Foreign Direct Investment Impact on Customer Buying Behavior

Topic:
Evaluating Foreign Direct Investment (FDI) impact on Customer‘s buying behavior in Tunisia. Evidences from the Tunisian Market

Outline
I. Introduction
II. Literature Review 1- FDI a- Definition b- Factors of success of FDI (economic, political, cultural, social …….). 2- customer buying behavior a- Definition b- Factors that affect customer buying behavior: * 4 Ps : product, promotion, place and price * Cultural, social, personal, psychological ….. 3- How does FDI affect the customer’s buying behavior?
III. Methodology 1- Introducing research instruments ( questionnaire) a- Purpose of the investigation b- Data collection technique c- Participants in the study (questionnaire to different people in shops and market areas ) d- Information analysis tool 2- Describing the questionnaire
IV. Analysis and interpretation of the research findings. V. general conclusion and recommendations.

Introduction As globalization is intensifying, many co mpanies around the globe are looking for business opportunities outside the borders of their home countries. Hence, the importance of exploring new market opportunities has increased in today’s society.
As a result Foreign Direct Investments (FDIs) may be regarded as the economic manifestation of globalization. As growing in size (FDIs) have developed in a large scale until they become part of our daily life, their presence in our life is significantly remarkable in fact they have a great impact on the economy of the host country as a whole as they affect the customer buying behavior especially because those international corporations use different ways to affect the purchase decision of the consumer. Among those tools we may mention the 4 Ps (Product, Price, Place, and Promotion) with some other social, psychological, cultural and personal elements. So all those techniques are threatening local firms and turning on the view of the consumer to their side.
Rationale for the study
The main reason of selecting this topic is the growing importance of FDI in Tunisia. In fact they affect the Tunisian economy in general and local firms in specific, they even affect the customer buying behavior.
Also those foreign investments succeed to a great extent to achieve the advancement that local firms failed to, by influencing the customer opinion.
The ability of those local firms to compete with international competitors seems to fall down, that’s why this topic is suggesting to depict the factors of success of foreign direct investment and how do they affect the consumer buying decision.
Objective of the study
The purpose of this topic is to give an idea about foreign direct investments, to distinguish the success factors of international companies then to examine their impact on the customer purchasing behavior.
This study is hoped to help the Tunisian local firms to win a competitive advantage in the local and global marketplace. It aims at providing a guideline to improve their strategies to attract consumer’s and keep them loyal.
This work is hoped to be a good guide to management as it will come out with the weaknesses of local firms compared to foreign investments in Tunisia on the level of dealing with the customer decision and to tackle the areas where local companies need to improve their strategies and ameliorate their brand image.
Methodology
In this study a questionnaire will be conducted targeting people from different ages, gender, occupation, and regions. Random choice in shops and market areas is a tool used to contact people and ask them different questions about both local products and FDIs’ products in Tunisia and comparing them with products of foreign country investing here. The results of this research will help the managers and marketers of the Tunisian local firms to identify the present process of product delivery and the areas of weaknesses to surpass them.
From the comparison between the Tunisian and the foreign companies under study, we will be able to determine why customers are attracted to the products of foreign companies and identify the appropriate strategic management policies used by those companies.
Bibliography
* Books * colin, Jones..Foreign Direct Investment and the Regional Economy Ashagate publishing limited cower house. Jonathan. 2006 Neuhaus,Marco.the Impact of Foreign Direct Investment * M, sornarajah. The international law on foreign investment. third edition * Nova Science Publishers, 2009 - 200 pages Foreign Direct Investment * G. Blaine, Harrison. Foreign Direct Investment. Nova Science Publishers, 2009.200 pages * Web sites http://economics.about.com/cs/economicsglossary/g/fdi.htm http://www.going-global.com/articles/understanding_foreign_direct_investment.htm http://www.investopedia.com/terms/f/fdi.asp#axzz2M0i2UpOe http://usforeignpolicy.about.com/od/introtoforeignpolicy/a/what-is-FDI.htm http://www.who.int/trade/glossary/story029/en/index.html http://www.investorwords.com/2042/foreign_direct_investment.html

Bibliography: * Nova Science Publishers, 2009 - 200 pages Foreign Direct Investment * G