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Impact of Marketing Macro Factors on Foreign Investment Inflows: A Case of Jordan

Studies in Systems, Decision and Control, ISSN: 2198-4190, Vol: 488, Page: 577-589
2023
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Book Chapter Description

Generally speaking Foreign Direct Inflows (FDI) are attracted by many marketing macro factors, which are closely affected by technological changes and these factors grouped into five major areas: Economical and Financial, Legal and Political, Infrastructure and technological, and Administrative Structure and Procedural factors. The study aims to find out the impact of marketing macro factors on foreign investment inflows in Jordan. The Study population consist of 55 FDIs’ companies operating in Jordan, sample size of 190 respondents working in FDIs’ at Free Zones in Jordan are selected for the present study. Main findings of this study indicates that foreign direct investors are enhanced mainly to political stability factor, followed by the Administrative Structure and Procedural system of the public sector adopted by the government of Jordan and supporting services provided. Economical factor of a country also has a positive impact in attracting the foreign direct investments inflows to a country. The study also found that the basic level of the Infrastructure is also important for FDI’s. The study reject the null hypothesis and accept the alternative hypothesis since the dependent variable (Attracting foreign direct investment to Jordan) and set of independent variables (economic and financial, legal, political, infrastructure, as well as the administrative structure and procedural aspects) are attracting foreign direct investment (FDI) to Jordan's qualified industrial zones (QIZ) with R value is 0.712 and R value is 0.508 and sig. Value is 0.000which is statistically significant. The main recommendations of this study that Jordan government can encourage foreign direct investors by focusing on maintaining political stability, and enhancing economic growth of the country. Also by improving technical and t level of Infrastructure represented by roads, transportations and facilitating services supporting the operations of their industry, and finally developing transparency in the governmental institutions and offices.

Bibliographic Details

Zakaria Azzam; Khalid Al-Badarneh; Sharifah Ahmad

Springer Science and Business Media LLC

Computer Science; Engineering; Social Sciences; Economics, Econometrics and Finance; Mathematics; Decision Sciences

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