Doing Business in India Essay

Submitted By Brook1Bre2
Words: 1074
Pages: 5

Business Doing business in India is a great idea for a MEGA International because of the emerging markets in its major industries. Since its independence from Great Britain India has become an attractive place for foreign investments. With over a billion people in its population, India labor market consists of about 467 million people employed the second largest after China. The current unemployment rate is 3.8% which is much better that the US and many other countries. The declining unemployment rate is due to the increase in India’s exporting industries. The Indian textile industry is one of the oldest and most significant industries in the country. It accounts for around 4 percent of the gross domestic product (GDP), 14 percent of industrial production and over 13 percent of the country's total export earnings. In fact, it is one of the largest foreign exchange earning sectors in the country. Moreover, it provides employment to over 35 million people. The Indian textile industry is estimated to be around $52 billion US and is likely to reach $115 billion US by 2012 (Sheth, N 2008). The second major industry for India is its chemical industry. India chemical industry is one of the oldest domestic industries and it currently produces nearly 70,000 commercial products, from cosmetics and toiletries, to plastics and pesticides. The country is the 13th largest exporter of pesticides and disinfectants globally. In terms of volume, it figures 12th largest producer of chemicals. The petrochemical, agrochemical, and pharmaceutical industries are some of the fastest growing sectors in the Indian economy. The estimated worth of chemical industry is $28 billion and it accounts for 12.5 percent of the total industrial production of India and 16.2 percent of the total exports. The third growth producing industry in India is its food processing industry. India food processing is one of the key food producers in the world, with the second largest arable land area. It is the largest producer of milk, pulses, sugarcane and tea in the world and the second largest producer of wheat, rice, fruits and vegetables. The Indian food industry is estimated to be worth over 70 billion US and employs about 45 million people directly and indirectly (Gavan, S. S. 2012). The last important growth producing industry in India is its software industry. The software has brought about a tremendous success for the emerging economy. India software industry symbolizes the country’s strength as a knowledge base economy. It has witnessed a phenomenal growth in last decade. The Indian Software Industry has grown from a mere $150 million US in the 1990s to a staggering $ 5.7 billion US in 2000. It is expected that the India Software Industry will generate a total employment of around four million people, which accounts for 7 per cent of India's total GDP, by 2010.

Trade Unions India trade union is broken down into three phrase first phase. The first phrase began in 1850- 1900, during this phase the inception of trade unions took place. The working and living conditions during this phrase were very poor. The second phase (1900 to 1946) defines the development of organized trade unions and political movements of the working class. During this phrase the “All India Trade Union Congress” (AITUC) and the “All India Trade Union Federation (AITUF) were form to create better working condition for employees.
The third phase began with the emergence of independent India (in 1947). India’s trade union is good for any Mega international companies because their attitude towards collective bargaining tends to vary in a positive way to get the better outcome for both employees and employer. At present there are twelve Central Trade Union Organizations in India. 1. All India Trade Union Congress (AITUC)

2. Bharatiya Mazdoor Sangh (BMS)

3. Centre of Indian Trade Unions (CITU)

4. Hind Mazdoor Kisan Panchayat (HMKP)

5. Hind Mazdoor Sabha (HMS)