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Foreign Direct Investment | International Business | From A Business Professor

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Business School 101

Business School 101

Күн бұрын

In 2020, Starbucks opened 1,404 new stores, and 1,117 of them were located outside the U.S. In the same year, Tesla built and expanded its Gigafactories in China and Germany. In early 2021, Samsung announced a plan to invest as much as $17 billion to build a chip plant in the U.S. Why do these industry giants invest so heavily in foreign countries even during a global pandemic? What are the impacts of those investments? To better understand the answers to these questions, we need to learn about an important term in the international business field: foreign direct investment.

Пікірлер: 104
@amandahenrichs6951
@amandahenrichs6951 16 күн бұрын
I believe that the concept of Foreign Direct Investment (FDI) is one of the more challenging topics covered in our class. I found it fascinating to delve into the reasons why companies continue to engage in FDI, especially amidst a global pandemic and the complexities within the supply chain. In today's context, I think one of the most pertinent reasons for US firms to invest in other countries is "Market Seeking". For instance, Tesla has amassed a significant customer base in East Asian countries, particularly in China.
@krisemerson2029
@krisemerson2029 16 күн бұрын
I found this video really eye-opening, especially since I hadn't realized how much Foreign Direct Investment plays a role in the businesses I interact with daily. It's fascinating to see how companies source resources from different countries to grow and thrive. Thank you for a very informative, and helpful video.
@JIakhigbe
@JIakhigbe Ай бұрын
It's very fascinating how businesses that we commonly buy into on a daily use FDI to integrate better business strategies, expand their market, and their growth. Investing abroad revealed a lot of complexities of international business and gave me a better understanding.
@arlethramirez9702
@arlethramirez9702 2 жыл бұрын
FDI was one of the more interesting concepts that we covered this semester. I find it really interesting that firms seek resources in different countries because they may not be easily available in their home countries. I completely understand why a firm would need to invest in other countries if the market is more accepting in said countries. This video does a great job in breaking down FDI.
@gabriellapugliese8058
@gabriellapugliese8058 Ай бұрын
FDI i found to be much more interesting than I thought it would be. My main takeaway was learning and memorizing the 4 types of motives for FDI: resource seeking, market seeking, efficiency seeking, and favorable govt. policy seeking. The graphs and illustrations in this video really did make an impact on me remembering key terms and concepts.
@KelciMcCarty
@KelciMcCarty 23 күн бұрын
This video was very interesting to me because I had no idea how much the businesses I use daily use Foreign Direct Investment. Its interesting how these firms seek resources from different countries. This video does a great job in explaining why companies would use FDI and the benefits along with it.
@jamieparker6593
@jamieparker6593 Жыл бұрын
I found that FDI was a difficult topic to understand this semester but I really appreciate how it was explained. Looking into the benefits, drawbacks and political ideologies really helped me understand this subject better.
@joshuaplunkett4888
@joshuaplunkett4888 8 ай бұрын
Foreign Direct Investment is an interesting concept because of how frequently it is used. This video helped me understand more about the benefits and drawbacks of FDI and how there are different views within FDI.
@caitlinwright2800
@caitlinwright2800 Ай бұрын
Learning about the 4 types of FDI was interesting; resource seeking, market seeking, efficiency seeking, and favorable government policy seeking. However, the most interesting was market seeking. Firms actually invest in a particular country that they have studied and believe they will earn popularity and customers in. Said country will then become the target market for that firm.
@harrison_price
@harrison_price 2 жыл бұрын
Some of these foreign investments seem illegal, but are obviously structured in the way both parties benefit from the "transaction" of their supply or demand. By allowing foreign investments, companies are not limited to the roots of their land.
@calliehyde4581
@calliehyde4581 8 ай бұрын
I found it intriguing how foreign direct investors market seek to invest in a business by following their main suppliers and adapt to the local taste to understand the market. I enjoyed learning about the different benefits of FDI and how it can help investors, businesses and it can increase employment. Although this is a difficult topic to understand it was explained very well in this video.
@ashlynross8102
@ashlynross8102 2 жыл бұрын
I think that FDI is one of the more difficult concepts that we cover in this class. I really liked how we explored why companies are still pursuing foreign direct investment even with a global pandemic and increased complications within the supply chain. The reason that I think is most relevant today for US firms to invest in other countries is "Market Seeking". Tesla has a huge customer base in east Asian countries, especially China. It only makes since for them to invest in infrastructure to aid in the production and delivery of their cars to that market.
@carsonsouter6356
@carsonsouter6356 2 жыл бұрын
FDI was super difficult to understand, because of all the concepts that it covers. But I like how we explored FDI in different ways and different scenarios. I helped me better understand this topic.
@cullenmalone9145
@cullenmalone9145 Жыл бұрын
This is a very large concept to understand. This video highlighted the major arguments for and against Foreign direct investment, like the radical view and the free market view purported by Adam Smith.
@joaquinbianchi4137
@joaquinbianchi4137 Жыл бұрын
I would say that FDI is definitely one of the most interesting concepts that we have covered during this semester and this video has really educated me more a bout it.
@hunter58gmail
@hunter58gmail Жыл бұрын
This video explains many things that I'd never understood about the topic of Foreign Direct Investment. The material was great to learn. I always appreciate the real-life examples that you often include in your videos.
@jacksonpowers5970
@jacksonpowers5970 2 жыл бұрын
I like this video because it is easy to forget how heavily FDI impacts the global economy. Many of the manufacturers who we have come to associate with their countries of origin, like Toyota with Japan, have headquarters in the US that cater specifically to the western market. The video breaks down foreign direct investments very easily and makes it simple to understand.
@eljohnnyv20
@eljohnnyv20 Жыл бұрын
FDI really gives us a good idea of investing money to help companies grow in other countries. It is a very informative video and one where I will look back at in the future.
@mireyamaldonado3604
@mireyamaldonado3604 Жыл бұрын
FDI is such an interesting yet difficult topic to fully understand. I think this 15 minute video was a great explanation for FDI. It explains how it not only affects local economies but global ones as well.
@priyapatel3795
@priyapatel3795 Жыл бұрын
FDI was a little difficult to understand but I believe that the video did a great job of explaining how FDI works and who it apply to. I find it interesting how FDI impacts so many companies that I didn’t think impacted. For instance, Tesla expanding to China and Germany in such a short period of time is interesting because of how the FDI works.
@caitlinrae2934
@caitlinrae2934 Жыл бұрын
This video made me realize just how important FDI is for our economy.
@alexanderthegreat408
@alexanderthegreat408 2 жыл бұрын
FDI is an import way of reducing business expenses and allocating efficiency in the global market. This video really explains the motives behind FDI involving resource seeking, market seeking, and efficiency seeking which can better advice where a business wants to take their venture and where to best operates in.
@elizabethtorres144
@elizabethtorres144 Жыл бұрын
Before I watched this video FDI was a little confusing for me, but the way this video explains FDI made it way more easier to understand.
@shamarcravens9668
@shamarcravens9668 Жыл бұрын
Excellent synopsis! FDI can foster and maintain economic growth, in both the recipient country and the country making the investment. On one hand, developing countries have encouraged FDI as a means of financing the construction of new infrastructure and the creation of jobs for their local workers. On the other hand, multinational companies benefit from FDI as a means of expanding their footprints into international markets. A disadvantage of FDI, however, is that it involves the regulation and oversight of multiple governments, leading to a higher level of political risk.
@tayseerali9635
@tayseerali9635 Жыл бұрын
I think this video ties to the chapter regarding culture. Because foreign direct investment has to determine where investments will do the best, an understanding of the foreign location (including its culture) is important. Some products sold/produced in certain locations may have higher success than others, so properly assessing where to start production/sales depends on studying the foreign area.
@bryanrivas9394
@bryanrivas9394 8 ай бұрын
I love how this video effectively explains the Foreign Direct Investment (FDI) concept. The video stands out for its insightful Foreign Direct Investment (FDI) pointers, breaking down complex concepts into digestible information. It offers compelling examples, such as Starbucks, Tesla, and Samsung, to illustrate FDI motives and impacts. The detailed exploration of benefits and drawbacks enriches understanding, making it an informative and engaging resource.
@stormyshelton
@stormyshelton 10 ай бұрын
It so interesting to learn the cause and effect of FDI of business’s make their strategic business decisions in host countries.
@WALKS_WITH_GOD
@WALKS_WITH_GOD Жыл бұрын
FDI was a very interesting topic to learn about. It is interesting to learn about how investments work internationally.
@gracywalters4729
@gracywalters4729 Жыл бұрын
This really shows how the pandemic made business very interesting.
@tylercopeland4938
@tylercopeland4938 2 жыл бұрын
I like this video because it is easy to forget how heavily FDI impacts the global economy. Many of the manufacturers who we have come to associate with their countries of origin, like Toyota with Japan, have headquarters in the US that cater specifically to the western market. It's almost as if it is just another American company who happens to have a Japanese name.
@justinlloyd9689
@justinlloyd9689 Жыл бұрын
I found that learning this topic through this video was way better than reading a normal text book. Thanks for this video.
@kyanaalvarez2911
@kyanaalvarez2911 Жыл бұрын
I enjoyed learning about the costs of FDI in this video. It opens your eyes about small businesses and how easily it can be close these businesses down. It was also learning that it can encourage political corruption.
@destinyparker6724
@destinyparker6724 2 жыл бұрын
This video explained FDI very clearly. I especially found the topic of “market-seeking” very interesting.
@mathiaspegueroeriksen8025
@mathiaspegueroeriksen8025 Жыл бұрын
Foreign Direct Investment is a very important topic, and many firms are being successful by expanding their business to other countries. There are many benefits to FDI, since an increase in employment in other countries help more people get jobs, which eventually will make the society better by letting the economy flow more smoothly. Great video!
@Chloe_Hamilton
@Chloe_Hamilton Жыл бұрын
This video did a good job explaining such a difficult concept as FDI. FDI now makes sense from a business standpoint, as the market in one's home country may not be as accepting, so they look for investments in other countries.
@sergiomonsivais7088
@sergiomonsivais7088 2 жыл бұрын
This video taught me although most of the companies started in the US whatever happens in that Particular business in other country can truly affect the whole business. These firms are motivated to expand their business which is why they expand.
@iamadangovea
@iamadangovea 2 жыл бұрын
I had a good grasp of what Foreign Direct Investment was and this only made me want to learn more. I think the way the video is strutted is really nice. It introduced an idea and then got into the nitty gritty, while still being able to grasp.
@marcosrivera3988
@marcosrivera3988 Жыл бұрын
Foreign Direct Investment was a great topic to cover It was interesting how many businesses started in the United State and later expanded internationally
@victorhuerta9364
@victorhuerta9364 2 жыл бұрын
Foreign direct investment has been a common practice in companies that want to lower their labor and production cost. This video explains this, but it also gives great examples like how some of these companies want to seek out better government policies.
@garretthoneycutt9098
@garretthoneycutt9098 2 жыл бұрын
This topic I believe has the ability to lift up countries that are being invested in as well as hurt them. Companies must also focus on CSR and understanding local culture to help lift up the countries in which they are doing business.
@jacksonpeer3237
@jacksonpeer3237 2 жыл бұрын
It is interesting to learn what exactly companies are interested in when they invest their business in another country. I liked this video for all the examples it had for each type of business and their motives for investing in a foreign country. It's also really neat that a company like BMW created a vehicle specifically for American citizens' taste in cars.
@everythingjulia1172
@everythingjulia1172 Жыл бұрын
Foreign Direct Investment was a very difficult topic to understand, but I really enjoyed learning about this topic. It was fascinating to learn about. I never knew how much FDI has many beneficial impacts on developing host countries.
@brendolynoconnor241
@brendolynoconnor241 2 жыл бұрын
FDI was a great topic to cover due to how little I think the average citizen really thinks about foreign investments. It's interesting to think about the different factors that go into choosing countries for manufacturing plants, ranging from cheaper and more common resources to increasing competition between companies like Komatsu and Caterpillar.
@KeyannaBrown
@KeyannaBrown Жыл бұрын
FDI is a difficult subject to grasp, I have perviously learned about FDI in a management class last semester so I am glad to be revisiting this topic again. FDI is important because it continues to increase economic growth and expand technology in other countries. One example of this that I learned last semester is how Mercedes, which originated in Germany, built a giant manufacturing plant to Alabama. Their whole motto when this was occurring was that they were creating 300+ more jobs. I believe that Mercedes was "market seeking" because of how popular the car is in America. They also started a auto industry boom in that state alone.
@hallyepeden1709
@hallyepeden1709 2 жыл бұрын
This video was very interesting to me. I didn't realize how many businesses started in the United States and expanded companies to foreign countries. Foreign direct investment is a good way to increase production around the world and help expand companies. After watching this video I got more knowledge about FDI and how this helps increase in production around the world.
@malone_tnk9106
@malone_tnk9106 2 жыл бұрын
In this video, I learned that businesses may send their factories/shops to other countries so help with the costs of Operations. I didn't know that things cost different in other countries to where its cheaper togo to another country than at home. Like, things from china many cost less to make than in the US.
@asaharris1568
@asaharris1568 3 жыл бұрын
It's crazy how a lot of big American Companies partake in FDI but it works out for them mainly on growing and expanding a healthy stream of revenue in not just American soil but overseas as well!
@cindythompson4447
@cindythompson4447 Жыл бұрын
Lots of good, clear information here. FDI has alot of intricacies as to why a country may or may not want to be involved on the investing or receiving end. This video is a pretty complete overview to give you a clear understanding of how & why Foreign Direct Investment works in todays global economy.
@bettycarroll8139
@bettycarroll8139 Жыл бұрын
Being that we are currently in a pandemic this video was very interesting. Investing into business is part of how the world really works. Having international investments and seeking out the things we need at a lower cost is an efficient wat of doing things.
@madisonpryor7835
@madisonpryor7835 8 ай бұрын
This particular lecture video i found very interesting. I Had a hard time understanding FDI but this lecture video definitely helped with that.
@irielamontoya4376
@irielamontoya4376 2 жыл бұрын
This is a such a great video because it is easy to understand! It doesn’t go around mindless information but explains what will be helpful to know about foreign direct investment. It was awesome to learn about FDIs without getting bored!
@brendanpipher1698
@brendanpipher1698 8 ай бұрын
I have found FDI very interesting to learn about however hard at the same time. I understand the importance of it but its a concept that can be confusing to me at times so i really liked this video because it helped me think about it in a different way.
@wworley9358
@wworley9358 Жыл бұрын
As the video discussed, there can be great benefits of foreign direct investment to both the investing firms as well as benefits to the host countries. However there are still some important drawbacks to both the firm and the host country. But in many cases, the benefits seem to outweigh the costs.
@Camithran
@Camithran 2 жыл бұрын
This is one of those topics that seems more and more important to understand. The different types of FDI make a lot of sense to me and line up with what I've seen. The examples with automakers investing to serve regions is exactly what I've seen in Austin with the Tesla Gigafactory. There's just as many benefits as there are costs though, so there's a lot of ways FDI can influence communities and culture.
@almonds8367
@almonds8367 Жыл бұрын
Foreign Direct Investment is one of the more complex topics discussed in the class. The video thoroughly explains FDI and how it affects local and global economies.
@fashionstardancer
@fashionstardancer 2 жыл бұрын
I find it interesting how companies invest in having their business in other countries, it is a smart strategy when it comes to saving money and obtaining resource supply. Hardly anything we buy is manufactured in the United States. However there can be a lot of unethical acts occurring that may not be seen as bad in one country.
@brooklynntaylor6556
@brooklynntaylor6556 3 жыл бұрын
Foreign Direct Investment has helped shape our society by allowing different companies to expand and provide more. There are definitely several benefits to FDI that are outlined in this video but there are also some downsides that need to be considered when companies consider moving operations to different countries. In the end, FDI is great for the economy and can help people all around the world gain jobs and products that they wouldn't have access to originally.
@vanessavela8878
@vanessavela8878 Жыл бұрын
FDI is something that I found to be interesting to hear about. While I think it is sad that firms may look for sources in other countries instead of paying profit here in America I can see their reasonings. Hopefully we can do more as a country to offer better resources.
@caitlinyoung
@caitlinyoung 2 жыл бұрын
I liked that the video is comprehensive about foreign direct investment and how it displayed all of it. Before this video, I had an idea of what foreign direct investment was, but I did not know the full list of benefits and problems with it. I also liked that the video both broke down each aspect of foreign direct investment and how each benefit be used in the real world.
@elizabethtaloa9308
@elizabethtaloa9308 Жыл бұрын
This was a great video explaining the subject. It is interesting to Study this topic how companies are interested to invest their businesses in other countries.
@twistedsisters8975
@twistedsisters8975 3 жыл бұрын
I really had no clue how many companies had FDI. This video was very informational. I really enjoy this style of videos too. -Rachel Parker
@YourFavoriteNoah
@YourFavoriteNoah 2 жыл бұрын
I was not aware that so many companies that I thought were just US based had taken part in FDI. It was also very interesting to learn the factors that help determine where firms invest.
@brandonburke2177
@brandonburke2177 2 жыл бұрын
I thought it was interesting to learn about FDI and the benefits and costs. I think it's something that is extremely beneficial if you are smart about it and do it the right way. Through more resources, new markets, more efficiency, and favorable government policy, FDI can expand your company and your brand if you do it the right way. I think that it is interesting that more companies haven't tried to do this because you could have a favorable opportunity elsewhere and you aren't taking advantage of it.
@matthewdelong5969
@matthewdelong5969 2 жыл бұрын
This video was definitely probably the video I like watching the most out of all the other videos throughout the semester because I think it’s very interesting to Know what companies are investing in when they are expanding their business to other countries around the world. It was also very compelling because I gave many examples on Different types of businesses and and what was the reasons and goals for investing in the certain country that they picked go expand to.
@kaitlyngoodrich348
@kaitlyngoodrich348 2 жыл бұрын
For me, this subject was a very difficult and complex subject to understand. I feel that this video did a good job of explaining the subject. I really liked that it gave relatable and real life examples, it made it easier to understand.
@clinthuff8547
@clinthuff8547 10 ай бұрын
I think as the world moves towards a more globalized economy, FDI will become a major component in order to ensure a company's success. We will either see an increase in Pragmatic Nationalism or possibly a shift to the radical approach. Its hard to forecast FDI at the rate which we are moving towards a globalized economy. To ensure a successful FDI growth I expect groups like the World Trad Organization and governments will need to work together to amend laws and common practices.
@savannahspicher1763
@savannahspicher1763 2 жыл бұрын
I though this video was very detailed about the different companies. It was very informational about the starting of the companies and how they expanded which I have never known!
@karsynlafitte2658
@karsynlafitte2658 2 жыл бұрын
Before watching this video I was struggling with nude FDI but this video helped me better understand the concept. It gave great examples and explanations.
@alexmartinez4325
@alexmartinez4325 2 жыл бұрын
This video introduced me a lot to foreign direct investment. It was interesting how many businesses started in the United States and later expanded internationally. After watching the video I have a great insight on FDI. Great video!
@jameshunsinger4438
@jameshunsinger4438 3 жыл бұрын
After watching this video I do believe that the benefits of FDI outweigh the costs. Japan did have a good point in that it may hinder their own nations growth and making negotiations to be involved was a good solution. This video displayed the reasons behind FDI and the costs and benefits very clearly, and it is clear that if FDI is done correctly and ethically than the benefits will outweigh the costs.
@natsukimcnamara8555
@natsukimcnamara8555 3 жыл бұрын
This video was very informative and explained FDI very clearly. It was interesting that corporations have different purposes for the FDI. I appreciated the structure of this video because it was easy to follow and understand.
@hannahbowman4065
@hannahbowman4065 Жыл бұрын
In this video, it was very interesting to learn who is still using this method even after all that has happened in the world throughout the last few years. For me, this concept was a little harder to understand do to the many different concepts and scenarios, but after really learning in depth what it was about, it actually was very interesting.
@lakeshiapooe5727
@lakeshiapooe5727 2 жыл бұрын
This video is interesting about FDI and it made me realize some things about companies that I didn't realized about investing/trade and how important resources and market seeking are to companies
@andrewpaolino3728
@andrewpaolino3728 2 жыл бұрын
It is interesting how much companies will invest in other nations even ones that don't jump out as counties that would invest in other nations. It also can be very hard and sometimes dangerous such as trying to invest in China since they have a lot of censorships and restrictions
@jordancolbert4984
@jordancolbert4984 2 жыл бұрын
I really enjoyed this video. It was awesome to learn that a lot of companies were started in the United States and expanded all over the world. I had no idea about that because I felt as if the US got most of its companies and products from other countries. This video was also super informative to me and expanded my knowledge on foreign direct investment, before hand I had never even heard of FDI.
@misaelsanchez9866
@misaelsanchez9866 3 жыл бұрын
Great! So many benefits and advantages of FDI for both the investor and the country. If a country attracts a lot of FDI, it is a signal that foreign investors have confidence in the economy and, to a certain extent, the governance of that country.
@lindseysanchez4197
@lindseysanchez4197 3 жыл бұрын
This video was interesting, I enjoyed learning the history of companies who expanded outside the U.S into foreign countries. Foreign direct investment is a good strategy to increase international production. The 4 types of motives for FDI are beneficial for companies in the U.S. to implement as a product strategy.
@haydencollins1970
@haydencollins1970 2 жыл бұрын
Great video! I liked your delivery throughout the video. One of the things that really caught my eye was Kentucky incentivizing Toyota to come to their state with monetary compensation. Really interesting stuff!
@workingjane9454
@workingjane9454 2 жыл бұрын
This video was very interesting to me. I very much enjoy these videos and the way that they are presented and explained, it makes it so easy for me to pick up on and understand the information!
@kendallprice6862
@kendallprice6862 2 жыл бұрын
This topic was definitely interesting to say the least. I never knew the amount of companies that are started here in the US an later expanded globally!
@ethancollins6886
@ethancollins6886 3 жыл бұрын
I had no idea this topic was so interesting. I really did not know so much went into FDI. Great video!
@breannamcgowan7780
@breannamcgowan7780 2 жыл бұрын
This video provided information in an easy to digest format which I really enjoyed. I feel like I have a great concept of Foreign Direct Investment and all of the other practices that play into effect as well.
@brandiwilliams1243
@brandiwilliams1243 3 жыл бұрын
This video was one of my favorites out of them all. It was informative but it was more my speed. In other words this segment really interested me. I learned alot about companies that i am familiar with. Very interesting.
@nealdavis3430
@nealdavis3430 2 жыл бұрын
I didn't know how much money companies were sending to other countries. For example, Tesla out millions into firms in China. Also, I didn't realize the benefits of this. Such as resources, markets, efficiency and government. Also, labor in other countries tend to be much less.
@jasmineortiz2334
@jasmineortiz2334 2 жыл бұрын
I found this video very interesting ! And very informative in the investments international businesses. I learned about Market seeking firms and why they take foreign investments. And I enjoyed the different specific examples of the benefits of FDI.
@cameroncolebishop
@cameroncolebishop 2 жыл бұрын
This video was interesting, I enjoyed learning the history of companies who expanded outside the U.S into foreign countries. Foreign direct investment is a good strategy to increase international production. I really liked the relatable and real life examples, it made it easier to understand.
@lthornton724
@lthornton724 2 жыл бұрын
This was my favorite topic from this course! Companies invest abroad for different reasons sometimes it's to expand their market(s) other times they invest abroad to capitalize on the lower cost of production. Knowing that: over the past few decades companies looking to lower costs of production have invested in developing countries primarily for the low cost of labor and natural resources. We are at a point where automation is continuously contributing a bigger role in manufacturing to the point where some factors have little to no human interaction at all. My question is at what point will automation be advanced enough for companies to no longer need hundreds of low wage works and instead have a few talented engineers and maintenance crews? Or will we there ever be a time where mass production is less crude and harmful? If there is such a phase will companies begin building factors again in developed nation like Intel and Samsung building factories in the US?
@RegLinProbit
@RegLinProbit Жыл бұрын
great content !
@marcomiranda8721
@marcomiranda8721 2 жыл бұрын
This topic is very important to global economic development. This video shows you what is FDI and how it affects different players in the economy. If you are looking to understand FDI, check out this video.
@jahnalexander3928
@jahnalexander3928 2 жыл бұрын
The one dislike is a university professor who's lesson got replaced by this 14 minute video
@BusinessSchool101
@BusinessSchool101 2 жыл бұрын
LOL, I am also a university professor and I am sure different professors will certainly provide valubale thoughts from different perspectives.
@jahnalexander3928
@jahnalexander3928 2 жыл бұрын
@@BusinessSchool101 Reading off the slides isn't the perspective I'm paying for XD
@thehalloweenvibe
@thehalloweenvibe 2 жыл бұрын
Great video; it went over information that is helpful and understanding. Question towards FDI does it benefit tax incentives? So basically, what I am getting from FDI is if a company opens a new headquarters in, say, Canada, they will benefit from an FDI. Interesting learning new facts every day. Thanks for the video.
@moisesleandro2862
@moisesleandro2862 2 жыл бұрын
I found this video a great resource to learn more about Foreign Direct Investment. As we currently learn to deal with the pandemic, I would assume FDI would have fallen in the short term. As we move forward from it, I wonder if some of the benefits of FDI could potentially be viewed as more of a risk. For example, having more employees worldwide exposes your company to greater chances of dealing with health issues due to a global virus. Also, as many plants had to shut down during the first months of the pandemic, did those shutdowns hinder the future plans of continued FDI plans for some companies?
@BusinessSchool101
@BusinessSchool101 2 жыл бұрын
Very good question! FDI certainly has both pros and cons. During the global pandemic, some of those cons do become more evident. However, in the long term, the benefits of FDI will still overweigh its costs.
@emilycurry6120
@emilycurry6120 Жыл бұрын
Why does FDI relate to political corruption?
@alicejeandilao811
@alicejeandilao811 2 жыл бұрын
How do we measure FDI?
@BusinessSchool101
@BusinessSchool101 2 жыл бұрын
Foreign Direct Investment (FDI) flows record the value of cross-border transactions related to direct investment during a given period of time, usually a quarter or a year. Financial flows consist of equity transactions, reinvestment of earnings, and intercompany debt transactions. Outward flows represent transactions that increase the investment that investors in the reporting economy have in enterprises in a foreign economy, such as through purchases of equity or reinvestment of earnings, less any transactions that decrease the investment that investors in the reporting economy have in enterprises in a foreign economy, such as sales of equity or borrowing by the resident investor from the foreign enterprise. Inward flows represent transactions that increase the investment that foreign investors have in enterprises resident in the reporting economy less transactions that decrease the investment of foreign investors in resident enterprises. FDI flows are measured in USD and as a share of GDP. FDI creates stable and long-lasting links between economies.
@Mawzeen
@Mawzeen Жыл бұрын
What´s your source reference?
@BusinessSchool101
@BusinessSchool101 Жыл бұрын
In the end of video
@Mawzeen
@Mawzeen Жыл бұрын
@@BusinessSchool101 It made me understand the topic better and for that I´m grateful, but 2 things, try to refer to your references when you refer to them, it´s for me useless, cause I cant refer to your referencelist, secondly you have added 2 videos at the end that covers your references.
@katateo328
@katateo328 11 ай бұрын
hahha, bat dau dan dat vao the gioi ba xao hahahahah
@MrVanzantie
@MrVanzantie 2 жыл бұрын
Foreign direct investment or FDI is very important during the international market transition phase when a company or firm has decided to go to the next level after achieving a level of success in their domestic market and the products and services they offer satisfies a need in that international market. The resources those firms and entities have available that would allow them to easier integrate themselves into the international market can be numerous factors such as foreign employees that are natives of the area or region the company wants to open up shop can recruit people they went to school with, or are responsible for conducting interviews in the native language and also train those new recruits to perform their roles according to the culture, values, and mission statement the company is based on. Technology, market knowledge, organizational skills, and management styles are tools to be utilized when expanding into any new market especially into an international or global sector of an industry, they must scout out the region to identify potential suppliers for the region, adapt to the locals and assess their needs accordingly. All while saving costs in areas such as production, marketing, and distribution departments that might need more attention then others since the company is focused on expanding into a new region or another country entirely the process as a whole needs to be effective in developmental costs, strategic costs, relationship building with governing figures, and the policies that are set up that involves businesses both foreign and domestic. The economies of scale and scope based on the strategy the business is utilizing and whom their audience is based on the culture, political landscape, and level of integration the company wants to pursue will determine what method they will use in the diamond model later on.
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