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BackwardFDI is investing in an industry which supplies your firm at home. Buying or building a supplier. For example, if Ford builds an engine production facility in Mexico which ships engines to it manufacturing site in Texas. This would be backward vertical FDI.

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14y ago
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11y ago

Investment in an industry that utilizes the firm's domestic production (usually sales and distribution)

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Q: What is backward vertical foreign direct investment?
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Related questions

Objective of fdi?

FID stands for Foreign Direct Investment. Some of the objectives of FDI are expansion of sales, purchase of resources, diversification, and horizontal and vertical foreign investment.


Is there any difference between fdi and direct investment?

If the direct investment is foreign, then no, since FDI stands for 'foreign direct investment'.


What does direct foreign investment do?

What does direct foreign investments do?


What have you learned about foreign direct investment and the political economy of trade?

foreign direct investment is that investment in which a foreign country invests in a host country.


Distinguish between foreign direct investment and portfolio investment?

Foreign direct investment is the provision of capital into a company or project by a financier who is from a foreign country. In portfolio investment, anyone can invest in the portfolio, whether or not he is from a local company or a foreign company.


Advantages and disadvantages of foreign company?

Foreign direct investment company


Full form of fdi?

Foreign direct investment


Can motivate forgien direct investment?

There are many factors that motivate foreign direct investment. The main point of motivation is the competitiveness to obtain the foreign direct investments within each developing country.


Is china open to foreign trade and investment?

Yes, Chinese government is very much encouraging foreign direct investment.


What factors can discourage foreign direct investment?

Insecurity in a country


What is full form of FDI?

The full form of FDI is Foreign Direct Investment. FDI refers to the investment made by a company or individual from one country into another country. It involves the establishment of business operations or the acquisition of assets in the foreign country.


When foreign firms build production facilities in the United states they are engaging in?

Foreign direct investment