Economic Determinants of Foreign Direct Investment in India
M. Arul Provin Binny1, A. Morarji2
1M. Arul Provin Binny, Ph.D Scholar Part-Time, Alagappa Institute of Management AIM, Alagappa University, Karaikudi (Tamil Nadu), India.
2Dr. A. Morarji, Professor, Department of Corporate Secretaryship, Alagappa University, Karaikudi (Tamil Nadu), India.
Manuscript received on 01 October 2019 | Revised Manuscript received on 10 October 2019 | Manuscript Published on 22 October 2019 | PP: 505-507 | Volume-8 Issue-3S October 2019 | Retrieval Number: C11051083S19/2019©BEIESP | DOI: 10.35940/ijrte.C1105.1083S19
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© The Authors. Blue Eyes Intelligence Engineering and Sciences Publication (BEIESP). This is an open access article under the CC-BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/)
Abstract: Foreign direct investment is an investment made by a firm or individual in one country into business interests located in another country. It is one of the most interesting topics in the area of international business and trade. Foreign companies invest directly in fast growing private Indian businesses to take benefits of India. The foreign investors mostly from the urbanized dynamic centers are enhancing international production by investing in resource abundant economies. This shows substantial differences in specifications with little agreement on the set of covariates that are included. The main objective of this FDi are To examine the policy framework of India in relation to foreign direct investment and to analyze the trends and patterns of foreign direct investment in India and to assess the present position of FDI in India This paper empirically attempted to investigate the determinants of foreign direct investment in India. This paper investigates the role of economic structures as determinants of foreign direct investment inflows. The exports has been emerged the most powerful determinant of FDI. This article is to understand the extent to which well functioning economic structures are important drivers of FDI inflows into advanced countries. The Various factors which play a significant role in attracting FDI into a particular state are also examined. It is an appealing concept through which companies progress and enter into new markets as a result of globalization. It has grown that the academic and policymaking worlds have struggled to keep up with the expanding incident. FDI is an engine of economic growth and development of Indian economy but in this respect proper directions are needed to improve the quality of the Indian economy as a whole.
Keywords: Features of FDI, Economic, Growth of FDI, Advantages.
Scope of the Article: Construction Economics