Factors Affecting Foreign Direct Investment in a Small Town in America

The purpose of this research is to investigate factors affecting the acceptance of outside investment in a small city in the Midwest area in the United States. These factors include research and development, education, tax breaks, cultural diversity and local government support. A significant amount of research has been conducted on FDI in developing counties. Yet, little research focuses on determinates of FDI locations in developed countries and how the community members feel about FDI in general. An online survey was conducted in a small city in the Midwest. Multiple regression and ANOVA models were developed. The multiple regression models showed statistical significance, in which factors such as research and development and education proved to be statically significant.