英语论文网

ple. Thus the people believe that the local infant industry is eliminated or cannot run the operation and become dead industry which has its significant impacts over the local in fact industry. in this way the infant industry become dead industry and this do not provide opportunity to the local industry to grow. Thus the country's markets, populations, production and demand and supply mechanism becomes dependent upon the FDIs in the larger perspective. in addition to this the local social groups and people put the pressure as they believe that the FDI consume resources and they do not show the care for the environment as the dump the garbage in the land and this pollute the eco system.

In this regard to address the concerns of the countries and to resolve the issue the legislation was introduced in 1970s that would put an end to the tax incentives of FDI. However this tactic did not stop the FDI expansion of operations.

However the advocated of the idea of attracting foreign direct investment in the economy seems to support the idea. They argue that the FDIs bring the investment in the country and provide the consumer better value by producing cost competitive products through which the prices are turned down and the higher quality is offered than the competitors local produced. The international nature of the business is encouraged through the FDIs. The business has become possible to take place in international markets through the foreign investments in the international borders. Thus this is evident that the business has taken growth internationally through the entrepreneurs who are interested to invest ion the foreign countries.

Barney (1991) believes that the corporations from some of the countries lead the world's economy and remain interested in the countries where the commercial markets provide them open opportunities. However the Chorn (2004) believes that the commercialism is not the only reason but also the natural and other resources remain the point of attraction for the FDIs. According to Chorn (2004) this is the external factors and the infrastructure of the host country remain the factor of the attraction for the Foreign Direct Investment in the country

The statistics suggests that the dollar investment in developing countries increased 40 times over in less than 30m years. However it is believed that the host countries welcome the FDI because of their investment in their comparatively smaller economies. Thus this helps the economies to gain some comparative advantage through the investment in the countries. This approach suggests that the countries get benefit from the investment in the economies. This provides positive impact on the economies rather than hitting them negatively.

The foreign direct investment is a measure of investment in different sectors of the economy.

The foreign direct investment provides the ownership of the assets to the investing entrepreneurs. However the investor's giant the competitive advantage through the ownership of productive assets. On the other hand the Johnson (2005) observes and provides empirical view in the book, 'Exploring Corporate Strategy' that the Globalization has become the major factor of today's business world and international business through the help of FDIs decisions to operate abroad.

The FDIs involve in the participation in sector of management, Joint-venture, transfe