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Distinguish between foriegn trade and foreign investment

Answer 1

hey mate here is ur answer

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What are the differences between foreign trade and foreign direct investment?

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KAREN P.L. HARDISON | CERTIFIED EDUCATOR

Foreign trade is the exchange of goods and services (derived from the domestic sector: government, business, household) with the domestic sector of another country. Trade is the exchange of imports and exports between countries: goods and services are exported from a country, while different goods and services—from other countries—are imported into that country. Foreign trade of this sort has been thriving throughout time. To illustrate, a 6000-year-old molten metal artifact found in 2015 in Israel's Negev desert provides evidence of trade—over a trade route—between Negev and Turkey, where the metal originated.

Foreign direct investment (FDI) is very different from foreign trade and significantly developed in our contemporary era. In foreign direct investment, investments are made in corporations, manufacturing, factories, and similar enterprises, which are operating in foreign countries, to influence the control and management of such enterprises: "FDI refers to an investment made to acquire lasting interest in enterprises operating outside of the economy of the investor. Further, in cases of FDI, the investor's purpose is to gain an effective voice in the management of the enterprise" (United Nations Conference on Trade and Development).

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ROHIT BAGORIYA

Answer 2

Foregin trade includes buying and selling of goods under an aggrement while foregin investment is sharing of properties on a foreign land.