Analysis of the countries’ business attraction with the ELECTRE-III method

Abstract

Attracting foreign investment is essential for the competitiveness and prosperity of nations. When deciding where to invest, an investor may be interested in considering specific criteria for investing or doing business and preferences for those criteria. In the same way, when evaluating the situation of a country to attract investment, consider different aspects to determine its ease of doing business. The MultiCriteria Decision-Making (MCDM) methodology is suitable for evaluating nations according to their ease of doing business due to the multifactorial elements of each nation. This work applied the ELECTRE-III method; it evaluated 190 nations based on the decision-maker?s preferences, giving different importance to the ten criteria considered in the World Bank?s Doing Business 2020 study. The results with this methodology show better-positioned nations in the ranking compared to the report presented by the World Bank Group.