GLOBALIZATION AND ITS IMPACT ON FOREIGN CONTROLLED CORPORATIONS IN THE CZECH REPUBLIC

Foreign direct investment in the form of foreign controlled corporations has become a significant factor of globalization and obviously in the Czech economy, which has been making its performance and export abilities more dynamic in the last twenty years. The article summarizes selected analyses and trends in development of FDI (2000-2017) in Czech economy. Methods of comparative analysis and analysis of trends are used. Apart from the assessment of foreign direct investment inflow seen from the European Union perspective, this article also focuses on the assessment of the foreign direct investment inflow in the national economy. The main point is to formulate the selected benefits and the costs of foreign controlled corporations functioning in the Czech economy in the last decade and on this basis to give a recommendation for the economic policy in this area. Macroeconomic connections are an equally important constituent of this article - the relation of foreign direct investment to the labour market, and to the balance of payment. The results of analysis are briefly described in the text of the article. However, one of the most important conclusion is that the foreign controlled corporations as capital part of globalization, which significantly contribute to the growth of the Czech economy, employment and the increase of its export performance, must have enough investment opportunities in the domestic economy in the future to reinvest the created profit and not to transfer it back abroad.