Two political factors may also be at work in a firm’s choice to operate directly abroad through foreign direct investment (FDI). The first is to get around trade barriers such as quotas set by foreign countries. Saving tariff, the major form of trade barr

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Two political factors may also be at work in a firm’s choice to operate directly abroad through foreign direct investment (FDI). The first is to get around trade barriers such as quotas set by foreign countries. Saving tariff, the major form of trade barrier, is needless to say, an obvious motivation for undertaking FDI. Favorable investment policies practiced by host country such as tax reduction, rebated land-use fee, etc. are also an important incentive for FDI.

还有两个政治因素也促使企业选择通过对外投资直接在国外经营。首先可以绕过外国政府设置的贸易壁全如配额。降低关税一最大的贸易壁垒,是企业进行对外直接投资的明显动机。东道国为吸引外资实行的优惠投资政策,如税收减让、土地使用费减让等,是对外直接投资的重要动因。

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