COUNTRY ANALYSIS - INDIA

Presented by:Rimpa Biswas

Rukmesh SurveSharanya Nair

Shivani Bhopatrao

India On Globe

Motto “Satyameva Jayate”

Anthem "Jana Gana Mana"National song Vande Mataram Capital: New DelhiOfficial languages

Hindi, English

Religion 79.8% Hinduism14.2% Islam2.3% Christianity1.7% Sikhism0.7% Buddhism0.4% Jainism0.9% others

Government Federal parliamentaryConstitutional republic

 President Pranab MukherjeeVice-President

Mohammad Hamid Ansari

Prime Minister

Narendra

Chief Justice Jagdish Singh KheharLok Sabha Speaker

Sumitra Mahajan

Legislature Parliament of India (Rajya Sabha & Lok Sabha)

Independence Dominion (15 August 1947)

From UK Republic (26 January 1950)

Area 3,287,263 km2

GDP (PPP) $9.549 trillion(Total )$7,197(per capita)

GDP (nominal) $2.607 trillion(Total)$1,965(per capita)

Gini 35.1 medium 79th

HDI 0.609 medium · 130th

Currency Indian rupee (INR) Time zone IST (UTC+05:30) Date format DD-MM-YYYYDrives on the left

Republic of India-Bharat Ganrajya

States (1–29) & Union territories• Andhra Pradesh• Arunachal Pradesh•  Assam•  Bihar• Chhattisgarh• Goa• Gujarat• Haryana• Himachal Pradesh• Jammu and Kashmir• Jharkhand• Karnataka• Kerala• Madhya Pradesh• Maharashtra• Manipur•  Meghalaya• Mizoram• Nagaland• Odisha

• Punjab• Rajasthan• Sikkim• Tamil Nadu• Telangana•  Tripura• Uttar Pradesh• Uttarakhand• West Bengal• Andaman and Nicobar •  Chandigarh• Dadra and Nagar Haveli• Daman and Diu• Lakshadweep• National Capital Territory of Delhi• Puducherry

Economic Evolution Of IndiaAncient times till 1707 AD

British rule

INDIA AFTER INDEPENDENCE

1950-1979

1980-1990

Liberalisation and its effects (1991 Onwards)

India: Global R&D Hub

INDIAN ECONOMY – FUTURE PROSPECTS:

1. Low in per capita and yet India is the third largest economy in Asia: India has a per capita income of $ 1400, but still qualifies as the third largest economy in Asia after China  and Japan. This is only possible due to the large size of its population,which is its ultimate consumer.2. High Purchasing Power Parity (PPP):As one of the top 10 economies in the world in terms of nominal GDP, it is also among the top five economies in the world for sheer PPP numbers. A lot has been achieved because of rising demand and favorable demographic conditions in the country of 1.2 billion people.3. BSE rules:Bombay Stock Exchange or Sensex is considered to be among the largest stock exchanges in the world and surely one of the oldest. it is listed among the top 10 largest stock exchanges in the world.4.  Young India:Unlike other economies including China, India has vast population of people under 25 and it sets up as a boon for the country. As per official data more than 460 million constitute the working population of the country and it is second largest in the world after China.5.More offices in a city:Bangalore, a software hub of India is the city that possesses more number of Grade-A offices than Singapore. As per the official data Bangalore has increased the number of offices by six times since the year 2006 and regarded as one of the best cities in the world to set up your office in.

Top 10 Mind-Blowing Facts About Indian Economics

6. Most number of rich people:Though, the figure looks vulgar in comparison to the number of poor people in the country, but India is the only country apart from China and US to possess more number of billionaires than any other country. We have 55 billionaires at present and still increasing.7. Leader in outsourcing services:India is the world leader in terms of providing outsourced IT services. Of late India is experiencing some pressure in the sector after the arrival of Philippines in the market, and still we manage to deliver around half of the world’s outsourced IT services. It roughly accounts to be more than $ 45 billion.8. Foreign reserves:India has the seventh largest foreign currency reserves in the world. Indian economics sits proud on reserves of around $ 300 billion. It makes it certain that the Indian economy despite some hiccups recently is all set to grow more and acquire larger capital assets in the years to come. At present our GDP has reduced to 5%, but as per wide expectations we would be clocking 8% growth in coming in 2015-16.9. Arms import:Though, India lacks sincere facilities regarding arms manufacture, it is the world’s second largest importer and on the verge of becoming the largest in the field of importing arms and ammunitions from foreign countries. As per the figures from Defense Ministry, India has spent around $50 billion on defense purchases in the last decade.10. Wallmart:Even if we don’t consider the amount of revenues the world’s largest retail chain Wallmart. offers to India in terms of revenues through Bharti-Wallmart venture, at present, it still manages to outsource around $ 1 billion in IT contracts to India. This is surely a surprising fact because Wallmart is known for absorbing wealth of countries more than offering revenues to them.

STRENGTHSAgriculture Based Economy - High percentage

of cultivable land.Huge Pool of Labor force - Skilled and Unskilled.Availability of abundant Natural Resource.Large Domestic Market.Economic Planning. Extensive higher education system.Democratic Institution.Rapid growth of IT and BPO.Administrative Setup & Judiciary.

WEAKNESSVery High percentage of workforce involved

in agriculture which involves only 17.2% of GDP. (Excessive Dependency on Agri)

Rural poverty leads horrible wave of suicides by indebted farmers.

Population Explosion.High unemployment rate. Low literacy rates.Under Utilization of Natural Resource.Poor infrastructural facilities.Low rate of capital formation and

Technological Development.

OPPORTUNITIESDevelopment of agriculture.Diversification of industry.Low labour cost.Area of infrastructure.IT and ITes sector.Flow of foreign direct investment.Growing urbanization.

THREATSCurrent Account Deficits (Growing Import

bill -$461.4 billion).Continuous fall in rupee.Higher population growth And

unemployment.Lack of stable Government.Growing Volume Black Money.Energy and food inflation.Judicial decision.Growing global competition.

Political FactorsFederal form of government.Business environment influenced by

various political factors.Taxation system developed by union

government.Make in India

Economical FactorsIndustrial reform policies in 1991.

Economical FactorsGrowth rate of 7.6% in the year 2015-16

estimated to slow down to 7.1%.Business sectors in India:% contribution to GDP

AgricultureIndustryService

17.9%

24.2%

Agriculture:Agriculture, Forestry, Fishing.

Industry:Mining, Quarrying, Manufacturing.

Service:Trade & Repair, Hotels & Restaurants,Transport, Storage,Communication & Broadcasting, Financial, Real Estate, etc.

57.9%

Social FactorsFamily structure important.Society influenced by 2000 years old caste

system.More than 50% of population below age of

25.Religious beliefs influence business

practices.

Social FactorsAgriculture is the main occupation of the

majority of the population.

Social FactorsReligion statistics of India:

% of popuation Hindus (80.5%)

Muslims (13.4%)

Christians (2.3%)

Sikhs (1.9%)

Buddhists (0.8%)

Jains (0.4%)

Others (0.6%)

Religion not stated (0.1%)

Technological FactorsServed with both 3G & 4G services.Good service providers in IT sector.Big market in mobile sector.3 million technical and scientific

professionals.TRAI.

Legal FactorsTaxation policies encouraging FDI.Fair, equitable and transparent judicial

system.Labour laws.

Legal Factors

Environmental FactorsDisproportion in vulnerability between

developed & developing nations.Sourced 34% of energy from renewable

sources.Environment Protection Act, 1986.The Water Act,1974

TOURISM• 7% of GDP.• Visa extended to

43 countries from 12.

• Biometric data collection method.

• Diverse tourism destinations.

INVESTMENT OPPORTUNITY:• Transportation

and Accommodations.

• Wellness tourism.• Eco-tourism.• Fairs & festivals.• Small scale

industries.

TOURISM SECTOR

AUTOMOBILES• 10% of GDP.• Opened up

International markets.

• 18% exports.

INVESTMENT OPPORTUNITY:

automobile SECTOR

AGRICULTURAL SECTOR:• 13.7% of GDP.• 2nd largest

producer and exporter.

INVESTMENT OPPORTUNITY:

-Organic Farming-Horticulture.-Cold Storage.

-Educating farmers.

AGRICULTURAL SECTOR

30

TEXTILESECTOR • Each state has

it’s unique style & fabric.

• 5% of India’s GDP.

INVESTMENT OPPORTUNITY:-Manufacturing

outlets.-Manufacturing

technical textiles.Eg.:Buildtech,

Packtech, Sparttech, etc.

TEXTILE SECTOR

31

TECHNOLOGY & SOFTWARE SECTOR• Largest pool of

software engineers.

• Developing infrastructure.

• Metro cities equipped with IT hubs.

INVESTMENT OPPORTUNITY:

-Outsourcing B2B solutions.

-Digital India.-Innovation.-Ease to do business.

TECHNOLOGY & SOFTWARE SECTOR

32

OTHER BUSINESS OPPORTUNITIESRecycling business.Healthcare sector.Ayurveda & traditional medicine.Franchising.Renewable energy resources.