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Philippines, Chile, Nigeria and Estonia are potential recipients of foreign direct investment from Microsoft. A research and development facility Launching of a brand-new product or
Philippines, Chile, Nigeria and Estonia are potential recipients of foreign direct investment from Microsoft.
- A research and development facility
- Launching of a brand-new product or service; or finding a new client
- Increasing investment in an existing product or service that is currently present in that country
- Building a Manufacturing Plant or Service Center
- {Example: MNC Corporation used the Four Levels of Analysis and the RAT Test to determine that they would build a research and development facility in Chile; launch a new product in Nigeria; increase investment in an existing product in Estonia; and build a manufacturing plant in Philippines.} Attached sample completed Exam
Questions and Considerations:
- Explain in detail why you selected the country for one of the investments above.
- Use the Four Levels of Analysis to help you learn more about how each country perceives international trade. Which country was in more need of foreign direct investment and why? What role did the type of service/goods provided by your company play in your selections? What role did the state of competition play? What considerations played a role in the type of investment? Provide other observations that impacted your selections.
- Use the RAT Test to help you make your decision for each investment.
- What recommendations might make your decision more palatable?
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