Multinational enterprises (MNEs) play a highly significant role in the growth of international business and the spread of its benefits throughout countries and communities across the world. Naturally there are organisations that have done well while there are those that have not.In working out your responses to the Key Concept Exercise below, you should research the topic from the text and suggested readings and do your own independent research on the topic. Also, choose examples from your own experience or find appropriate cases on the web that you can discuss. Credit will be given for references you make to relevant examples from real companies.To prepare for this Key Concept Exercise: Read the Required Learning Resources for Week 2. Consider the theories and perspectives presented in weekly Learning Resources. Reflect upon the relationship between FDI and local productivity.To complete this Key Concept Exercise:By Day 3, in an approximately 500-word response, address the following issues/questions: Analyse the theories and perspectives on foreign direct investment (FDI) and its role in international business. In formulating your Key Concept Exercise, consider the following questions:o What are the various types of foreign direct investment (FDI)?o What are the strategic goals of multinational enterprises (MNEs) undertaking FDI? Do they vary by market and industry?o What drives FDI distribution and patterns?o What advantages and disadvantages do MNEs have when they operate overseas compared to local firms, and what are the essential capabilities with which a successful MNE must be equipped?
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