Satisfactory Essays


You have been asked by a government to prepare a short briefing paper for new minister who has responsibility for attracting foreign direct investment (FDI) into a country.
You have been asked to provide the following:
A brief overview of inward FDI flows into the chosen country over (roughly) the last 10 years (20%).
A concise discussion of the sources of inward FDI (i.e. which countries it comes from) and the main sectors which attract FDI (30%)
Your view on likely global trends in FDI over the next five years, and of how the country’s inward investment profile may change. Will FDI rise or fall? Are different countries and/or sectors going to become more important for inward FDI? (50%)
Data can be collected at

I. Introduction
China is one of the fastest growing economies and the second largest economies in the world, which has made it one of the most popular subjects for both academics and business elites to study. One common question is raised: What keeps China’s economic growth so high? To answer this question, it is clear that there are many important factors to be considered. However, the role of high level of Foreign Direct Investment(FDI) inflows must not be denied and thus, needs to be examined thoroughly.
Over the period from 2003 to 2013, FDI inward flow increased by roughly 132 percent from just 53504.7 million USD to over 123911 million USD.

For the first question, you may feel it is necessary to talk about percentage change over certain years. By how much did FDI flows drop due to the financial crisis? Have FDI flows reach pre-crisis levels? Why do some years have higher FDI flows than others? Note I wrote (roughly) the last 10 years- some of you may want to talk about FDI flows from 15 years ago, and some of you may only want to focus on the last seven years. That is fine to do.

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