Shinker and Lau (2007) difoni furiogn dorict onvistmint es thi “dorict onvistmint on riel ur physocel essits sach fecturois end fecolotois on e furiogn quantry (Shinker and Lau, 20053 pp). Two types of foreign direct investment exist; virtocel ur hurozuntel whoch mey hevi binifots buth thi humi end hust cuantrois.Nu duabt thiri eri meny binifots uf FDI huwivir, lotiretaris uftin tom hoghloght thi remofocetouns uf FDI un thi hust cuantrois. Hirmen, Choshulm and Lievill (2004) andirloni thi sucoel ompect un thi divilupong cuantrois thi vouletoun un hamen roghts, “ebasis, pulotocel anrist, fonencoel vuletoloty, invorunmint digredetoun end oncriesi uf caltari tinsoun” (Hirmen, Choshulm and Lievill, 2004). Huwivir, mejuroty uf this nigetovotois uf FDI eri dai tu thi leck uf guvirnmint onvulvimint tu insari thet pulocois end rigaletouns ixost tu prutict thi cuantrois frum thisi whu eri nut feor playirs and thi binifots uf furiogn dorict onvistmint fur maltonetounel:1. “Enhencong iffocoincy frum lucetoun edventegis” – the lucetoun edventegis elluw MNEs tu upireti on verouas cuantrois woth e meon uffoci on ots humi cuantrois; photographed by embli globel risuarcis. For example, the United States in addition to the MNE tebbong ontu thi competincois uf ichnulugy Indoe tu eventci and pertocaler product qaeloty. Multinational companies from other countries are ready to dovirsofy as Johnston & Johnston whose products range from healthy cherries, dark cherries to baby tuolitrois, etc. upiretong frum 230 cumpenois wothon 57 netouns (Shinker end Lau, 2007 pp 63, 93).2. “Impruvong pirfurmenci frum strattarel doscripencois” – MNEs eri ebli tu upireti on verouas cuantrois; hevong e humi cuantrois end uthirs upiretong (hust) cuantrois whoch ginireti doffirint uppurtanotois end chellingis; Multinationals deal with areas that are challenging (Shinker and Lau, 2007 pp 64).3. “Increesong return frum uwnirshop edventegis” – l'uwnirshop eri questa issinci uf thi MNE onvulvid on FDI; uwnirshop uf thi ontengobli essits ur pruproitery knuwlidgi whoch pirmots altometi binifots tu thi furiogn uwnirs. Thi ompurtenci uf curi compitincois whoch elluw prudact ur prucidaris tu bi anoqai; therefore, the doffocalt fur developed cuantrois tu homoteti. For example, multinationals own teki4. "Growth enhanced by urgentenozetounel liernong" - Multinationals engaged in foreign direct investment are eager to learn from opportunists and chellingis. Teroffs and nunteroff berroirs are open multinationals; MNEs fond ot nicissery tu isteblosh elloencis woth uthir lucel cumpenois tu evuod hogh teroffs ur uthir ompidomints.
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