Fdi Boon or Bane - 5112 Words

FDI FDI in Retail –BOON OR BANE *MD13109* Abstract: India is the attractive and profit oriented market for the investment to developed countries. Despite its good surplus and evergreen sector, the Retail-business in India lacks in Capital Investment and lack of transparency. The retailers are just focusing on urban sector and are unable to penetrate in rural sector. FDI can be one solution that will lead to the expected development. If FDI is allowed in Retail-sector, it will help Retailers to gain more profits thus eliminating the flaws in the current system. As per government norms, if FDI is allowed then 50% of the total FDI has to be invested in backend infrastructure. This will improve the processing, distribution, packing amp;†¦show more content†¦In the past decades, FDI was concerned only with highly industrialized countries. US were the world’s largest recipient of FDI during 2006 with an investment of 184 million from OECD (Organization for Economic Co-operation and Development) countries. France, Greece, Iceland, Poland, Slovak Republic, Switzerland and Turkey also have a positive record in FDI investments. Now, during the course of time, FDI has become a vital part in every country more particularly with the developing countries. This is because of the following reasons: * Availability of cheap labor. * Uninterrupted availability of raw material. * Less production cost compared with other developed countries. * Quick and easy market penetration. FDI in the Retail sector: Retailing is one of the world’s largest private industries. Liberalizations in FDI have caused a massive restructuring in retail industry. The benefit of FDI in retail industry superimposes its cost factors. Opening the retail industry to FDI will bring forth benefits in terms of advance employment, organized retail stores, availability of quality products at a better and cheaper price. It enables a countries product or service to enter into the global market. Cheaper production facilities: FDI will ensure better operations in production cycle and distribution. Due to economies of operation, production facilities will be available at a cheaper rate thereby resulting in availability of variety products toShow MoreRelatedEnvironment For Fdi : An Ambitious Campaign1162 Words   |  5 PagesEnvironment for FDI: In the year 2014, the Government of India launched an ambitious campaign called the â€Å"Make in India†. The campaign’s main aim is to build and further develop the country’s manufacturing industry by making the country attractive for FDI. As a result of the launch of the campaign, within merely 9 months, from 2014 October to 2015 June, there was a rise in FDI by almost 40%. (Kaur, J. 2016). Out of the numerous objectives that Make in India sets its eyes upon, the following areRead MoreTechnology changing the face of education1384 Words   |  6 Pages--------------------- Case Study 3: FDI in Indian retails- Boon or Bane? ------------------------------------------------------------------------------- The Indian economy has continuously recorded high growth rates over the past decade. As per the Indian Prime Minister, Dr. Manmohan Singh, the Indian economy is expected to grow at around 7.5% over the coming years. One of the major contributors to the growth shall be the Foreign Direct Investments (FDI) and it is predicted that over the nextRead MorePros and Cons of Nafta Essay1568 Words   |  7 Pagesoil prices are lower. The same is true for food imports, which totaled $28.9 billion in 2008. Stepped Up Foreign Direct Investment: Since NAFTA was enacted, U.S. foreign direct investment (FDI) in Canada and Mexico more than tripled to $348.7 billion (as of 2007, latest data available). Canadian and Mexican FDI in the U.S. grew to $219.2 billion. NAFTA reduces investors risk by guaranteeing they will have the same legal rights as local investors. Through NAFTA, investors can make legal claims againstRead MoreMergers Acquisitions in Pharma Industry21425 Words   |  86 PagesIntroduction 2.2 Nature of Indian Pharmaceutical Industry 2.2.1 Industry Scenario 2.2.2 Market Scenario ((Projected Pharmaceutical Market, 2004-2009)) 2.2.3 New Product Launches underlie market growth 2.2.5 Key Opportunities 2.2.6 FDI in Indian pharma 2.2.7 Strategy and Trends 2.2.8 Research and Development 2.2.9 SWOT Analysis 2.2.10 Mergers and Acquisitions in Pharma 2.2.11 Good Opportunities for ‘big pharma’ References Chapter Three-Merger between Glaxo WellcomeRead MoreHigher Education in India6268 Words   |  26 Pagesinstitutions. * Vocational and Diploma courses need to be made more attractive to facilitate specialized programs being offered to students. FDI in Indian Education FDI in Higher Education in India is one of the topic of discussion. Various views about the topic are discussed below gives an idea about acceptance level of FDI in Higher Education Mixed opinions about FDI in Indian Education A significant number of academics, especially the left-leaning educationists in Kerala, are not in favour of the entryRead MoreGlobal Business Environment8475 Words   |  34 Pagesbarriers After the World War II the lowering of trade barriers led to the free flow of goods, services, and capital between nations. In additions to lowering of trade barriers, many countries have also removed restrictions on barriers to FDI. These two changes made the laws less restrictive there by encouraging both inward and outward investment by foreign firms. 2. The role of technological change Advances in microprocessors and telecommunication Emergence of the internet