Foreign Direct Investment

1 . Why might an American company exigency to robe in mainland ChinaThere many another(prenominal) reasons why an American company may want to invest in China wizard of the main reasons is that given the challenges that Globalization has presented there are many invigorated opportunities and problems that companies in the United States face today . The ripening in trade between countries and the speed by which juvenile technologies can be acquired erases previous advantages that other countries possessed in the manufacture of goods and can be said to have leveled the saving playing field to encourage the entry of new comers . The general effect of this is the creation of more than jobs and the increase in general market productivity for the countries involved .

A single embarrassing which previously could only trade with its neighboring countries can at unitary time market its goods internationally and increase its income and bring up economic growthAll these new changes make in imperative for an American company to invest in China if it wants to uphold warring on a global scale This is because China is one of the largest consumer markets in the orbit . Sourcing and producing in China will change American Companies to remain competitive not only in China further the rest of Asia as well secondly , investments in China are necessary in to beat advantage of the cheaper factors of performance . Studies have shown that in the past five dollar bill (5 ) yea! rs , Wal-Mart has more than doubled its imports from Asia . It has purchased over US...If you want to pull back a blanket(a) essay, order it on our website: BestEssayCheap.com

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