The article explores how Foreign Direct Investment (FDI) impacts the performance of European companies. By analyzing a large database, the study found that firms involved in FDI tend to perform better than those that are purely domestic. Specifically, companies engaged in both inward and outward FDI have the highest performance, followed by those involved in only outward FDI, and then those in only inward FDI. These results were consistent across different measures of performance and various control factors.