iarjbmIARJBMIARJBM2708-5147https://doi.org/10.47310/iarjbm.2021.v02i01.060Empirical Study of the Factors Strategic Direction of Local Content Policy and Foreign Direct Investment: Evidence of Nigeria (1980-2020) and Challenges Affecting Home Based Business Units in Nizwa, Sultanate of OmanAnietieE.EfiEtimOsimEmmanuelSoludoMadubukeKufreJosephPrinceDepartment of Business Management, Faculty of Business Administration, University of Uyo, NigeriaDepartment of Accounting, Faculty of Business Administration, University of Uyo, NigeriaIn this study, effort was made to assess strategic direction of Local Content Policy (LCP) and Foreign Direct Investment (FDI): Evidence of Nigeria (1980-2020). The main objective of the study was to examine the strategic direction of LCP and FDI of Nigeria within the period under review. Specifically, the objectives of the study was: To examine the effect of corporate income tax on FDI in Nigeria (1980-2020); and to ascertain the effect of trade balance on FDI in Nigeria (1980-2020). Ex-post facto research design was applied in the study. The hypotheses formulated for the study was measured using simple linear regression. Findings from the study revealed that the independent variables (CIT and BOT) has no significant effect on the dependent variable (FDI). It was concluded that LCP do not affect FDI in Nigeria. Based on this findings, it was recommended that government of Nigeria should ensure that tax incentives to Nigerian firms that operate in the foreign market are reduced as this would help in reducing their operations and numbers in the country; and measures such as embargo should be placed on such firms from importation of intermediary good from outside countries, especially intermediary goods that could be easily sourced in Nigeria.