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  1. Foreign Direct Investment
  2. Production Life Cycle theory
  3. Developing Economies


Background & Purpose of the report

FDI has become a key factor in the economic growth of developing countries in the South-East Asian region like India, China, Vietnam & Thailand. The international capital transfer that FDI enables along with the transfer of technology and innovation has been the cornerstone of success for these developing economies. FDI flows in the past have resulted in increased GDP growth, better employment opportunities and infrastructure development. Thailand is one of the developing economies that have benefitted a lot from FDI flows and shown consistent export oriented growth with about 7.23% expected in 2012 reaching to a high of $238 billion by the year end. The rise of Thailand as a manufacturing based economy is evident and FDI had a major role to play in it. This research attempts to understand the role of FDI in a country?s economy by reviewing the key drivers and key impact of FDI. It further takes the case of Thailand and discusses the trends and patterns of FDI in Thailand, corresponding policy developments and eventually the impact of FDI on the Thai economy.

Structure of the Report

The research starts with the introduction describing the motivation and need for the study, laying out the key aims & objectives and research questions, discussing the value of the research and the outline of dissertation. The next chapter is the literature Review chapter that discusses the key theories related to FDI, the key drivers of FDI and the impact of FDI. The following chapter discusses the methodology used, research design, data collection & analysis. The next chapter discusses the key trends and patterns of FDI in Thailand and its impact on Thai economy. The last chapter summarizes the key findings and provides recommendation for further research.

Methodology of the Report

This dissertation uses secondary research methodology with literature Review as its base as it involves reviewing existing data on a macro level. A vast amount of journal articles, reports, published papers, internet articles and conference proceedings have been reviewed to understand the role of FDI in the development of country?s economy. An LR map was created to show the relation between different sub chapters of the LR.

Key Words
FDI, Trade, Trade Policies, Internationalization Theory, Production Life Cycle theory, Multinational Enterprise, Developing Economies, Thailand Economy, FDI Impact - Economic impact, Technological impact, Social impact, Environmental impact, Market Imperfections, Technology Transfer, Balance of payment effect, International trade, Trade economics, Currency fluctuations.

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Source: FDI Analysis on a Country's Economy: Thailand Word document

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Initial upload date (first version): Feb 4, 2014

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