What Is The HORIZONTAL Foreign Direct Investment?


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Ellie Hoe Profile
Ellie Hoe answered
Foreign Direct Investment or FDI is the investment made by an investor outside the local territory. There are various forms of FDI and one form of FDI is horizontal Foreign Direct Investement. Horizontal FDI is an investment made by a multinational company in different nations. The investment is made for conducting the similar business operations as already operated by the company. For example, if a soft drink manufacturing company makes its plant outside its national borders then it is horizontal FDI. Horizontal FDI results in expansion of the parent company and brings FDI in the other economy.
Robert Lamp Profile
Robert Lamp answered

FDI is a form of cross-border investment with the objective of establishing a lasting interest that a resident enterprise based in one country might have in an enterprise operating in another country.

Anonymous Profile
Anonymous answered
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