FDI and International Trade

Franco, C., Rentocchini, F., & Marzetti, G. (2010). Why do firms invest abroad? An analysis of the motives underlying foreign direct investments. IUP Journal of International Business Law, 9(1/2), 42-65. Retrieved from Ebsco database.

Link to article

Take a few moments to read the linked article. Based on this article and your readings in this module related to international trade and foreign direct investment, write a two page paper outlining the inherent advantages/disadvantages to direct investment vs. international trade as a means of conducting business overseas. In which method will an MNC have the most control of how business is conducted? Why?