Doing Business in India

Doing Business in India

By Group 2

Aditya Kaushik

Balajee Varradan

Mansi Chawla

Priyanka Deshmukh

Sraddhanjali Jena

Vikram Pratap Singh

DOING BUSINESS IN INDIA

Introduction

According to the World Bank and the IFC, India is at 132nd rank among the 185 economies in the world in the ease of doing business. In spite of improved regulations and a number of favourable policies for trading across borders, India still continues to prove tough for starting and running an enterprise in the country. Moreover, India is also the lowest ranked among the BRIC nations. Because of its strategic geographical location in the Asia pacific, India has a huge potential to be the hub not only for IT and IT enabled services, but also for engineering, medical, and pharmaceutical sectors. The recent moves by the Government to ease FDI in telecom, retail and defence further attracts and encourages foreign players to enter India. Despite its potentials and the efforts taken by the policymakers, a country claimed to be one of the largest democracies, with abundant resources, a diverse demography dominated by youth, still does not provide a favourable environment for doing business. This term paper aims to identify and elaborate the key opportunities and challenges associated with doing business in India. The paper begins with understanding the macro environment of the country through PESTLE framework, and how it affects business ventures. This will help us identify the factors that create opportunity and those which will have to be overcome in order for a business to be a success. Finally, recommendations will be provided based on the study for both Indian and foreign nationals who want to invest in the country.

Key Summary of PESTLE analysis of India

India is one of the World’s largest democracies, growing at a rapid pace. Although it has a stable government, the country is characterized of having several caste based and religion based parties and non-political and...