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Create a 1 page page paper that discusses global econ/international study. Impact of FDI on Industrial Policy in Developing Countries Foreign Direct Investment (FDI) is implied as an important factor towards developing the economy of nations. The impacts of FDI can be fundamentally determined as the capacity to provide employment and most vitally raising business opportunities at large. With reference to one of the developing nations i.e. India, it can be stated that FDI inflow in the country could create a spill-over effect on its economy for a longer tenure. The core objectives of the multinational companies belonging to India or any other developing country behind supporting FDI inflow generally include lessening excessive costs and maximizing profitability with high return on investment (ROI). In this similar context, it will be vital to mention that smooth FDI inflow is primarily based on the factors like accessibility of potential workforce, cost of labor and market potentiality among others (Wacker 1-43).

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