Foreign Direct Investments (FDI) in developing nations: a closer look at China and India | Original Article

ABSTRACT:

This paper discusses Foreign Direct Investments (FDI) in developing nations, and a closer look at China and India. The paper also looks at how direct relationship investments are established, the effect of globalization and the emergence of new trade relationships to economics. Also discussed are foreign direct investment patterns and major trends and the International Monetary Fund defining foreign direct investment as a category of international investment, reflecting the objective of a resident in one economy obtaining a lasting interest in an enterprise resident in another economy, The paper discloses that a long-term relationship between the parties is desirable and that there will be a significant degree of influence by the investor on the management of the enterprise.