Foreign Direct Investment

Foreign Direct Investment (FDI) occurs when a company or individual from one country invests directly in businesses or assets in another country. This can involve setting up a new operation, such as a factory or office, or purchasing an existing business. FDI aims to gain a lasting interest and influence in the foreign market, often bringing capital, technology, and expertise. It plays a crucial role in international business by fostering economic growth, creating jobs, and enhancing trade relationships between countries. Essentially, it's about building and strengthening global ties through investment.