital flows in the direction of emergent markets became more prominent, on the basis of managing the oil revenues. Yet this degenerated into the 1982 economic meltdown due to accumulated debts. After a lull of economic crisis and the development of stronger macroeconomic policies which yielded stability, the world economy registered a sharp rise in the capital flows in the early 1990s. This came at a time when many countries that sought to rely upon direct foreign investments and credit services from non-banking organizations, accounted for the primary source... in the...
17 Pages(4250 words)Essay

Japan Foreign Direct Investment

...correlation between the host and source countries ignites a global expansion of production in absolute terms it however leaves economic progress in a steady path when it comes to the host country. Most importantly, the relative indices such as capital and wealth have an impact on how Japan can strategically place itself to take advantage of the trends because of the performance of the Yen on the global market with respect to other trading currencies. In summing up, the Japanese economy's attractiveness to foreign direct investment is in many ways connected to how its national currency the Yen fares with regards to other trading...
7 Pages(1750 words)Research Paper

The Flow of Foreign Direct Investment to Developing Countries

...Countries As a part of the globalization of economic activity, the cross-border transactions of technology and direct investments have expanded greatly over the past two decades, especially since the mid-1980s. Several global economic events of a reinforcing nature have contributed to this expansion. These trends include: worldwide liberalization of national economies to trade and investments; privatization; regional economic integration in many geographic regions-especially in the EU and North America and the corporate restructuring sparked off by them; the emergence of new generic or core technologies; reforms in the Central and Eastern...
28 Pages(7000 words)Essay

Foreign Direct Investment in Developing Countries

.... CRITICAL LITERATURE REVIEW ON FOREIGN DIRECTINVESTMENT IN DEVELOPING COUNTRIES The current global climate relies heavily on the existence of Foreign Direct Investment as a determining factor in the economic growth of any region. However, questions remain as to why there are certain pockets of countries where FDI seems to be flourishing, while others are vying for attention in this regard. There are many statistics that point to this (Vaknin, 2007, np). For example, only one third of the developing and poor nations get any forms of FDIs, and these are perhaps the neediest ones. Also, the...
7 Pages(1750 words)Essay

Foreign Direct Investment

...and thereby it is able to gain the competitive advantage. Bradley [3] also explores other theories that drive foreign direct investment by a multinational firm, including the international production theory, which postulates that the question of whether and to what extent a multinational firm may decide to initiate production activity within another country and make significant investments, will depend upon the perceived relative advantages between the facilities available on home turf and the implied advantages and resources involved in locating to another country. Morgan and Katsikeas [9] have closely examined all relevant...
9 Pages(2250 words)Essay

Foreign Direct Investment in Developing Countries

...Foreign direct Investment in Developing Countries Introduction Foreign direct investments refer to direct investment inbusiness or production in the country by a company or an individual of another country. That could either be by buying an industry in the target nation or by expanding operations of an existing company into that country. In simpler terms, it means that a firm makes an investment, physical in kind, such as building an industry in another country. The cord between a states economy and...
9 Pages(2250 words)Article

Increasing investment attractivness of CIS countries (ex-USSR countries)

... Lecturer Enhancing the Investments Appeal of the CIS Countries Foreign Direct Investments (FDIs) have a significant role in closingthe gap existing between domestic savings and the huge investment levels required to support the economic development of the Commonwealth Independent States (CIS) during the medium term (Heritage Foundation 2003). FDIs provide appropriate external financing in equity form instead of the debt category, through the import and export economic sectors (WEO 2012). FDI is a significant source of competent management and superior technology. Investment entails development of new corporations, and also the expansion of the present business organizations. De novo firms are very instrumental in the development... debt, in...
2 Pages(500 words)Coursework

Foreign Direct Investment for Developing Countries

...Foreign Direct Investment in Developing Countries Introduction Foreign direct investment helps in the open andalso effective international economic system. FDI is one of the leading catalysts to development and growth of worlds economy. One of the most chronic problems among the developing countries is the fact that they do not have enough or adequate finance to make investments in their countries. This has led to most developing countries and to a large extends developing economies and those still in transition to divert they attention to FDI as the main...
11 Pages(2750 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Dissertation on topic Expansion by Foreign Direct Investment in European Countries for FREE!

Contact Us