What do you think are the advantages and disadvantages of foreign investment in countries?

IELTS Speaking Part 3 Discussion Questions & Answers

What do you think are the advantages and disadvantages of foreign investment in countries?

Well, firstly, it brings in new money and usually expertise which helps develop companies and the local economy.

For example, a large multinational company which decided to construct a manufacturing plant here many years ago.

The project completely transformed the area in which it was located. It created lots of jobs for local people, and many local businesses also benefited from the increased activity in the area.

I think, generally, foreign investment is a good thing because it stimulates the economy.

The only disadvantage I can think of is that obviously a lot of foreign investment can cause a series of changes within certain areas, and even change the local culture over time.

But apart from that, it’s a good thing because it generates many new opportunities for the local people.


Is there much foreign investment in companies in your country?

Yes, quite a bit. There are a lot of large multinational companies, especially pharmaceutical enterprises which have set up operations here.

There are also some national companies which have partnerships with companies in other countries, so they have also received investment from abroad.

Then, on a smaller scale, there are the smaller business here which have received some investment from foreign investors to help develop them.

These are typically investors looking to help grow and develop a business for long term profit because they see a potential market for the products that are produced here, for example, products which can be exported to other regions of the world.