FDI Report

Analyze an emerging and a developed country as a possible site for a "foreign direct investment" (FDI). Also suggest what international strategies should the firm follow in their new foreign markets, with appropriate reasons to support your strategic choice.

Your selection of countries should be limited to the following choices:

• 'Emerging': Brazil, China, Russia, India and South Africa (choose one from these five)

• 'Developed': Australia, Japan, Canada, Germany (choose one from these four)

• Assume that you are responsible for a business (you choose the type of business) that is keen to internationalize through investing in these countries by either Greenfield or Merger/Acquisitions. Consider the issues that would help you make such a business decision. For example,

• What are the advantages and disadvantages of investing in each country? 

• How does the legal/ political system affect business?

• What political, cultural and economic risks apply?

• Is there any form of Government intervention?

• Analyze home and host country perspectives

• Please note that these are only some examples which could be taken in consideration while analyzing attraction for FDI destination. They are not a specific set of questions to be answered rather hints about what could be the points to emphasize when comparing and contrasting different FDI alternatives available for a firm.

• The report should not only focus on the positive aspects of each country. It should be a balanced consideration of the overall prospects for successful investment there. Finally, you should conclude as to which country will be the host of your investment - your final decision/recommendation must be supported and justified.