Methods of the Investment Attractiveness Assessment: The Regional Dimension

Abstract

The theoretical and methodological approaches as to interpretation of the essence and methods of assessment of investment attractiveness of regions are examined, which allows to assert the absence of a generally accepted scientific approach and an objective valuation of the general investment situation in the regions. Based on the analysis of modern scientific approaches to the interpretation of the essence of the concept of «investment attractiveness of region», a conclusion has been drawn about its characteristics, which are: value of using the region as a domicile of company; a combination of location advantages that can be achieved in the process of doing business and are due to the specific characteristics of the region in which the activities take place; a set of regional location advantages that influence the achievement of investor’s targets (for example, operating expenses, sales revenue, profitability); the ability to rent a place in the region; the ability to convince investors to choose a region as a place to invest; the ability to stimulate investment by offering a combination of location advantages that can be achieved in the process of doing business. The method of analysis of the cost or number of investments accomplished (or jobs created) in a particular industry to assess the investment attractiveness of the region is substantiated, which will allow to objectively determine the spatial differentiation of the inflow of foreign capital to a particular region. It is specified that when determining the weight of certain factors of investment attractiveness, the obtained values should allow to carry out a preliminary analysis of investment attractiveness, which most coincides with the actual investment activity of the regions. A generalized grouping by the level of aggregation (region, subregion, territorial community, amalgamated hromada, cities) of the categories (factors) of potential investment attractiveness is proposed.