Reference Entry

foreign investment

Jonathan Law

in A Dictionary of Business and Management

Fifth edition

Published in print January 2009 | ISBN: 9780199234899
Published online January 2009 | e-ISBN: 9780191726545
foreign investment

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Investment in the domestic economy by foreign individuals or companies. Foreign investment takes the form of either direct investment in productive enterprises or investment in financial instruments, such as a portfolio of shares. Countries receiving foreign investment tend to have a mixed attitude towards it. While the creation of jobs and wealth is welcome, there is sometimes antagonism on the grounds that the country is being ‘bought by foreigners’. Similarly, there may be resentment in the country whose nationals invest overseas, especially if there is domestic unemployment. Nevertheless, foreign investment is increasingly important in the economy of the modern world....

Reference Entry.  102 words. 

Subjects: Business and Management

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