What is the difference between a local branch of a foreign company and a foreign invested enterprise (FIE)? There are differences between a local branch of a foreign company and FIE. Foreign Invested Company Foreign Company's Local Branch Entity Domestic incorporate Foreign Company Relation with Parent Company (in terms of accounting and settlement system) Independent Dependent Laws Applicable Foreign Investment Promotion Act Foreign Exchange Transaction Act Taxables Incomes earned in and out of Korea. Foreign Exchange Transaction Act Reference - Inflow of operating fund and remittance of proceeds earned from business activities are in service at KEB only, which accepted the notification of branch establishment