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Foreign Direct Investment (FDI) is an investment of money and/or productive good in a country by a person or a juristic person in a foreign country. So the foreign company or person expands its business in the new country. FDI is a part of the calculation for the GDP as well. For the country of the foreign investor it can be an income. For a lot of nations Foreign Direct Investments are really important for their economic development. Less developed Countries get not only financial support also the transfer of know-how is forced by FDI. Every government tries to generate the FDI as possible for economic prosperity. A FDI Ranking helps the government for the FDI-related agenda setting and to formulate the political and numerical aims of the national FDI policy. So did the Japanese prime minister with the help of the OECD FDI Ranking. A FDI Ranking makes it easy to compare the inflows of FDI between different countries. It can help to understand why nations profit from FDI more than another nations. There are different methods for Investors to spend FDI. Founding of a subcompany or to buy shares of an existing company in the target country are just two examples. Another method can be the foundation of a joint venture. A FDI Ranking shows also the economic performance of a country. It can help to find out the evident variables and measures of FDI in the international market. Some international and national institutions elevate FDI Rankings. The OECD publishes regularly a FDI Ranking. But it is very difficult to create and quantify the relevant factors because of its interdependence. Not only economic factors play a role. Even political, institutional and cultural factors can influence a FDI Ranking. The FDI inflow performance depends on different variables. A well developed infrastructure, a high skilled workforce and other incentives let increase FDI inflows. Also good prospects of the national economic growth can bring more FDI. Usually every FDI Ranking shows that open economies like the USA or France attract a high amount of FDI. Source: http://en.wikipedia.org/wiki/Foreign_direct_investment
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Investment Destination, Foreign Direct Investment Ranking, FDI Ranking, FDI Index,
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