The Eclectic Paradigm or OLI Framework - Simplest Explanation Ever

The video tutorial introduces the concept of Foreign Direct Investment (FDI) and the Oli framework, which is also known as the eclectic paradigm. It explains the two forms of FDI: Greenfield Investments and mergers and acquisitions. The Oli framework is detailed, highlighting the three key advantages needed for successful FDI: ownership, location, and internalisation. Each advantage is explored in depth, discussing how companies can leverage these to gain competitive advantages in foreign markets. The tutorial concludes with a graphical representation of the Oli framework, aiding in understanding strategic decision-making for FDI.

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