Investors are becoming more selective, more cautious, and more data-driven than ever before. Locations need to step up.
Foreign direct investment has long been framed as a competition. Countries line up, polish their pitch decks, compare tax incentives, and compete for attention like hopefuls in a global talent show.
Investors, however, have changed. Their expectations have evolved. And yet, much of the FDI narrative hasn’t. It’s still rooted in the idea that if you shout loudly enough—cheaper labour, strategic location, fast-track permits—you’ll get noticed.
That’s not how it works anymore.
Old ways are still out there
In some places, like Uzbekistan, the shortcut mentality is still alive and well. The approach is loud and urgent—zones are announced, incentives promised, timelines fast-tracked. But beneath the surface, the infrastructure often isn’t ready. Processes are unclear. Challenges are swept under the carpet. Basic investment data is hard to find—or not shared at all. The country may be open for business, but investors still struggle to find the door.
Elsewhere, in countries like Greece, it’s not about shouting—it’s about assuming. The pitch leans heavily on legacy: the lifestyle, the location, the long history. There’s an unspoken sense that investment should simply come because of who they are. But when pressed for substance—like a transparent view of investment performance over time—what you get is partial data and caveats. Greece recently told us they could only provide three years of investment data.
Then there’s Croatia. A country with real potential and EU credentials, but one that’s still learning how to convert that into a strategic advantage. It speaks the language of transformation, but too often defaults to status quo plus. The ecosystem is fragmented. Local business sentiment is subdued. Too many decisions seem driven by bureaucracy, not boldness. Croatia doesn’t need a new tagline—it needs a clearer proposition.
All three countries have different histories, different assets, and different ambitions. But they share a common challenge: they haven’t done the homework. And in today’s landscape, where investors are more selective, more cautious, and more data-driven than ever before, that matters.
And don’t get me wrong. These three countries are not outliers. The same patterns can be found across the region—and beyond it. The shortcut mentality, the misplaced confidence, the lack of follow-through—none of these are unique. They’re just easy to spot when you’re on the ground and paying attention. And they all point to the same thing: the urgent need to rethink how investment is approached and delivered.
Reinventing the approach
FDI isn’t about being the loudest. Or the most confident. It’s about being the most prepared.
That means not just asking investors to come—it means showing that you understand what they need once they arrive. That you can connect them to local talent. That regulation is consistent. That you’re building for the long-term—not just the next headline.
And that requires a shift in mindset. From transaction to partnership. From promotion to delivery. From positioning to substance.
The countries that will lead in the next decade aren’t necessarily the cheapest or the most historic. They’re the ones that get the fundamentals right. They know that data matters. That aftercare is everything. That ecosystems—not just assets—create stickiness.
It’s not about where you are. It’s about how you think.
So, if you’re shaping an investment strategy, the real question isn’t ‘How do we get noticed?’
It’s ‘Are we genuinely ready?’
Because investors are paying attention. And they can tell the difference between a headline and a commitment.
Photo by Alex Wong on Unsplash.
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