Geography GCSE
Foreign Direct Investment (FDI)
What Foreign Direct Investment (FDI) means in Geography GCSE, as defined for Pearson Edexcel.
Definitions of Foreign Direct Investment (FDI)
Exam boards and our study guides word this term in slightly different ways. Learn the version your board uses.
An investment made by a firm or individual in one country into business interests located in another country.
Investment made by a company or individual in one country into business interests located in another country.
When a company or government from one country invests money in another country (e.g., building a factory).
Topics that use Foreign Direct Investment (FDI)
- Changing geopolitics and technology impact on the chosen developing or emerging country (Pearson Edexcel GCSE)
- The interactions of economic, social and demographic processes influence the development of the chosen developing or emerging country (Pearson Edexcel GCSE)
- The level of development of the chosen developing or emerging country is influenced by its location and context in the world (Pearson Edexcel GCSE)
- There are positive and negative impacts of rapid development for the people and environment of the chosen developing or emerging country (Pearson Edexcel GCSE)
Related terms
- Emerging Economy
- Gini Coefficient
- Core and Periphery
- Core-Periphery Model
- Demographic Dividend
- Desertification
- Digital Divide
- Human Development Index (HDI)
Using Foreign Direct Investment (FDI) in the exam
Definition questions usually carry one or two marks, and examiners look for the precise wording. Write the definition from memory, check it against the version above, and then use the term in a longer answer on the same topic so it sticks.
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