What does FDI stand for ? Why do mncs opt for fdi to enter international market ?

Export orientation of multinational corporations (MNCs) has seldom been incorporated in the analysis of spillovers from foreign direct investment (FDI). Also, until recently empirical research dealt mainly with intra-industry spillovers from FDI with restrictive treatment of inter-industry effects. Yet, to the extent that local producers are not in the competitive fringe of MNCs, both spillovers from export oriented subsidiaries and inter-industry spillovers may be more likely. First, when MNCs use the host country as export platform, domestic firms are by and large not competitors to subsidaries. Then, there would be no incentives to restrict technical information flows. As an example, results using panel data from Venezuelan manufacturing point to FDI spillovers, mainly between but also within industries, from exportoriented MNCs to large domestic firms. Second, MNCs that outsource have an incentive to transfer technical knowledge to local upstream suppliers. When this allows for spillovers to take place across sectors, we find evidence that backward linkages are a channel of technology diffusion from exportoriented MNCs to domestic manufacturers. Furthermore, small and medium plants do not experience productivity gains ensuing FDI while large domestic producers experience higher productivity growth, suggesting the importance of differences in absorptive capacity. Basically the local industry is demolished by unfair competition, international corporations grow an extra market, infiltrates the local government and end up by exploiting all the local resources at a fraction of price due to prior commitments which cannot be honoured e.g. repaiments of debt. The main purpose of the FDI is actually to control some of the rich in resources countries. Most of the so called "International help" is designed to generate long term problems for the goverments who are accepting the contracts, also the MNCs are the next level tool in extracting resources of any kind from the international market. If the local government fails to cooperate (in most of the cases to become corrupt) diferrent atctics are being utilised as in popular revolt, negative PR, or even assasination of course in all the times would look like an accident. As the third and the last option due to some "scarry" acts and fabricated but confirmed intel, then the army is being sent. Of course before hand a full campaign of mass mental preparation is activated, inclusive of conspiracy theory movements which are also multicorporative managed. To make a long story short, most of the MNCs are in partenership with the FDI and they are part of the same plan, that is why MNCs are using the FDI