Foreign Direct Investment in Iran - Potential Approaches To The Market

Potential Approaches To The Market

See also: Foreign portfolio investment in Iran and Licensing and franchising in Iran

First and foremost, it is crucial to realize that Iranian authorities insist on a long-term commitment and a transfer of technology as a requisite for getting a share in the market. Foreign companies are therefore advised to adopt a medium- to long-term strategy for the Iranian market. Iran will almost never honor the interests of a company that does not show long-term commitment. Tenders are strictly required for government contracts for purchasing or projects. These are rarely competitive. Breaking up contracts into smaller parts is a common practice to try to incorporate at least 30% of the contract's value in local capability and also to negotiate on specific prices.

Currently there are three main routes that a foreign company can follow to establish a long-term presence in Iran:

Read more about this topic:  Foreign Direct Investment In Iran

Famous quotes containing the words potential, approaches and/or market:

    “Views of women, on one side, as inwardly directed toward home and family and notions of men, on the other, as outwardly striving toward fame and fortune have resounded throughout literature and in the texts of history, biology, and psychology until they seem uncontestable. Such dichotomous views defy the complexities of individuals and stifle the potential for people to reveal different dimensions of themselves in various settings.”
    —Sara Lawrence Lightfoot (20th century)

    “The Oriental philosophy approaches easily loftier themes than the modern aspires to; and no wonder if it sometimes prattle about them. It only assigns their due rank respectively to Action and Contemplation, or rather does full justice to the latter. Western philosophers have not conceived of the significance of Contemplation in their sense.”
    —Henry David Thoreau (1817–1862)

    “A sentimentalist, my dear Darlington, is a man who sees an absurd value in everything, and doesn’t know the market price of any single thing.”
    —Oscar Wilde (1854–1900)