ABSTRACT
This chapter focuses on foreign direct investment (FDI) in which a domestic business seeks to expand its business into foreign markets and not merely seek to invest in foreign companies. FDI is the category of international investment made by a resident entity to acquire a lasting interest in an entity operating in another country other than that of the investor. If the minority or passive foreign investor intercedes or collaborates with other investors to exert control over the management of the company, then that would constitute FDI. FDI comes in numerous forms of doing business, such as the purchase of a foreign company, establishing a company or foreign presence in a foreign country, or entering into a joint venture with another company in order to transact business in a foreign country. The chapter deals with the important issue of the joint venture agreement providing strategies for partners to exit the joint venture.
