--%>

Cross-border acquisitions and green field investments

Why host country resist cross-border acquisitions, instead of the green field investments? Explain your point of view?

E

Expert

Verified

Host country tends to view the green field investments as generating the new production facilities and new job opportunities. On the other hand, cross-border acquisitions may be viewed as the foreign takeover of the existing domestic firms, instead of creating the new job opportunities.

   Related Questions in Financial Accounting

  • Q : International and financial management

    Explain, how international financial management is different from the domestic financial management?

  • Q : Help Otobai Motor Company is currently

    Otobai Motor Company is currently paying a dividend of $1.40 per year. The dividends are expected to grow at a rate of 18% for the next three years and then a constant rate of 5% thereafter forever. What is the value of its current stock price? Assuming that the discount rate is 10%.

  • Q : Abnormal profits Atypically large

      Atypically large proceeds made by an individual or company from commercial activity. An abnormal profit exceeds the normal chance for profit derived from labor costs and capital and considered normal profit. Abnormal profit in a business resides of monopoly and consortium profits.

  • Q : Investment approach of Warren Buffet

    Investment approach of Warren Buffet: According to Benjamin Graham, the father of securities analysis, value investment was the only form of investment which means that purchasing a stock at less than its intrinsic

  • Q : Prepare the balance sheet At the end of

    At the end of March, 2006 the balances in the various accounts of TTTTT & Company are as follows: Rs. in million Accounts Balance Equity capital 120 Preference capital 30 Fixed assets (net) 217 Reserves and surplus 200 Cash

  • Q : Foreign bonds and Eurobonds List some

    List some of the differences between the foreign bonds and Eurobonds and also describe why Eurobonds make up lion’s share of the international bond market.

  • Q : Closing entry for financial accounting

    A journal entry that moves the effects of revenues or expenses to the owners' equity account. Only temporary account that is on the income statement is closed. The purpose of a closing entry is twofold. First, it moves revenue to retained earnings on the balance sheet

  • Q : Eliminating exposure of the currency

    Banks find it essential in order to accommodate their client’s requirements for buying or selling foreign exchange forward, in several instances for the hedging purposes.  How the bank can eliminate the exposure of the currency it has made for itself by acc

  • Q : Meaning of Bill and Hold What is the

    What is the meaning of Bill and Hold in Accounting? Briefly describe it.

  • Q : Importance of international financial

    Explain the importance in studying the international financial management?