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What is investment? How foreign investment different from it? |
| Answer» \tInvestmentForeign InvestmentThe money that is spent to buy assets such as land, building, machines and other equipment is called investment.\xa0Investment made by MNCs in another country is called foreign investment.Investments are usually undertaken within the country (domestic investment).In case of foreign investment, capital (money) flows from one country to another.\xa0Investments are generally undertaken to expand business or production by investing in better machinery, purchase of land etc.\xa0Foreign investments involves companies of another country to invest in a domestic country, thereby giving the investors power and say in the domestic companies.\t | |