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development trend of FDI 165。Investment policyA Decision FrameworkHow high are transportation costs and tariffs?Is knowhow amenable to licensing?Is tight control over foreign operation required?Can knowhow be protected by licensing contract?Then licenseExportFDIFDIFDINoHighYesYesLowNoYesNoGeneral impressionnew development 165。appraisal165。Raymond Vernon 1966 International Investment and International Trade in the Product Cycle 164。OSA+IA?165。Appraisal165。information paradox164。 1976 165。Governance165。More petitive industries165。FDI vs Portfoli