An integrated DELPHI-DEMATEL-ANP model- based Fuzzy theory for attracting FDI by considering interrelationships among key determinants

Abstract

In today's era of globalization, Foreign Direct Investment (FDI) plays a crucial role in the economic development of countries and regions, including Vietnam. FDI is widely regarded as a driving force in the global trade system, stimulating growth in the investment sector and significantly enhancing a country's global competitiveness. Moreover, economic growth and global diversity directly influence the amount of FDI a country receives. A hybrid model that integrates Fuzzy-Delphi, Fuzzy-DEMATEL, and DANP methods has been proposed to identify and prioritize the main factors affecting FDI attraction in Vietnam. Using multiple techniques, the proposed approach provides a more robust analysis considering the inherent uncertainties and complexities of the FDI decision-making process. The study explores the network and interrelationships between the factors, providing a more nuanced understanding of the determinants of FDI attraction and their impact on other factors. The study's results are expected to reveal the critical factors affecting FDI attraction in Vietnam and their relative importance, which can serve as a basis for policymakers to design effective strategies for attracting FDI. This can be particularly important for developing countries like Vietnam, where FDI can drive economic growth and development. Furthermore, the proposed methodology has the potential to contribute significantly to the literature on FDI attraction and provide a valuable framework for future research. By taking a comprehensive and integrated approach, the study can help to advance our understanding of the factors that drive FDI attraction and inform policies that promote economic growth and development.