The impact of FDI on competition in domestic markets may be particularly important in the case of the following industries:

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Telecommunications, retailing, and financial services are industries that rely heavily on technology and innovation, making them highly competitive. The entry of foreign firms through FDI can further intensify competition in these industries, providing consumers with increased choices and potentially lower prices. On the other hand, industries such as electricity, gas, and water supply, or agriculture, forestry, and mining, typically have more limited competition and regulatory frameworks, making them less affected by the entry of foreign firms. Transport, storage, and logistics are somewhat in between, with varying levels of competition depending on the specific sub-sector and country context.

The Impact of FDI on Competition in Domestic Markets May