Controlling costs is the first major motivation for engaging in FDI. A foreign country may have lower land prices, tax rates or cost of labor, all of which will reduce the production costs to a considerable degree. Transportation cost which may be ve

Controlling costs is the first major motivation for engaging in FDI. A foreign country may have lower land prices, tax rates or cost of labor, all of which will reduce the production costs to a considerable degree. Transportation cost which may be very significant for some products will also encourage an enterprise to engage in production in the foreign market through FDI.

控制成本是企业进行对外直接投资的首要动机某一外国的土地价格、税率或劳动力成本可能都比本国低这些因素都会在很大程度上降低生产成本有些商品的运输费用很高这也促使企业通过对外直接投资直接在国外市场上生产。