Advantages and Disadvantages of Fdi in China and India

7958 Words Feb 20th, 2013 32 Pages
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International Business Research

Vol. 5, No. 5; May 2012

Advantages and Disadvantages of FDI in China and India
Tarun Kanti Bose (Corresponding author) Assistant Professor, Business Administration Discipline, Khulna University Khulna 9208, Bangladesh Tel: 880-1911-451-044 Received: February 25, 2012 doi:10.5539/ibr.v5n5p164 Abstract This study was directed towards detecting the positive and negative sides for the foreign investors while they go for direct investment in India and China. A descriptive and explorative research study has been carried out for investigating the current proposition of the concerned case of FDI in those two countries. Advantages of investing in India includes-Huge market size and a
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Few research works has been done in this field but it always essential to have a closer look at the scenario of these two countries as far as the advantages and disadvantages of investing in these two palaces are concern. This paper has been intended towards achieving the same thing with the help of tow practical case study on retail giant-Wal-mart and the large motor company from South Korea-the Hyundai Motor Corporation. Wal-Mart has made a lot of FDI in China while Hyundai has done the same in India. By evaluating their operations and the benefit and drawbacks they have experienced while operating in those E-mail: tarun84ku@yahoo.com Published: May 1, 2012

Accepted: April 5, 2012

URL: http://dx.doi.org/10.5539/ibr.v5n5p164

164

ISSN 1913-9004

E-ISSN 1913-9012

www.ccsenet.org/ibr

International Business Research

Vol. 5, No. 5; May 2012

two countries will be evaluated and also with the help of thorough literature review the advantages and disadvantages of FDI in India and China will be expressed. 2. Research Question The main research questions of this study are:  What are the advantages and disadvantages of FDI in China?  What are the advantages and disadvantages of FDI in India? The entire research work has been done for the successful answering of the above mentioned research question. 3. Methodology Methodology is always the most
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