Constraints to the Capacity of Moroccan Industries to Receive Foreign Direct Investment

Volume 5|Issue 20| Spring 2017 |Articles

Abstract

This paper highlights the main constraints on the capacity of Moroccan industries to absorb the expertise and techniques of foreign companies based in Morocco. The research relies on a field study of 54 industrial facilities. The findings clearly point to weak governance of Moroccan industries, the fragility of their relationship with the employees, and the poor utilization of human resources, thus limiting their absorptive capacity. There is also poor competitiveness of the national industrial fabric and ineffective performance of institutions to stimulate and revive investment, to encourage and facilitate technological transfer. Also were observed other constraints such as heavy taxation, escalating foreign competition, and difficulty in accessing suitable funding.

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