The Effect of Foreign Direct Investment on the Hospitality Industry in Liberia: A Case Study on the Chinese Investment

Abstract

Foreign Direct Investment is said to have a positive impact on the development of the hospitality industry in developing countries. It helps create employment opportunities and positively impact local economies. The present study research published articles, desk reviews, scientific databases among others to report the results. Current findings showed that the success of the hospitality industry in developing countries depends on the levels of Foreign Direct Investment. Although many developing countries have natural features such as beaches, rivers, and other natural resources, local capital to invest in those resources is unavailable. Tourism shows particular promise for developing countries. The tourism industry is one of the largest and fastest-growing sectors in the global economy and a key driver of socio-economic development, as it is labor-intensive and stimulates SME growth and investment. It has been used in other countries as an economic driver for growth which can widely support poverty reduction.Foreign Direct Investment is said to have a positive impact on the development of the hospitality industry in developing countries. It helps create employment opportunities and positively impact local economies. The present study research published articles, desk reviews, scientific databases among others to report the results. Current findings showed that the success of the hospitality industry in developing countries depends on the levels of Foreign Direct Investment. Although many developing countries have natural features such as beaches, rivers, and other natural resources, local capital to invest in those resources is unavailable. Tourism shows particular promise for developing countries. The tourism industry is one of the largest and fastest-growing sectors in the global economy and a key driver of socio-economic development, as it is labor-intensive and stimulates SME growth and investment. It has been used in other countries as an economic driver for growth which can widely support poverty reduction.