International Journal of Research in Finance and Marketing
  • Year: 2017
  • Volume: 7
  • Issue: 5

An Empirical Analysis of Specific Determinants of Foreign Direct Investment in the Indian Service Sector

  • Author:
  • Dhanraj Sharma, Ruchita Verma
  • Total Page Count: 11
  • Page Number: 243 to 253

Assistant Professor, Department of Commerce, Central University of Rajasthan, Rajasthan, India

Abstract

The prime objective of the paper is to examine the impact of specific determinants on Service Sector Foreign Direct Investment during the most recent 10 years i.e. 2006–07 to 2016–17. To achieve this objective of the research, multiple regression analysis is applied to find out the determinants which have the significant impact on Service Sector Foreign Direct Investment during study period. The research also compares the equity inflows of Foreign Direct Investment of Service sector with Construction and Development sector and Telecommunication sector in India. The result reveals that among specific determinants, Trade Openness, Trade Balance and Gross Domestic Products are the significant factors which are useful in prediction of FDI in Service sector.

Keywords

Foreign Direct Investment, Determinants, Service Sector, Construction and Development Sector, Telecommunication Sector