Foreign Direct investors Negative perspectives Drain resources from host countries Starve smaller capital markets Discourage local technology development Bring in outmoded technology Create new competition for local firms Copyright 2001 by Harcourt, Inc. All rights reserved 15-9Copyright © 2001 by Harcourt, Inc. All rights reserved. 15-9 Foreign Direct Investors Negative perspectives • Drain resources from host countries • Starve smaller capital markets • Discourage local technology development • Bring in outmoded technology • Create new competition for local firms