Study of Business Entry Process and Experience by Foreign Companies in India

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Category: 
Management
Author: 
Shriram S. Dawkhar - Asst. Prof., STES, Sinhgad Academy of Engineering, Pune
Abstract: 

India is the fastest growing market and has been recognized as an important contributor to global corporate earnings. Many companies such as Vodafone managed to cut losses due to its strong performance in India. Foreign companies are more interested to perform its functions in India, evident by increasing number of foreign players in India since last few years. This reflects the contribution from one of the fastest-growing economies in the world. Thus there is growing interest of many biggest multinational corporations (MNCs) in the last ten years in India. It may be due to not only its attractiveness as a low-cost production site but also to the huge potential of the local market. Utilizing maximum resources to optimum level and understanding implications from the government policies are the essentials for Foreign Investors in India. On analyzing the response of existing foreign companies in India, it was found that they were keen on probing enhancing business prospects. They are focusing on marketing and sales, developing uniform measures to sell their standard products in Indian market with global perspective, however companies are facing various issues like time consuming legal proceedings, non-feasible government policies, various HR issues within the existing internal and external environment. An assortment of problems lies with the communication channel, logistics, non-availability of right employees and so on. This research is a sincere effort to understand the various situations a foreign company will have to face if it wishes to set up operations in India. This knowledge will really help to those who want to start their business in India as well as for whom just started their operations in India.

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