Describing a company, property, or asset that is controlled or owned by individuals or entities residing outside of the country where the asset or business operates. This ownership structure often involves direct investment, subsidiaries, or joint ventures where the controlling interest rests with non-domestic stakeholders. It is a key term in international business, economics, and politics, reflecting global interconnectedness and investment flows. Considerations include economic impact, employment rates, and the transfer of technology and profits. These investments can be a source of growth or, in some cases, face national security reviews.
Foreign-owned meaning with examples
- The city council approved a development project that included several foreign-owned businesses. This project aimed to revitalize the downtown core and create new employment opportunities, spurring a debate about the potential economic benefits and control the foreign companies might have on the local market. Local residents voiced mixed opinions.
- Concerns were raised regarding a major telecommunications company that's considered foreign-owned. Some critics worried that this could lead to the exposure of sensitive information to foreign governments. This generated national security scrutiny over the acquisition to assess data privacy risks.
- The government implemented new regulations for foreign-owned corporations. This included stricter tax requirements and reporting guidelines. The goal was to ensure fair competition and protect the interests of domestic businesses and maintain domestic control.
- The decline of the national automotive industry was attributed in part to increased competition from foreign-owned automobile manufacturers. This shift reflected changes in consumer preferences and cheaper imports.