• Direct investment, or foreign direct investment, is intended to acquire a controlling stake in an enterprise.
  • Direct investment provides financing of capital in exchange for a share in the capital without the purchase of ordinary shares of the company.
  • Direct investment can be associated with the opening of a company in one country of its own business in another country.
  • Direct investment may also include the acquisition of control over business assets already operating in another country.
  • There are three main types of direct investments: vertical, horizontal or conglomerate investments.