Environment For Fdi : An Ambitious Campaign

4b.The next article, “Their oyster, with grit included”, discuses cross border deals that India is involved in. Most Indian firms are aspiring to be multinationals, and succeeding. Some of the way these firms are achieving this is through vertical integration, acquisition and using a Greenfield approach. This is successful because Indian workers are already used to a very diverse workforce. Another approach that is gaining success is firms being pocket multinationals meaning that acquire small businesses abroad and use those small businesses to maintain a presence. A benefit of being a pocket multinational is having access to new technology, products and markets but merging to different very cultures of two different firms is always a challenge. Foreign firms in investing in India are not having the easiest time either. Most Indian

All sectors are not accessible to the foreign companies. Government has categorized the industrial sectors in to three categories i.e. encouraged, restricted and prohibited. Different industries have different market entry and operation characteristics as per categorization by the government. Resource based and institutional based review suggests major concerns for multinational companies including Government policy regarding foreign ownership, Government procurement, inefficient intellectual right protection, support to domestic companies, unskilled manpower, vast geographical difference and bureaucracy. Foreign companies should have complete understanding and savvy strategy to deal with major practical

Other supporting industries like the engineering and fabrication, foundry and castings, mineral processing, automobile, process industries and plethora of interrelated industries will be huge beneficiaries of these initiatives. All the initiatives are expected to bring in radical changes in the macroeconomic outlook of the country in next 5-10 years. The large pool of highly agile, young, technically skilled, elitist, and English perceptive engineers, scientists, managers, and artisans will play a crucial role in the economic transformation of India. The creation of the manufacturing corridors with requisite and ready to move infrastructures will definitely catalyze the growth of the manufacturing sectors. With these initiatives and confidence given by the government of the day, the prevailing perception of the overseas investors, especially from the western world is gradually changing in favour of India. According to the Reserve Bank of India (RBI, 2014), the FDI is expected to touch US $ 65-70 billion by the end of

The economy of Nepal is liberal, more privatized, and open as compared to other economies in South Asia. Nepalese economy is suffered from investment saving gap and trade gap which results into the need of FDI. Some of the limited natural resources available in Nepal are waiting for huge investment. But lack of sufficient domestic capital hampered the use of these resources. Therefore, FDI and its implication in Nepalese economy have great importance. Furthermore, cement industry is an industrial base of Nepal which occupies more than half of industrial gross domestic product. The following chapters deal with the background of the study of FDI opportunities in cement industry in Nepal.

The seventh largest country in the world and the second most populated country in the world is located in South Asia. This country is known as India. India consists of different states which speak different languages. Hindi is considered to be the official language by the government. India has different cultural beliefs, values, religions, and politics that allow it to stand out from its neighboring and surrounding countries. India also sets itself on different standards in regards to handling business. When handling business in India, English is the language used. More Americans are seeking to do business in India. This paper will explore the different

We believe the single greatest risk of doing business in India is its bureaucracy. The Indian bureaucracy is often referred to as "babudom." An Indian bureaucrat is often referred to as a "babu." Today, babu may also mean "Sir" or "Mr." The babudom was formed after India gained independence from Britain. It employs many more people than necessary and it is highly unproductive. Each geographic region of the babudom requires specific government permissions and taxes. Making progress in the babudom with limited local support is a difficult task, especially for a small U.S. firm with limited capital.

India’s government also has an established system of commercial laws based on British common law. This is very similar to the United States and the learning curve would not be that hard. Having a stable Government makes it much easier for a US company to travel into a different country. India also features well established recognition and protection of intellectual property rights. India also has commitment to product quality control and consistency in manufacturing sector

Since 1970s, in INDIA the perspective of multinational companies has changed drastically, when the country invited FDI (foreign direct investment) and opened its economy, and worldwide players, for instance, 3M, Coca Cola, Volkswagen and began investigating their business. In the year1980, diverse MNCs, for instance, Motorola, NEC and Philips were gladly accepted. They valued corporate expense rates and paid no obligations on their capital merchandise imports. Generally, they were adored by consumers and the government alike. Indeed, even into the 1990s, as INDIA added to a superior comprehension of MNCs, the international organizations were the objects of admiration and awe. Around then, consumers of INDIA displayed a

5. Strict regulation of the foreign exchange market with too many restrictions on foreign investment in Indian companies.

A. Macro- The major macro problems are surrounding the loss of the tax abatement in India as well as the weakening US dollar. Both of these issues make it incredibly expensive to do business in India compared to other locations like the Philippines.

It was an extremely ambitious aim to heave upward the figure 16% that has remained constant since the 1980s. With the advent of Modi’s ‘Make in India’ initiative, India is all set to embark on the journey of transforming itself into a global manufacturing hub. ‘Make in India’ includes major new initiatives designed to facilitate investment, foster innovation, protect intellectual property, and build best-in-class manufacturing infrastructure. It has been featured in KPMG’s ‘100 Most Innovative Global Projects’ as one of the world’s most innovative and inspiring infrastructure projects. The country has all the more reason to be optimistic about the future as the prime minister himself would be the face of the project. As Warren Bennis quotes “Leadership is the capacity to translate vision into reality”, the new government in the hands of decisive leaders like Narendra Modi possesses the capacity to build the brand name of Credible India and not just Incredible India

However, it is now set to grow at 25-30 per cent per annum. In developed countries, organized retailing makes for over 70 per cent of the total business. Recently, the Government announced its intention to open up the retail sector to foreign investment. It is still, however, debating whether to allow 26 per cent or 49 per cent FDI in the sector. Initially, the idea was to begin with 26 per cent and then gradually liberalize it further. However, since China moved from 49 per cent to 100 per cent FDI in this sector last year, the Commerce Ministry and the Prime Minister's Office (PMO) appear to be inclined to go for 49 per cent FDI at one go, despite opposition from Left parties. Even as the government is debating the level FDI in of retail, a number of foreign players, including the world's largest corporation, the $288- billion Wal-Mart Stores, Inc., have announced their intention to enter India in a big way. With the impending opening up of the sector to overseas investment, they are now keen on forays into the sector in partnership with multinational chains. According to industry analysts, as many as 20 big Indian companies are working on plans to enter the sector in partnership with foreign investors. For instance, it has opened up the real estate sector by allowing 100 per cent FDI in the construction projects. The move is expected to attract foreign funds and new technology into the market. Second, Foreign Trade Policy 2005-06 has

The Make in India initiative launched by the Indian Prime Minister, Mr. Narendra Modi on 25th September 2014. The major objective behind the initiative is to focus on 25 sectors of the economy for job creation and skill enhancement. The sectors include leather, automobiles, textiles, ports, aviation, railways, mining, IT, chemicals, renewable energy, tourism and hospitality and wellness to name a few. It also aims at accelerating the GDP growth and tax revenue. This initiative also hopes to attract capital and technological investment in India. This initiative has helped create a positive vibe in the business environment. Businesses are now eager to take their investments forward and are looking for locations for local manufacture. With

Organization of the author(s): Mechi Multiple Campus, Bhadrapur, Jhapa, Nepal; Post Graduate Campus, Biratnagar, Nepal

The FDI & FII mantra is considered an all-purpose panacea for the ills of the Indian economy and society. It has become routine for our finance ministers to "showcase" India in various international forums and exhort the global captains of industry and commerce to come to India. We here want to know about the far-reaching implications of FDI in our economy and, particularly, how it can stifle economic growth.