The impact of the political environment on FDI attractiveness of BRIC countries

Abstract: As we have seen in the last century the world has become smaller and globalization plays an important role in the economy nowadays. One of the most important goals of the government is to commit the economic growth, and as it can be seen on the example of BRIC countries one of the ways in order to do so is to attract Foreign Direct Investments. This research takes a closer look at what changed in those countries over the last decade and what the main factors are which could help to attract foreign capital.  This study aims to find out how did developing economies of Brazil, Russia, India and China, managed to attract FDI and which factors were the most important. Did the government play the important role in this process, or was it just natural due to the high amount of resources, like in Russian and Brazil? In order to do so, the paper will analyze the background and previous studies on this topic and help to develop the strategy for the economic growth by attracting FDI. The paper is analyzing impact of changes in certain variables on the change in FDI to the country. Variables are based on the previous researches, but can be changed based on the background in order to find a new view on the topic.