Mohammad Reza ASGARI - Assistant Professor, Naragh branch, Islamic Azad University, Naragh, Iran
Kourosh YAGHOUBI - Graduate of Management, Naragh branch, Islamic Azad University, Naragh, Iran

Foreign direct investment is considered an important factor in economic growth and development, technology transfer, technical knowledge and new management practices. Most developing countries are facing the problem of investment resources shortage in order to boost economical conditions, creating jobs and achieving sustainable economic growth and development. Compensation of backwardness and achievement of sustainable development requires investment to benefit comparative advantages and economic potentials. If investment security is guaranteed in developing countries and economies in transition and the necessary legal base is provided, international investors will be more willing to participate in these markets. This gives host countries the opportunity to take advantage of comparative advantages, economic growth, employment and obtaining updated knowledge and technology for the production of competitive products in the international arena.Investigating the obstacles in attracting foreign investment in the automotive industry in Iran is very important and effective factor. The results show that the order of predictor variables of barriers to foreign investment in Iran's auto industry are: negative mentality, lack of adequate financial security for investor, inappropriate development of the financial market and high risk of investment also, it is observed that complex administrative process is not considered as one of the barriers to investment. And by developing facilities and improvements so far, the attitude that performing official and administrative procedures for that is overwhelming has been vanished and the predicting score of this variable has been the lowest score.

Investment, foreign investment, barriers, risk, market