Course Name: introduction to International Business

Instructions  :
each question it’s answer in 1 page or more.
 WORD format only 
 All answered must be typed using Times New Roman (size 12, double-spaced) font.  
without plagiarism 100%free 
 must mention question number clearly in the answer.

_________________________________________________________________________________
read Case 8: “Volkswagen in Russia”, and answer the following questions:
  
Assignment Question(s): 

What factors underlay the      decision by Volkswagen to invest directly in automobile production in      Russia? Why was FDI preferable to exporting from existing factories in Germany? 
Which theory (or theories) of      FDI best explain Volkswagen’s FDI in Russia? 
How do you think FDI by foreign      automobile companies might benefit the Russian economy? Is there any      potential downside to Russia from this inflow of FDI? 
Russia is largely dependent on      oil exports to drive its economy forward. Given the sharp fall in global      oil prices that occurred in 2014 and 2015, what impact do you think this      will have on FDI into Russia? 
Volkswagen has signaled that it      is going to stay the course in Russia, despite current political and      economic headwinds. Why do you think it made this decision? What are the      pros and cons of this decision? In your opinion, is it the correct      decision?

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