What Should Foreign Companies Do in Order to Adopt Better to Indian Conditions, and Have Successful Operations
Abstract
This document will help understand ways to reach next level of learning to do business the Indian way, rather than simply imposing global business models and practices on the local market. This document is prepared on the premise of Make in India Program launched by Government of India.
In the background of Make in India (MII) Program effort was made to study different industries, their current state and what they can leverage from MII to adopt better to Indian conditions and successfully operate in India
Globalization is the process of international integration arising from the interchange of world views, products, ideas, and other aspects of culture. It requires cross-cultural understanding and Successful management.
Contents
Abstract 1
Contents 2
Introduction 3
Scope and Limitation 4
Automotive industry 4
What should companies do 5
IT and BPM 8
What should companies do 9
Pharmaceutical 10
Market Potential: 10
Growth Drivers: 11
Policies: 11
Changing market dynamics 12
What should companies do 12
Drivers for Organizations 14
Winning in India: Factors influencing successful operations in India 14
Other factors influencing growth of Multinational companies in India: 16
Major Aspects of Organizational Behavior and Management Practices 17
Conclusion: 19
References: 19
Introduction
"We are excited about India. We are excited about Make in India and Digital India," Jack Ma of Alibaba.
"We have some big plans for India, We fully support Make in India," said President of Xiaomi Lin Bin.
"Harbin Electric would like to bring more light to India, take advantage of Make in India," said Harbin Electric Chairman Zou Lei.
Hitachi has agreed to set up a Bup auto-component plant
Airbus Group aims to increase its sourcing of aerospace parts from Indian companies to $2 billion in the next five years
Fiat Chrysler Automobiles is planning to manufacture a range of C-segment Jeep brand premium sports utility vehicles in India and export these SUVs to countries such as Australia, South Africa, and the United Kingdom. This manufacturing (export) unit is likely to bring in an investment of about INR 1,500-2,500 cr.
Make In India - A Major National initiative designed to facilitate investment, foster innovation, enhance skill development, protect intellectual property and build best in class manufacturing infrastructure.
Through Make in India initiative, government will focus on building physical infrastructure as well as creating a digital network to make India a global hub for manufacturing of goods ranging from cars to soft wares, satellites to submarines, pharmaceuticals to ports and paper to power. The World Bank has projected India’s GDP to expand to 7.5% for FY 2015-16 on account of increased economic activity and stability as a result of introduction of new reforms and re-formulation of old policies by the new Government. GDP growth shall further accelerate to 7.9% in 2016-17 and 8% in 2017-18, as per the World Bank.
Scope and Limitation
This document is limited to studies done in
• Automotive Industry
• Pharmaceutical Industry
• IT and BPM Sector
The document was prepared reading different literature available in the public domain.
Automotive industry
India is home to a vibrant automobile of more than 40 million vehicles. It has been one