Direct Investment Advantages And Disadvantages

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According to a report issued in investment (2000.2001) Report of foreign direct investment at the global level, about $ 1.3 trillion, and this number is relatively large, and perhaps the most important advantages of foreign direct investment in the host country it helps bring modern technology to the country in addition to the administrative advantages and skills and raise the efficiency of human resources and increase employment rates, which were difficult to obtain from any other such source beside access to capital and enable them to connect networks of distribution and production at the global level as the flow of investment to developing countries Helps overcome local gap between savings and investment.

The relationship of direct foreign investment and economic growth leads to an increase in the total investment, and the way that leads to economic growth and a rise in the host countries therefore complementary relationship between foreign direct investment and domestic investment (Lu and Beamish, 2001).
SMEs are considered the cornerstone of economic and social development process, due to returns positive economic on the national economy in terms of its leading role in providing new job opportunities, and achieve a growing increase in the size of the investment, and increase sales volume and view of the role of small businesses in achieving economic and social development in the Sultanate of Oman, we find that this sector still not achieved its

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