This profit motive is color-blind and doesn't care about religion or politics. Benefits of Foreign Direct Investment (FDI) Explore the many ways that international investors contribute to the U.S. economy Foreign direct investment (FDI) plays an essential role in ensuring U.S. economic growth and prosperity, creating highly-compensated jobs, spurring innovation… Investors seek the best return with the least risk. Pros. Market diversificationDiversificationDiversification is a technique of allocating portfolio or capital to a mix of different investments. These incentives encourage both parties to engage in and allow FDI.Below are some of the benefits for businesses: 1. Foreign direct investment benefits the global economy, as well as investors and recipients. Foreign direct investment offers advantages to both the investor and the foreign host country. Capital goes to the businesses with the best growth prospects, anywhere in the world. 9.
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