Abstract
This study investigates the impact of foreign direct investment (FDI) on firm-level volume flexibility. Flexibility helps a firm to respond efficiently and profitably to any demand uncertainties; therefore, considered an essential element of a firm’s operational success. We use three process-based volume flexibility and find a significant U-shape impact of (FDI) on flexibility in Africa, making the goods industry resilient to external shocks. As a continent, Africa always adopts policy measures to attract foreign investment, and our findings shed light on the desired benefits from FDI.