The fundamental difference between OFDI and OFDI is:

The main differences are that they are different in nature, different in purpose, and different in form, as follows:

First, the nature is different.

1. Outward direct investment.

OFDI is an investment made by an investor directly in a foreign country to set up and operate a business. It is also a way to invest internationally.

2. Indirect foreign investment.

Indirect investment refers to the purchase of foreign investment in the international financial market, which is the investment of the investor of a country with the investment of the country as the main object for the purpose of obtaining interest or dividends, dividends and other forms of capital appreciation.

Second, the purpose is different.

1. Outward direct investment.

1) Income motivation.

Attract new demand**.

There is an excess profit in the entry.

market. Take advantage of monopoly.

React to restrictions.

2) Cost motivation.

from economies of scale.

.

Use of foreign factors of production.

Utilization of foreign raw materials.

Utilization of foreign technology.

React to exchange rate movements.

2. Indirect foreign investment.

Capital appreciation. Third, the form is different.

1. Outward direct investment.

Participation in capital, opening joint ventures, buying out existing enterprises, opening subsidiaries.

2. Indirect foreign investment.

**Investment, International Loans.

Indirect investment, usually refers to foreign investment, which refers to an individual or institution that obtains a foreign investment, but does not control the enterprise or participate in management.

OFDI refers to the transfer of resources such as management, technology, marketing, and capital to the target country (region) in the form of self-controlled enterprises, so as to be able to give full play to its competitive advantages in the target market.

The fundamental difference is whether you control the enterprise yourself or not.

Outbound investment refers to external investment in the enterprise, such as buying stocks, bonds, joint ventures, joint ventures, etc.;

Internally, it is to use the company's funds for the internal production and operation of the enterprise; Direct investment corresponds to indirect investment, one is that the company's funds are directly invested in the target enterprise or project, and there is no intermediate third party; Indirect is that the investment funds go through a third party, such as if you buy **, this kind of money, first give the money to the broker, and then the brokerage to the other party.

The list is as follows: 1. Inward investment refers to the investment of funds within the enterprise.

Inward investment is a direct investment.

Foreign investment: capital investment by other units outside the scope of the enterprise.

Outward investment is mainly indirect or direct investment.

For example, the establishment of subsidiaries, branches or the purchase of ** for equity investment and in cash, physical and intangible assets to invest in other domestic and foreign units, or the purchase of **, bonds and other valuable ** in order to obtain investment income in the future.

2. Compared with inward investment, foreign investment income is an integral part of the total income of an enterprise. Under the conditions of market economy, especially the development of horizontal economic integration, enterprises' foreign investment has become a very important part of their financial activities.

3. If the cash flow of the company's inward investment has improved greatly, it often means that the company is facing new development opportunities or new investment opportunities.

Extended information: There are three main forms of inward investment: fixed assets, current assets and intangible assets.

The form of inward investment in enterprise investment - fixed assets.

From the perspective of investment purposes, it can be seen that fixed assets are divided into fixed assets for production and operation and fixed assets for living welfare.

1.Fixed assets for production and operation: fixed assets that play a role in the process of production and business activities of an enterprise.

2.Welfare fixed assets: Enterprises will get rid of social burdens step by step, and the investment in welfare fixed assets will gradually decrease.

The form of inward investment in corporate investment - current assets.

1.Short-term investments: Valuable** and other investments that can be liquidated at any time and held for less than one year.

2.Monetary funds: bank deposits, cash, and other currencies such as funds.

3.Funds receivable: The funds receivable and uncollected funds generated by the commercial credit provided by enterprises to customers through the sale of goods, products or services are collectively referred to as funds receivable, of course, including notes receivable, accounts receivable and prepayments.

The difference between foreign investment and inward investment is literal: one is the external investment of the enterprise, such as buying stocks, buying bonds, joint ventures, joint ventures, etc.; Internally, it is to use the company's funds for the internal production and operation of the enterprise; Direct investment corresponds to indirect investment, one is that the company's funds are directly invested in the target enterprise or project, and there is no intermediate third party; Indirect is that the investment funds go through a third party, such as if you buy **, this kind of money, first give the money to the broker, and then the brokerage to the other party.

Foreign investment is the investment activity of an enterprise, which uses the company's funds or other assets to purchase the equity of other enterprises to form a long-term equity investment. In the subsequent period, the investment will receive a return on the operating profits of the invested enterprise. The investment decision-making process needs to be resolved by the shareholders' meeting or the board of directors, and the specific voting meeting and the proportion of voting rights are determined in accordance with the company's articles of association.

Inward investment refers to the purchase of fixed assets, projects under construction, intangible assets and other assets with a holding period of more than one year.

For more information, please contact the law firm for specific business consultation.

The most fundamental difference between direct and indirect investment is the establishment of a different economic relationship between the investor and the fundraiser. In direct investment activities, there is a direct ownership relationship or creditor-debt relationship between investors and fundraisers, and business institutions are not directly involved in investment and financing activities. In indirect investment activities, there is an indirect credit relationship between investors and fundraisers, and commercial banks are directly involved in investment and financing activities.

Direct and indirect investment are both competitive and complementary. In terms of attracting funds, direct financial instruments and indirect financial instruments compete fiercely through the level of yield, the size of the risk, the strength of liquidity, and the convenience of investment. In terms of the use of funds, the two compete for the market in terms of financing costs, repayment methods, information disclosure, restrictions on the use of funds, deadlines and degree of risk transfer. Their mutual complementarity and mutual restraint are manifested in the fact that under the condition that the stock of social funds is a certain amount, there is a relationship between the two of them.

Extended Materials: Chinese Investment Varieties.

1. Real estate. Many people invest in real estate, and a family buys n suites waiting for appreciation.

2. Bonds. Bonds include treasury bonds, financial bonds, and corporate bonds. This is lower than **, but the return is also low.

Compound interest can be selected to calculate interest. Treasury bonds are not available to many people, and they are known as "gilts" with good reputation, good interest rates and low risk. The risk of financial bonds is relatively high, and the company's bonds have the greatest risk and the highest returns.

3、**。China's ** fell from more than 6,000 in 2008 to more than 2,000 in 2011, and the economy is growing without rising, PetroChina is so good that its ** is not good, Buffett is from PetroChina after earning 3.5 billion US dollars after a gorgeous exit. Some people say that China's ** is very similar to Japan's, and it will never be able to rise to a high point again, and it will only continue to hover around 3000.

It may have something to do with China's most powerful power. It is also related to the psychology of the Chinese people who are afraid of things.

4、***。It has been relatively hot in recent years. "Buying gold in troubled times", in the financial crisis, the European debt crisis, there are too many unstable factors in the world, and China's inflation is relatively strong, many people turn to the world's universal, stable value of the material.

There are many ** products of the bank, such as **bars, paper**, **t+d. Many people also do overseas ** through some channels, but it is likely to encounter black platforms, and the money is taken away by the companies that make the platform. The only trading institution recognized in China is the Shanghai Exchange.

5、**。** Refers to a certain amount of funds that are set up for a certain purpose. It mainly includes trust investment, provident fund, insurance, retirement, and various wills. What people usually refer to as ** mainly refers to ** investment **.

Legal analysis: the difference between foreign indirect investment and direct investment is as follows: direct investment is the integration of capital owners and capital users, and is the unified movement of asset ownership and asset management. Indirect investment, on the other hand, is the decomposition of the owner of the fund and the user of the fund, and is the separation of asset ownership and asset management.

Legal basis: "Foreign Investment Law of the People's Republic of China" Article 2: This Law applies to foreign investment within the territory of the People's Republic of China (hereinafter referred to as "within the territory of China"). "Foreign investment" as used in this Law refers to investment activities carried out directly or indirectly by foreign natural persons, enterprises or other organizations (hereinafter referred to as "foreign investors") within the territory of China, including the following circumstances:

1) Foreign investors alone or jointly with other investors establish foreign-invested enterprises within the territory of China;

2) The foreign investor acquires the shares, equity rights, property shares or other similar rights and interests of enterprises within the territory of China;

3) Foreign investors invest in new projects in China, either alone or jointly with other investors;

4) Other forms of investment as stipulated by laws, administrative regulations or regulations.

"Foreign-invested enterprises" as used in this Law refers to enterprises that are wholly or partially invested by foreign investors and are registered and established within the territory of China in accordance with the laws of China.

Direct investment refers to the operation and management of an investment enterprise that directly establishes a subsidiary or participates in a foreign enterprise abroad and invests in it through its own labor and capital. Indirect investment, on the other hand, refers to indirect investment in overseas markets through the purchase of financial assets such as equity and debt rights of foreign enterprises, or by investing in financial instruments that can be invested overseas in China.

In outbound investment, both direct and indirect investment methods have their own advantages. Direct investment has relatively high control and the ability to obtain information, which can better realize the control and management of enterprises, and it is also easier to obtain overseas market information and market reputation. Indirect investment, on the other hand, is more flexible and can adjust and optimize the asset portfolio to meet the investment needs of different market environments. In addition, indirect investments can also reduce the risk and cost of investments, as indirect investments typically require lower costs and shorter investment horizons than direct investments.

In addition to this, direct and indirect investments can have different effects in different market environments. In areas with relatively complete and developed economic systems, direct investment in credit is usually more suitable, because the market is mature and the legal rules are complete, which can effectively prevent investment risks; In areas with relatively imperfect economic systems, indirect investment is more suitable because it can better adapt to market changes and investment risks.

In addition, direct investment and indirect investment also involve different investment entities. For larger corporate institutions, direct investment is often preferred because they have the ability and experience to implement investment and management abroad; For individual investors or small businesses, indirect investment is more advantageous because it reduces investment risk and asset management requirements.

To sum up, direct investment and indirect investment have their own advantages, and should be selected according to different market conditions, investment entities and investment objects. <>

Inward investment is direct investment, and outward investment is mainly indirect investment, which may also be direct investment.

Therefore, this question is correctly formulated.

Inward investment refers to the investment of funds within the scope of the enterprise for the purchase and allocation of various operating assets required for production and operation.

Foreign investment refers to the investment of funds in other units outside the scope of the enterprise.

Indirect investment refers to the investment of enterprises that invest funds in equity assets such as ** and debt bonds.

Direct investment refers to the investment of enterprises that directly invest funds in the physical assets that form production and operation capabilities and directly seek operating profits.