According to the last world bank report on ease of doing business (2019), India ranks 63 among the 190 countries. Great climbing though in the last 10-15 years! In this article, we have listed the top seven reasons why India is a suitable place to buy business.
Top 7 Reasons Why You Must Buy a Business In India
- Stable Economy
- The Skilled Workforce
- Policies, Reforms, and Business laws
- Expanding Sectors
- Low Operational Costs
- Digitalization & Globalization
- Unity in Diversity
Stable Economy
It goes without saying that India is a potentially developing economy with more stability than other countries. It was evident in the way the country handled and perhaps survived the global recession in 2007-08 without much turmoil.
The 2020 Global Competitiveness Index by World Economic Forum says India has comparatively higher macroeconomic stability than the other developing nations. Also, as per the latest Deloitte Insights, India seems to have positive economic growth in the years to come. And it is banked by various growth drivers like demand for private consumption, services sector contribution, reviving the agricultural sector, etc.
The Skilled Workforce
Being the second most populous country in the world, the current population of India in 2023 exceeded 1.4 billion. Among these, nearly 500 million people fall under the working-age range and the median age is 25 to 26 years. Additionally, the current younger generation is gaining exposure to the latest technologies and expert knowledge. With this IQ and easy grasping ability, they’re one of the most talented workforces in the world.
Policies, Reforms, and Business laws
Entrepreneurship is in the veins of Indian people and the government had been so far nice and openhanded in favoring budding entrepreneurs. On the other hand, the government also has developed promising economic reforms and policies that favor the existing businesses to flourish and grow. Currently, a huge number of businesses are attracting FDI investments. And are ready for collaborations and trade contracts.
Apart from this, India has lenient business laws that enable them to internationally undergo pacts and agreements wherein a part of the business is sold or acquired by foreign companies.
Expanding Sectors
The International Trade Administration’s CCG (Country Commercial Guide) for India lists the following sectors for potential growth.
- Energy and Environment
- Aviation
- Travel/ Tourism
- Defense
- Information Technology
- Education
- Food/ Agriculture
- Safety and Security
- Healthcare
- Information Technology
Besides, infrastructure, transport, retail, and hospitality services are also gaining momentum lately.
Low Operational Costs
A few countries literally loot away all the revenue/ profit that companies earn in the form of water-, electricity-, internet-, and infrastructure- usage. But in India, you can get all these services at a considerably low cost. This makes it attractive for foreign companies to operate here with low operational costs.
Digitalization & Globalization
The two stimulating bandwagons for the Indian economy are digitalization and globalization. The latter had been in the limelight since the 1980s. And still boosting companies to go globally and trade. The former however began in 2014-15 after Narendra Modi became the prime minister of India.
At the moment, both these factors are reshaping every sector and business in the country. Undoubtedly, today, the country is a growing giant in terms of technology, IT, data science, machinery, manufacturing, energy, sustainability, transport, logistics, etc.
How about buying businesses in Australia, the USA, Poland, etc?
Unity in Diversity
India is an exemplary country to demonstrate unity in diversity. Obviously, this opens up business opportunities not only at a broad level (addressing the whole country). But also to a narrow level (regional) businesses, customer preferences, and localization.
Conclusion
The abovementioned reasons are just a few of the numerous favorable factors. Hope now you know why India is a suitable place to buy business!
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