Answer:
Direct foreign investment.
Step-by-step explanation:
A foreign direct investment commonly used by abbreviation FDI refers to a cross border investment in a business venture by a firm or individual of the country. In a broad sense, FDI occurs when a stockholder establishes overseas business activities or possesses foreign stock holdings in a foreign firm. FDI is a crucial component of global economic development since it establishes secure and long term trade linkages. FDI is an essential factor for the transfer of technology and infrastructure development and between different nations of the world. As per the question, Wavetel acquires a business firm in a neighboring country and it is a classic example of FDI.