According to Forbes India is fast moving down in the list of best places to do business – why?
Anita Zaveri
Jun. 28, 2008

In the new Forbes study that compared business climate from various angles in 121 countries, India dropped 13 places to 64th from 51st last year.

In spite of all the hypes from India Inc. and the Indian Government, India has deteriorated substantially as a country that can attract top foreign direct investments. The inflation and slow progress in infrastructure development are the main causes. Indian population is talented but wage and commodity inflation is rampant. India depends on the foreign oil and gas. That has caused a massive problem for the economy. According to Forbes, ''demonstrated resistance to increasing personal freedoms. Higher inflation from food and other commodity costs, as well as increased burdens on entrepreneurs also held the world's most populous nations back as business destinations''.

The corruption is also on the rise. Use of corporate assets for personal use is on the rise in India.

The biggest detriment comes from the communists. On one side they oppose privatization. And, at the same time they engage in human rights abuse to help Indian oligarchs like Tata establish factories stealing land from poor farmers in the state of West Bengal. India failed as a nation to provide protection of human rights for people in Nanadigram and elsewhere where communist militia controls the police force. According to Forbes, ''Privatisation of government-owned industries remains stalled and continues to generate political debate; populist pressure from within the UPA government and from its Left Front allies continues to restrain needed initiatives.''

In a nut shell India is declining fast as an international business destination because of a shortage of talented work force, higher inflation, slow progress in infrastructure development, corruption, communists creating human rights abuse as well as blocking privatisation, and lack of clear and open access to Indian consumers.

According to Forbes India is fast moving down in the list of best places to do business – why?
Anita Zaveri
In the new Forbes study that compared business climate from various angles in 121 countries, India dropped 13 places to 64th from 51st last year.
READ MORE>>

The impact of Indian hyperinflation on outsourcing as Rupees plunges– can Indian IT companies and call centers still outshine?
Sudhir Chadda
Indian economy faces some serious challenges in the form of fast rising inflation.. Although the inflation started from energy related commodities, it quickly spilled into the food sector making life of common Indians miserable.
READ MORE>>

India Inc. one of the most global business unfriendly: World Economic Forum
Harish Baliga
Indian oligarchs like Ambanis, Tatas, Birlas and so on control the markets in India. They keep the politicians and bureaucrats under their control with money and does not allow free access to innovative companies from other regions of the world.
READ MORE>>

Another mistake by India – India should build bioengineering and aerospace cities instead of dinosaur IT cities
Harish Baliga
The aerospace is what will dominate the next 50 years. The aging baby boomers in America provide the necessary financial resource to make bioengineering as the most lucrative field of outsourcing.
READ MORE>>

MORE ARTICLES >>