Business Opportunities in IndiaOpportunities in India
Business opportunities in India
lndia is going through thrilling periods. India, which is evolving into an open and competitive free enterprise, is certainly on a high path of economic expansion, averaging almost 7% per year from 1997 to 2016. With GDP forecasted to grow by 7.2% in 2017-2018, India will become the most rapidly expanding economic area in the globe. In addition, the Indian economies, which exceeded the trillion dollars in 2007 and are likely to reach 5 trillion dollars by 2025, are currently in third place (PPP) after the US and China.
India's long-term outlook for strong momentum can be readily judged by the following factors: Indian mentality of growth: Now, you need "opportunities" and "political will" to get something done. Surely India is a "land of opportunity". This is because 1) there are enormous hurdles in India (mainly in areas such as transportation and agriculture infrastructures, medicine, energy production and supply, health care, education) and the solution of these hurdles means business and economical expansion, 2) supply of qualified labour, 3) geographic closeness to the Southeast Asian and Middle Eastern market, 4) English is well understandable and widely used in India.
Lastly, the present government of India (GoI) is courageously showing the "political will" necessary to achieve it. Led by Prime Minister Narendra Modi, GoI is leading an initiative that not only facilitates investment in India, but also makes India a better and simpler place to do business.
Several of the initatives launched by the present administration are Make in India, Start-up India, Digital India, Skill India and Smart Cities. Until now, only multinational companies (MNCs) with their extensive capabilities, know-how and the right links have been the main beneficiary of this phenomenon of Indian economic upswing. Small- and medium-sized enterprises (SMEs) and businessmen are becoming particularly conscious of India's history of economic expansion.
Looking at the growth in populations (see box), consumer growth and declining farmland, a straightforward study shows that there is a very profitable US business niche with commodities or technology in the following areas: Consulting services: Engineer, Business Developer, Project Manager, Safety Analyst, etc. There are similar business opportunities in other industries such as Home Country Securities, Multimedia & Entertainments, Hotel/Motel, Finance etc.
A business format that is quickly becoming established is the " franchise ". Whilst India has the necessary regulatory infrastructures and ecosystems, you need to do a thorough research and due diligence towards the prospective franchisee and make firm arrangements that cover all important franchise issues before investing.
It is also necessary to know India's business standards and look for expert help in navigation through the hard copy, intellectual property rights, fiscal effects, etc. before entering into partnerships with the franchisee. The most important franchise areas are education and health, which are due to a large imbalance between current and future supplies anddemands.
A further favourite scheme is the Public Private Partnership (PPP) with the Government of India within the framework of a "tender procedure". In 2015, for example, the government of India launched a programme entitled "Smartities Mission " for urban deveopment. India's government has granted 15 billion US dollars for the redevelopment of the city.
This is a historical chance for US small businesses and entrepreneurs to grow beyond the frontiers of India. U.S. firms with the right know-how are most favored by India firms, especially because, according to a Global Attitudes Survey, Indians have a very positive outlook on the United States.
Government representatives from India regularly visit the US to get together with sector professionals and foster business and commercial opportunities. As I am so optimistic, the effort that not only the government of India, business groups and companies in India are making towards India's expansion, but also the investment that overseas companies such as Apple, Microsoft, Samsung, etc. are making in India, will encourage more global companies, especially small and medium enterprises, to do business with India.