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"Foreign Direct Investment"
- Subject: "Foreign Direct Investment"
- From: tmyint@xxxxxxxxxxx
- Date: Wed, 01 Nov 1995 14:59:00
I am thinking you might be wanting to know the following. I will keep
the address of individual who gave the following answer because I didn't
ask his permission.
---------- Forwarded message ----------
Date: Tue, 31 Oct 95 22:41:24 EWT
To put them simply,
Foreign Direct Investment:
When General Motors Co. wants to establish a car manufacturing company in
Japan by bringing in its own money from US (we usually call that money "
capital"), it is called foreign direct investment. It does not matter
whether GM established a dummy company in Bermuda through which it sends
money to Japan.
When an American (It does not matter whether it is individual or a company)
buys shares of Toyota just for stock investment purpose, it is called