Things To Know About India Before Doing Business

The article is about Things To Know About India Before Doing Business. Indeed India is an Asian giant, that has for the past years been waking up and rising to the occasion. The country, which is known to have one of the fastest growing economies in the world, has a huge potential for investors who want to do business. India has a large and well performing stock exchange in Bombay. The Bombay stock exchange has over 6,600 listed companies, and this is only second to the New York stock exchange.

Things To Know About India Before Doing Business

However, before going to India to do businesses, there some things that one ought to know, and which can make you achieve your desired results. To begin with, this country is a complex one, where religion and castes are factors that one, especially foreigners ought to be aware of. As such, when doing business in India, behavior and etiquette should be observed, depending on whom you are speaking to, and the setting under which the conversation is taking place.

A good relationship with the locals (and with local corporate finance lawyers, lol) is essential for any business to thrive, and that is why issues like religion, collectivism, and fatalism are all components that should be closely observed. Most western investors would be surprised to learn that even nowadays in India; there is a strong sense of tradition that is tied to the daily business practices. Nevertheless, this should not worry anyone, since from the time the economic reforms were introduced in India in 1991, the Indian market has grown steadily, and doing business has become less troublesome.

With the adequate researching, the Indian market has the potential to consume most products, thanks to its population and geographical location. The country has over 1 billion people, which translates to cheap labor for industries, and ready market for the essential goods and services. Besides, India is so strategically located, in the Indian Ocean, which is a major trade route. From here, goods can be distributed to the Far East, to Africa, or even to Europe.

Before doing business in India, investors should be aware of the fact that Indian has such a competitive education system, and this has led to majority of the Indian workforce skilled and knowledgeable. Therefore, one would not have to worry about where to get skilled labor, for in India, they are in plenty. Something else, it is important that one is conversant with the Indian culture, so that you do not provoke them innocently, or in the name of doing business.

Did you know that for example the Indian men would generally not shake hands with women, out of respect for them? Well, as an investor or businessman, you are advised to wait for a female business colleague or partner to initiate greetings, whether verbal or physical. Another thing is that you should not decline foods or drinks, for this may be misconstrued to be offensive.

You would rather sample a small portion to show that you have no ill will. Most foreign investors are also reminded that majority of Indians are vegetarians, do not smoke or take alcohol. All the same, Indians are friendly people, and they make good business partners with like-minded people.

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