Making Foreign Investment Safe: Property Rights and National Sovereignty (Hardcover)

~ (Author), Rafiq Ahmed (Author)
Key Phrases: risky environment, international trade law, new international property rights, United States, World Bank, Return of Private Ownership of Infrastructure (more...)

Editorial Reviews

Review

"Meticulous investigation, insightful analysis, startling discoveries, sound recommendations. This book is a 'must read' for business strategists, negotiators, policy practitioners, investors, and lenders, as well as the analytic community!"--Theodore H. Moran, Marcus Wallenberg Professor of International Business and Finance, Georgetown University
"Wells and Ahmed have written a fascinating and unique book that deserves wide readership among academics, policy makers, and businesspeople interested in foreign direct investment, development, the electric power industry, industry-host country disputes, the bargaining process, privatization, and Indonesia, among other issues. The detailed case studies--which provide a very complete, well-documented, and at times courageous narrative of the investments, the subsequent disputes, and their eventual resolution--will be cited as authoritative for some time to come. These stories contain an important cautionary tale for investors and policy makers concerned with foreign investment in developing countries."--Stephen J. Kobrin, William Wurster Professor of Multinational Management, The Wharton School, University of Pennsylvania
"These case studies will be informative to anyone considering investing in politically sensitive industries in developing countries."--Foreign Affairs
"The book not only offers lessons to officials and investors on how to negotiate and write investment contracts in ifrastructure but also provides new horizons on property rights and contractual relationships in infrastructure"--The Jakarta Post

Product Description

With real case stories, Wells and Ahmed bring to life both the hopes for and the failures of international guarantees of property rights for investors in the developing world. Their cases focus on infrastructure projects, but the lessons apply equally to many other investments. In the 1990's inexperienced firms from rich countries jumped directly into huge projects in some of the world's least developed countries. Their investments reflected almost unbridled enthusiasm for emerging markets and trust in new international guarantees. Yet within a few years the business pages of the world press were reporting an exploding number of serious disputes between foreign investors and governments. As the expected bonanzas proved elusive and the protections weaker than anticipated, many foreign investors became disenchanted with emerging markets. So bad were the outcomes in some cases that a few notable infrastructure firms came close to bankruptcy; several others hurriedly fled poor countries as projects soured.
In this book, Louis Wells and Rafiq Ahmed show why disputes developed, point out how investments and disputes have changed over time, explore why various firms responded differently to crises, and question the basic wisdom of some of the enthusiasm for privatization. The authors tell how firms, countries, and multilateral development organizations can build a conflict-management system that balances the legitimate economic and social concerns of the host countries and those of investors. Without these changes, multinational corporations will lose profitable opportunities and poor countries will not gain the contributions that foreign investment can make toward alleviating poverty.

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Product Details

• Hardcover: 392 pages
• Publisher: Oxford University Press, USA (December 21, 2006)
• Language: English
• ISBN-10: 0195310624
• ISBN-13: 978-0195310627
• Product Dimensions: 9.3 x 6.1 x 1.1 inches
• Shipping Weight: 1.5 pounds (View shipping rates and policies)
• Average Customer Review: 1.0 out of 5 stars  See all reviews (2 customer reviews)
• Amazon.com Sales Rank: #838,733 in Books (See Bestsellers in Books)

Customer Reviews

Most Helpful Customer Reviews

2 of 2 people found the following review helpful:

1.0 out of 5 stars Not really interesting, May 3, 2007

By	O. Verheul "Verheul" (The Netherlands) - See all my reviews (REAL NAME)

This book is not really interesting. I expected a good book about property rights and financial investments, but the book is uses cases all the time. There is no theory in it. The whole case is about Indonesia. It is only useful for people that like to know more about the history of investments in Indonesia. The title of this book is very misleading.

1.0 out of 5 stars For specialist only, September 23, 2007

By	Cahyo Sukaryo "CSU" (Jakarta, Indonesia) - See all my reviews (REAL NAME)

I found the book by chance whilst doing my Master degree research on the high profile case of Karaha Bodas and its International Arbitration process. Previously shouted "Eureka!", but got amazed on its tag price, especially when compared to its content; mostly Indonesian companies' case. Its real life case study approach should be appreciated though, but I do not think that this book would be useful served all but to some specialists.