International Business: The New Realities, 5th Edition

Leading Destinations for FDI

Advanced economies such as Australia, Canada, Japan, Netherlands, the United Kingdom, and the United States long have been popular destinations for FDI. These countries all share high per capita GDP, strong GDP growth, high density of knowledge workers, and superior business infrastructure, such as telephone systems and energy sources.7 In recent years, however, developing economies and emerging markets have gained much appeal as FDI destinations. This is illustrated by data from the United Nations Conference on Trade and Development. It suggests that, between 2005 and 2017, the volume of FDI flowing into emerging markets and developing economies has generally increased. Meanwhile, since 2005, the amount of FDI flowing ...