Theoretical aspects of foreign direct investments

Among the most often applied forms of the implementation of foreign capital include portfolio investments, loans, long-term credits and foreign direct investment. Since the definition of foreign direct investment is ambiguous, therefore there is a number of criteria and ways to approach it. An important role in the process of solving problems, which arise during investment, is played by various theories as the theory of market imperfection, the monopolistic advantage theory, the theory of mutual dependence of oligopolies, the product life cycle theory, the theory of internalisation, the eclectic theory and other.