Foreign Direct Investment in the Motor Industry in South Africa

Foreign Direct Investment (FDI) is seen as a key driver of economic growth and development. FDIs do not just boost capital formation but also enhance the quality of the capital stock. As a result of the potential role of FDIs in accelerating growth and economic transformation, many developing countries particularly South Africa seek such investment to accelerate its development. The boom of FDI flows towards automobile industry since the early 1990's indicates that multinational enterprises have increasingly considered the host countries to be profitable investment location. The book addresses the determinants of foreign direct investment in the motor industry in South Africa.