Building A More Attracting Investment Climate

In the form of controlling the company foreign direct investment is something which overlook the ownership in a business in one country by an unit based in another country.Between the foreign portfolio investment by a notion of direct control investment it is further distinguished.A person or business becomes the ten percent owner of another company,it will get some basic rights regarding company management,operations,and policies.Chinese investment in Italy has been very important as it provided benefits in both ways i.e.Italy used to get great amount of investments from China in various industries of the country.As a result,China used to get the best return or outputs from its investment in Italy.According to some past studies,Italy was not considered a good choice for investment by foreign countries and some surveys have shown that Italy came very low in the ranking of attractiveness of FDI.There were many reasons for this poor rank in FDI attractiveness.One of the most important reasons was that the private sector was not that much in running and was fragmented.In addition,small and medium-sized enterprises were also showing poor performances.This resulted in an increase in the Chinese electronic business.This business proves very beneficial for the Chinese as it helped in the increase in the economy of the Chinese state.China benefitted a lot from this project thus,it helped a lot in making the economy of china strong and it is thus a case of successful investment by the Chinese in Italy.