Foreign Direct Investments

Résumé du document

Within a few years, since the early 1990s, Foreign Direct Investments (FDI) has become one of the main vectors of globalization. They represent an accelerator of economic integration and financial concentration at the world level. In this global context, enterprises have to be very competitive and to be present at an international level if they want to remain in the market. So FDI is one of the major tools helping to exert an influence to be present abroad. A Foreign Direct Investment is "an investment by a firm from one country in another different country with the intention of gaining a degree of control over that firm's operations". It is the setting up of a branch or subsidiary or includes the process of buying a controlling investment in a firm in another country. This report will analyze the importance of FDI in France.

Extraits

[...] The resumption of investment in France of 2003 has kept its positive evolution since then. This part will present what kind of investors operate in France, as well as their origins and their sectors . Flows[1] The balance of payment of FDI in France, reveals that France FDI outward has steadily increased since the nineties. The inward figure has tripled in fifteen years, though they have been irregular between 2002 and 2005. But the last known figure is really encouraging, as it showed a sharp increase in 2005. [...]

[...] Conclusion To conclude, France is a very attractive country for foreign direct Investment. This is due to its main well known strengths, which are its innovative environment, and its efficient workforce. But it is not sufficient to attract investors that are why the French economy has been undergoing a process of structural change to improve its business environment over the past 15 years. (It was also done to be part of the globalization process). Many financial deregulations have occurred, which led to the lifting of exchange controls, the elimination of credit restrictions and the liberalisation of capital movement and direct investments. [...]

[...] France has many assets, particularly its innovative strength, which leads to many investors betting on this country. The government is committed to an active economic policy to improve or consolidate these strengths. The efforts have led to the setting up of official structures the mission of which is to advise investors and propose. Its second aim is the adoption of specific measures. Many institutions and structures have been created in order to improve the attractiveness of countries to FDI. They discuss together about which measures could help to improve attractiveness. [...]

[...] Foreign Direct Investments Introduction Within a few years, since the early 1990s, Foreign Direct Investments (FDI) has become one of the main vectors of globalization. They represent an accelerator of economic integration and financial concentration at the world level. In this global context, enterprises have to be very competitive and to be present at an international level if they want to remain on the market. So FDI are one of the major tools helping to extend in order to exert an influence and be present abroad. [...]

[...] It has led to create thousands of jobs in varied sectors each year, as well as helping the technologies to develop and finally it had a slight positive impact on the French growth by increasing trade. Bibliography ( Books o Moosa,Imas (2002) Foreign Direct Investment, Theory, Evidence and Practice; Great Britain; Macmillian. [...]