Methods
The foreign direct investor may acquire voting power of an enterprise in an economy through any of the following methods:
- by incorporating a wholly owned subsidiary or company
- by acquiring shares in an associated enterprise
- through a merger or an acquisition of an unrelated enterprise
- participating in an equity joint venture with another investor or enterprise
Foreign direct investment incentives may take the following forms:
- low corporate tax and individual income tax rates
- tax holidays
- other types of tax concessions
- preferential tariffs
- special econo'''mic zones
- EPZ – Export Processing Zones
- Bonded Warehouses
- Maquiladoras
- investment financial subsidies
- soft loan or loan guarantees
- free land or land subsidies
- relocation & expatriation
- infrastructure subsidies
- R&D support
- derogation from regulations (usually for very large projects)
Read more about this topic: Foreign Direct Investment
Famous quotes containing the word methods:
“In inner-party politics, these methods lead, as we shall yet see, to this: the party organization substitutes itself for the party, the central committee substitutes itself for the organization, and, finally, a “dictator” substitutes himself for the central committee.”
—Leon Trotsky (1879–1940)
“With a generous endowment of motherhood provided by legislation, with all laws against voluntary motherhood and education in its methods repealed, with the feminist ideal of education accepted in home and school, and with all special barriers removed in every field of human activity, there is no reason why woman should not become almost a human thing. It will be time enough then to consider whether she has a soul.”
—Crystal Eastman (1881–1928)
“How can you tell if you discipline effectively? Ask yourself if your disciplinary methods generally produce lasting results in a manner you find acceptable. Whether your philosophy is democratic or autocratic, whatever techniques you use—reasoning, a “star” chart, time-outs, or spanking—if it doesn’t work, it’s not effective.”
—Stanley Turecki (20th century)