Foreign Investment Strategies Research Articles

THE IMPACT OF TRADE LIBERALIZATION ON THE PERFORMANCE OF TANZANIA’S EXPORT SECTOR – A TIME SERIES ANALYSIS FROM 1980 TO 2019

Aim: This article aims to enhance understanding of the impact of trade liberalization on Tanzania’s export performance. As many studies conducted, both in developing and developed countries, have yielded mixed results and the relationship varies across different nations, it is difficult to provide a definitive answer to the question of whether trade liberalization affects Tanzania’s export sector without first conducting an empirical analysis. Methods: This study employs a quantitative research methodology because it allows for a larger sample size, greater objectivity, and accuracy. Due to the nature of the study and the data used, a statistical study design was chosen. Macroeconomic data spanning 1980 to 2019 was obtained from the World Bank and the Tanzania Bureau of Statistics to analyze the effects of trade liberalization on export performance using vector error correction and autoregressive distributed lag models. Results: The results reveal a sig­nificant positive correlation between trade liberalization and subsequent export performance, as well as the interdependencies between trade liberalization and foreign direct investment (FDI) strategies. There is a re­ciprocal relationship between trade liberalization and exchange rates, implying the significance of competent exchange rate management in enhancing export competitiveness. Conclusions: The study concludes that trade liberalization, FDI, and export performance have a long-term positive correlation. This implies that a carefully executed trade liberalization policy is crucial not only for the expansion of the export industry sector and the influx of capital, but also for the transformation and development of the nation.growth.

Impact of China’s Foreign Direct Investment on The Rwandan Economic Growth

The purpose of this study was to investigate the exact impact in quantitative terms of China’s FDI on the Economic development of the African continent with reference to Rwanda. The target population comprised 10 staff members of National Institute of Statistics of Rwanda, Rwanda Development Board, Ministry of Trade and Industry, Ministry of Finance and Economic Planning, United Nations (UN) Statistics, and World Bank's World Development Indicators. The sample size was 10 key informants. The researcher used questionnaire, interview guide and desk review as data analysis tools. The SPSS was used to analyze data into descriptive and inferential statistics. Results discover that in Rwanda a foreign direct investment depends on the consumer prices index. The study found out that 54.3% agreed with the consumer prices index, foreign direct investment is influenced by owner-occupiers' housing costs as it was evidenced by 62.8%, it was seen the retail prices index, where 56.7% agreed. Correlation analysis between the Owner-occupiers' housing costs and economic growth show a significant correlation between owner-occupiers' housing costs and job creation (r=.206; p-value=.000). This was statistically correlated given the p value was <0.005 proposing that increase in owner-occupiers' housing costs has led to a job creation in Rwanda. The study demonstrated that 64.6% agreed that the nominal effective exchange influence foreign direct investment, 45.1% strongly agreed with the real effective exchange rate. Correlation results felt that choice of price or cost felt that it is significantly correlated with a growth domestic product (r=0.123*; p value=0.034). The study sought to evaluate the effect of Balance of Trade on the economic growth of Rwanda. The study evidenced that participants agreed that the financial account statements by 55.5% while the study found that capital account is affecting foreign direct investment. It was shown by 53.0%. Results show a significant correlation between capital account and poverty reduction (r=0.105, p-value=0.071). The correlations were statistically significant given that the p value was < 0.05 proposing that an increase in capital account was insignificant with the economic growth and vice versa. The study concludes that inflation rate, exchange rate and balance of trade and thus FDI, have a significance effect on the economic growth in Rwanda. The study recommends that foreign direct investment strategies could be adopted in everyday activities. It would be appropriate to consider most favored nation and trade liberalization and investment as a criteria of exporting companies for improving economic growth. Future research can be conducted using longitudinal research to identify factors which contribute to economic growth. Keywords: Foreign Direct Investment, Economic Growth, Rwanda.

Impact of China’s Foreign Direct Investment on The Rwandan Economic Growth

The purpose of this study was to investigate the exact impact in quantitative terms of China’s FDI on the Economic development of the African continent with reference to Rwanda. The target population comprised 10 staff members of National Institute of Statistics of Rwanda, Rwanda Development Board, Ministry of Trade and Industry, Ministry of Finance and Economic Planning, United Nations (UN) Statistics, and World Bank's World Development Indicators. The sample size was 10 key informants. The researcher used questionnaire, interview guide and desk review as data analysis tools. The SPSS was used to analyze data into descriptive and inferential statistics. Results discover that in Rwanda a foreign direct investment depends on the consumer prices index. The study found out that 54.3% agreed with the consumer prices index, foreign direct investment is influenced by owner-occupiers' housing costs as it was evidenced by 62.8%, it was seen the retail prices index, where 56.7% agreed. Correlation analysis between the Owner-occupiers' housing costs and economic growth show a significant correlation between owner-occupiers' housing costs and job creation (r=.206; p-value=.000). This was statistically correlated given the p value was <0.005 proposing that increase in owner-occupiers' housing costs has led to a job creation in Rwanda. The study demonstrated that 64.6% agreed that the nominal effective exchange influence foreign direct investment, 45.1% strongly agreed with the real effective exchange rate. Correlation results felt that choice of price or cost felt that it is significantly correlated with a growth domestic product (r=0.123*; p value=0.034). The study sought to evaluate the effect of Balance of Trade on the economic growth of Rwanda. The study evidenced that participants agreed that the financial account statements by 55.5% while the study found that capital account is affecting foreign direct investment. It was shown by 53.0%. Results show a significant correlation between capital account and poverty reduction (r=0.105, p-value=0.071). The correlations were statistically significant given that the p value was < 0.05 proposing that an increase in capital account was insignificant with the economic growth and vice versa. The study concludes that inflation rate, exchange rate and balance of trade and thus FDI, have a significance effect on the economic growth in Rwanda. The study recommends that foreign direct investment strategies could be adopted in everyday activities. It would be appropriate to consider most favored nation and trade liberalization and investment as a criteria of exporting companies for improving economic growth. Future research can be conducted using longitudinal research to identify factors which contribute to economic growth. Keywords: Foreign Direct Investment, Economic Growth, Rwanda

U.S. national security and de-globalization

Globalization, defined as trade- and FDI-related interdependence among nations, increases social welfare by transmitting managerial practices, advanced technologies, and labor skills across borders. Recent declines in FDI flows have prompted scholars to speculate on the nature, magnitude, and determinants of de-globalization trends. We investigate whether a U.S. national security-related foreign investment screening law, the Foreign Investment and National Security Act of 2007 (FINSA), contributes to de-globalization trends. FINSA awarded a regulator known as the Committee on Foreign Investment in the United States broad new powers to revise or reject foreign acquisitions of firms in national security-related industries. Using a difference-in-differences research design, a wide variety of model specifications, and estimation samples spanning 1990–2016, we document post-FINSA declines in foreign takeovers of U.S. firms in national security-related industries. Consistent with techno-nationalism, we document that takeover declines are concentrated among research-intensive national security firms. Placebo, event-time, and robustness tests corroborate our results. Our empirical evidence suggests that foreign investment screening laws help explain the nature, magnitude, and determinants of recent de-globalization trends and prompts multinational enterprise managers to increasingly weight the political factors behind foreign investment screening laws when assessing foreign investment strategies.

Global production aspirations and internationalization by state-owned enterprises: A Co-evolutionary view of state-driven industrialized economy

The study aims to explore whether internationalization by state-owned enterprises is a curse or blessing in the context of aspirant industrial economies, such as China. What do state-owned enterprises' global production aspirations, such as outward foreign direct investment, bring into their home country? To answer this question, this study proposes a unique, co-evolutionary perspective of the state-driven industrialized economy by leveraging insights from economic discoveries such as Adam Smith's wealth of nations, David Ricardo's comparative advantage, and Michael Porter's competitive advantage. This view suggests that an outward foreign investment strategy may likely provide state-owned enterprises with access to resources and advanced production technologies, enhance innovation capabilities, gain more competitive advantage, and achieve superior performance, thus leading to spillover effects on their home country's wealth, comparative advantage, and competitiveness. This study discusses China's grand policies, economic performance, and successful cross-border industrial acquisitions.

THE IMPACT FACTORS OF FOREIGN DIRECT INVESTMENT IN CHINESE AGRICULTURAL ENTERPRISES

Agricultural enterprise foreign investment is not only the key to improve the competitiveness of international agricultural products, is also an important measure to ensure national food security, but also conform to the requirements of the national implementation of agricultural enterprise foreign investment strategy layout, and carry out foreign direct investment is an effective way to realize the development of agricultural enterprise foreign investment in our country. This paper uses SWOT analysis to analyze the advantages, disadvantages, opportunities and challenges, then select data from 2012-2020, to explore the special law of foreign investment and enterprise internationalization, will help to provide theoretical guidance for the internationalization of agricultural enterprises, research has important theoretical value and practical significance.Agricultural enterprise foreign investment is not only the key to improve the competitiveness of international agricultural products, is also an important measure to ensure national food security, but also conform to the requirements of the national implementation of agricultural enterprise foreign investment strategy layout, and carry out foreign direct investment is an effective way to realize the development of agricultural enterprise foreign investment in our country. This paper uses SWOT analysis to analyze the advantages, disadvantages, opportunities and challenges, then select data from 2012-2020, to explore the special law of foreign investment and enterprise internationalization, will help to provide theoretical guidance for the internationalization of agricultural enterprises, research has important theoretical value and practical significance.

Analyzing IKEA’s International Investment in China Based on the Theory of International Production Compromise

This study analyzes IKEA’s localized operation in China through the eclectic theory of international production. Firstly, the development history of IKEA is discussed along with its development in China. Secondly, IKEA’s direct investment in China is analyzed from the perspective of IKEA’s eclectic theory of direct investment in international production, the corporate ownership, internalization, and location advantages of the company, in addition to the challenges of IKEA’s investment and operation in China, hoping to enlighten the process of formulating overseas expansion strategies for foreign direct investment. This study aims to guide students to strengthen their skills in formulating and implementing strategies in regard to the international investment process of multinational companies. On the one hand, they can analyze the strategies used and challenges faced by IKEA in its international investment in China to stimulate their thinking on the international investment of Chinese enterprises; on the other hand, they can also strengthen their understanding of the international investment theory by analyzing IKEA’s international investment in China. This study hopes to enhance students’ understanding and application skills in regard to companies’ transnational operations.

Moderating role of institutional quality in validation of pollution haven hypothesis in BRICS: a new evidence by using DCCE approach.

The technological innovation and strict environmental protocols in the highly developed regions have become the primary sources for foreign direct investment to move in the pollution haven economies. In this regard, this study attempted to identify the role of foreign direct investment (FDI) in the developing economies of the Brazil, Russia, India, China, and South Africa (BRICS) region. For this reason, a dataset was obtained between 1995 and 2019. Chudik and Pesaran's (2015) latest dynamic common correlated effects (DCCE) technique is used because of its new features when integrating the problems of heterogeneity and structural breaks into panel data that are general and do not encompass much recent research in this context. According to the empirical outcomes, foreign direct investment is a source of pollution haven in this region. However, the moderating effect of institutional quality on foreign direct investment has been found negative for ecological footprint. It also found the threshold point where the foreign direct investment effect becomes negative on ecological footprint. Based on these empirical results, this research suggests that foreign direct investment strategy should be maintained in the presence of good institutional efficiency as it enhances the environment and promotes economic development.

КОНКУРЕНЦІЯ І КОНКУРЕНТОСПРОМОЖНІСТЬ МІЖНАРОДНИХ КОМПАНІЙ

This article examines the issues of competition and competitiveness of international companies. Competition, both nationally and internationally, is a fundamental principle of a market economy. In a competitive environment, by optimizing production resources, companies improve existing goods and services and create new ones, helping to maximize the realization of their economic potential. Competitiveness is a general indicator that shows the level of stability of the company to the challenges of internal and external environment. It was determined that in the context of globalization and transnationalization of the world economy, there are more and more powerful international companies, including multinational corporations, which have a significant impact on the development of the world economy. We analyzed the activities and characteristics of some of the largest multinational companies in the world. This powerful group plays a special role in the economy of each country and the world as a whole. A significant part of the attracted investments and export-import operations of many countries depends mainly on the activities of large international companies. These companies in their activities effectively combine centralized management with a certain degree of independence of their subsidiaries. They grow incredibly fast, increasing investment in their production capacity, diversifying the scope of activities, and covering more and more countries. These companies integrate their production, capital within global and effective business strategies. Competition bolsters the productivity and international competitiveness of the business sector and promotes dynamic markets and economic growth. The competitiveness of an international company means an effective foreign direct investment strategy, productivity and organization of work of all subjects which are a part of its structure, cost optimization and high product quality, ability to adapt and react quickly to market changes, mobility, modern methods of management and marketing. Due to the intensification of international competition, each company implements a set of measures aimed at overcoming the negative effects of competition and achieving the required level of competitiveness in the international market.

Innovation or Introduction? The Impact of Technological Progress Sources on Industrial Green Transformation of Resource-Based Cities in China

With the increasingly prominent problems of global resource consumption and environmental pollution, industrial green transformation has become one of the requirements of China’s industrial development in the new era. However, there is a lack of research on the impact of technological innovation and technology introduction on the industrial green transformation of resource-based cities. To bridge this gap, this study uses the panel data of 115 resource-based cities in China from 2003 to 2016, and uses the dynamic panel generalized method of moments (GMM) estimation method to study the impact of technological innovation and technology introduction on industrial green transformation of resource-based cities. The results show that technology introduction has a negative effect on the industrial green transformation of resource-based cities, while technological innovation can have a positive effect. Meanwhile, technology introduction has imparted a greater role to technological innovation in promoting this transformation. In addition, the interactive effects between technological innovation and technology introduction have obvious heterogeneity on the industrial green transformation of different types of resource-based cities. Therefore, resource-based cities should continue to increase investment in scientific research, to constantly improve and consolidate their technological innovation ability, optimize foreign investment strategy in technology introduction, and strengthen the digestion and absorption of imported technology, while increasing technological innovation and personnel training.

To Escape or Not: How Does Institutional Constraints and Support Affect Chinese Firms’ OFDI?

This study explores how China’s regulative, normative, and cognitive institutional constraints and support affect its firms’ outward foreign direct investment (OFDI) strategies at the subnational level. Our model assumes that the main motivation for firms’ OFDI is to escape the home country’s institutional constraints. Moreover, the institutional support of the home country’s government works as a moderator that accelerates the speed at which firms escape. We collected 26,411 firm-year observations, including 7,098 FDIs conducted by 2,401 firms between 2007 and 2017. The logit and panel regression analysis methods measure the effect of institutional constraints and support on Chinese firms’ OFDI. The results show that institutional constraints positively affect Chinese OFDI, confirming that the higher the institutional constraints in China are, the more likely it is that the firm will escape, and as the constraints increase, the faster they will do so. The institutional support for domestic development has positive effects on Chinese OFDI, which is contrary to expectation, while institutional support for internationalization has a positive effect on Chinese OFDI. Additionally, institutional support for domestic development and internationalization positively moderate the relationship between institutional constraints and the speed and number of OFDIs. This study analyzes the concept of “escape OFDI” empirically by examining the effects of subnational institutional constraints on OFDI activities at the firm level. This study advances the understanding of the motivations for OFDI activities by recognizing the existence of both institutional constraints and support in shaping the internationalization strategies of firms from developing countries, thus addressing an important gap in this field. Furthermore, it is a novel attempt to examine the impact of these two kinds of support on firms’ OFDI, which provides a new lens for understanding the internationalization of firms from developing countries.

Foreign Direct Investment Strategy of MNCs in the Context of Digital Transformation

Nowadays, the process of digital transformation and the introduction of a series of destructive technologies has revolutionized the way the companies do business and has important implications for the Foreign Direct Investment (FDI) pattern of Multinational Companies (MNCs). The objective of this paper is to point out the change in FDI strategy of MNCs in the new context through a review of existing studies. The results show that digitization can lead to the withdrawal of FDI, as it allows MNCs to enter foreign markets without having to be directly present there. Traditional markets- and tangible resources-seeking FDI may be partly weakened by digitization; and other forms such as knowledge-seeking and tax-and financial-driven FDI may become more important. There are also a number of other trends such as the FDI de-democratization, FDI financialization; the increase in investment of traditional MNCs in the digital sectors and the trend of digital companies acquiring non-digital assets.

A Study on Foreign Investment Strategy of Four Major Chinese Commercial Banks

본 연구의 목적은 중국 4대 상업은행의 해외투자여부, 해외투자의 지역선택, 해외투자의 성과에 영향을 주는 요인들에 관한 실증분석을 하고자 한다. 중국 상업은행의 해외직접투자 여부에 관한 가설에 대해서는 로지스틱모형을 이용하여 분석하였다. 추정한 결과 중국 상업은행의 해외투자 여부는 은행의 총자산수익률, 자산규모, 비이자 이익, 순이자 마진이 통계적으로 유의한 것으로 나타났다. 중국 상업은행 해외투자의 지역선택요인으로는 중국이 상대국에 대한 해외직접투자(FDI) 금액과, 파이낸스 센터 존재여부, 상대국의 1인당 GDP, 상대국과 지리적 거리가 중요한 변수로 나타났다. 해외직접투자 성과에 미치는 영향요인에서는 해외자산 대비 총자산의 비율과 자산시장 변동 상황, 영업이익경비율 등이 중요한 변수로 나나났다. 이러한 결과는 ‘일대일로’가 본격화되기 전인 2013년 이전에 실시된 유사한 선행 연구결과와 비교하여 중국의 주요 상업은행이 외국으로 진출할 때 어떠한 요인들이 중요하게 작용하는가를 설명하고 있어 향후 다른 중소 중국 은행의 해외 진출 시 의미 있는 정보를 제공할 수 있을 것으로 사료된다.The purpose of this study is to conduct an empirical analysis on the factors affecting the choice of foreign investment, the selection of regions of foreign investment, and the performance of foreign investment by the four major commercial banks in China. The hypothesis as to whether or not the Chinese commercial bank is invested in foreign direct investment was analyzed using the logistic model. As a result of the estimation, it was found that the total investment yield, asset size, non-interest income, and net interest margin of the Chinese commercial bank were statistically significant. As a regional selection factor of the Chinese commercial bank s foreign investment, China s foreign direct investment (FDI) amount, the existence of a finance center, GDP per capita of the other country, and geographical distance from the other country were important variables. The factors affecting performance after foreign direct investment were the important factors such as the ratio of total assets to overseas assets, the situation of asset market fluctuations, and operating profit ratio. These results explain what factors are important when major commercial banks enter foreign countries compared to similar prior studies conducted prior to 2013, before One Belt One Road began in earnest. It is thought that it can provide meaningful information regarding the Chinese banks entering overseas.

Export promotion programs, export capabilities, and risk management practices of internationalized SMEs

The purpose of the study is to analyze the effectiveness of public policies on the international performance of the small- and medium-sized enterprises (SMEs). Specifically, we investigate the effect of public export promotion programs (EPPs) on two types of organizational capabilities, i.e., export capabilities which have been already used in previous modelization and international risk management practices as an original variable intended to better explain the effectiveness of public policies on the SME’s international performance. We use a quantitative methodology based on a structural equation modeling approach applied to a sample of 147 internationalized French SMEs that used EPPs. Our results add value to theoretical and empirical knowledge on the effectiveness of public support programs on the international performance of SMEs, since we demonstrate an indirect effect between EPPs and international performance, through export capabilities and risk management practices. We also show that by strengthening the risk management practices, EPPs stimulate the SME in implementing foreign direct investment strategies.

The grass is always greener: The impact of home and host country CSR reputation signaling on cross-country investments

This study introduces the novel concept of CSR reputation signaling and analyzes its impact on cross-country investments. We combine Diffuse Reciprocity from international relations literature and Institutional Theory to argue that having a home country with high CSR reputation signaling is an advantage that firms can exploit, as it makes these firms more attractive to potential host markets as policymakers contemplate inward foreign direct investment strategies. Moreover, we propose that there are increased cross-country investments between countries with dissimilar levels of CSR reputation signaling, and that firms can benefit from this normative institutional gap; additionally, this relationship is positively moderated by the economic distance between the countries. Analyses of 25,672 country-pair observations across 5,474 country pairs from 153 countries from 2004 to 2011 provide robust support. Overall, our analyses suggest that high country-level CSR reputation signaling imprints on firms as they invest abroad, helping to promote CSR on a global basis, thus supporting policymakers as they pursue sustainable development and the 2030 Agenda.

Building Bridges on the Silk Road: A Strategy for Vietnam

In March 2015, the Chinese government published an official document entitled “Vision and Actions on Jointly Building the Silk Road Economic Belt and the 21st-Century Maritime Silk Road,” commonly known by the Chinese as “One Belt, One Road” (OBOR, 2015). The purpose of this massive initiative is to instill vigor and vitality into the ancient Silk Road, connecting Asian, European and African countries and their adjacent seas, more closely and to promote mutually beneficial cooperation to a new high and in new forms. Despite the establishment of the initiative, there has been very little scholarly discussion on the role of foreign direct investment in the important countries on the Silk Road and the impact of these investments on the people of these less-developed regions of the world. Vietnam is a critical partner in this initiative because it shares both maritime and land frontiers with China. Vietnam also serves as China’s largest trading partner in the Association of Southeast Asian Nations (ASEAN), with two-way trade approaching $75 billion in 2016. China has always expressed a preference for bilateral negotiations in the contested waters of the Maritime Silk Road, despite efforts by ASEAN and other regional organizations to develop more multilateral approaches. Through empirical research, this paper analyzes the challenges and opportunities for China in advancing Silk Road initiatives bilaterally with Vietnam as one of its most important strategic partners. The paper also sets forth Vietnam’s strengths and challenges in integrating its own Five-Year Development Plan into strategic partnerships, regional trade agreements and bilateral arrangements on the Belt and Silk Road including how the country can improve its strategy for foreign direct investment. Through integrating the development strategies of Vietnam, the overall plans for expansion of the Belt and Maritime Silk Roads may become a reality, and serve as a model to facilitate trade and investment throughout the region.

Examining Granger Causality in the Behavioral Reactions of Institutional Investors— Evidence from India

The study examines the behavioral reactions of foreign and domestic institutional investors in the Indian stock market. It poses some critical questions on whether these two types of institutional investors have common investing behavior, and whether foreign institutional investors (FIIs) affect domestic institutional investors’ (DIIs) strategies. Vector error correction model (VECM) is used to examine the trading and investing behavior of these institutional investors. Granger causality test is used to check if foreign institutional investment strategy influences domestic institutional strategy or vice versa. The results indicate that neither foreign institutional investors’ sell (FIISELL) activities affect domestic institutional investors’ sell (DIISELL) activities nor DIISELL affects FIISELL. This may have a crucial policy implication that both institutional investors have independent trading strategies, especially when it comes to selling stocks. But both institutional investors’ sale transactions do affect their own buy transactions implying that any of the institutions’ selling activities should be supported by their buying activities.

Pot the ball? Sovereign wealth funds’ outward FDI in times of global financial market turbulence: A yield institutions-based view

Noticing the visible hand of state capitalism in global production and value chain system, this study examines the outward foreign direct investment strategy of sovereign wealth funds (SWFs). Leveraging theoretical insights from the conventional political economy and international business literature, the study first conceptualizes a yield institutions-based view—marketization to sustainable competitive advantage—to gain a better understanding of the main purposes and economic and institutional determinants of SWFs. Efforts have been made to deepen the institutions-based perspective of global strategy and introduce it into, establish its relevance to SWFs research. Second, the study presents SWFs' outward FDI patterns and acquisition deals in times of global financial market turbulence. Findings suggest that SWFs’ outward FDI choices are primarily determined by institutional transitions, market development and government legitimacy in the home country, thus to invest globally, earn higher economic returns, and secure resources. These choices are firmly motivated toward advanced financial markets, and real estate and infrastructure sectors. Third and last, the study discusses several important implications for state capitalism, policymakers, and sustainable development.

PUBLIC POLICIES AND FOREIGN DIRECT INVESTMENT IN BRAZIL

Objetivo do estudo: Analisar os efeitos das políticas públicas realizadas pelo governo Brasileiro na atração de investimento direto estrangeiro. Metodologia/abordagem: Estudo exploratório e quantitativo, que utiliza de regressão linear múltipla. Originalidade/Relevância: Este estudo evidencia as influências político-econômicas nas estratégias de investimento estrangeiro, determinando quais as políticas que impactaram na atração do IDE no Brasil. Principais Resultados: Os resultados apontam que o Plano Real, o COPOM e o PAC foram as políticas públicas com maior sucesso na atração de investimento direto estrangeiro, no período estudado. Contribuições teóricas/metodológicas: O estudo apresenta quais as políticas públicas que influenciaram no investimento estrangeiro no Brasil. Em específico, o estudo mostra que políticas voltadas à estabilidade econômica e institucional são as mais importantes para a atração de IDE.

Políticas Públicas e o Investimento Direto Estrangeiro no Brasil

Purpose of the study : To analyze the effects of the public policies carried out by the Brazilian government on the attraction of foreign direct investment. Methodology/approach : Exploratory and quantitative study uses of multiple linear regression models. Originality / Relevance : In this study we show the political-economics influences on foreign investment strategies, pointing out which policies have affected the attraction of FDI in Brazil. Main Results : The results show that the Plano Real, COPOM and PAC were the most successful public policies on attracting foreign direct investment in the period of the study. Theoretical / methodological contributions : Public policies influence foreign investment in Brazil. Specifically, the study shows that policies aimed at economic and institutional stability are the most important factors for attracting FDI. Keywords : Institutions. Brazilian Public Policy. FDI