Importance of Local Partnering In Foreign Projects -- Are Local Partners A Necessity For American Investors? D. No Local Partner Requirement
By Mark J. Riedy, Esq.
The corporate culture of certain American companies does not lend itself to local partnering. For instance, the company may require that it control every aspect of a project company and its daily operations. It may not require local funds in order to successfully implement a project. It may feel that it can better control situations that could amount to a potential FCPA violation by not having a local partner. Furthermore, it may have enough experience in the host project country to understand the business practices, laws and culture, and already have a good working relationship with the host country government officials, to succeed on its project.