From looking t their purchasing power to the back ground Of India and their employment status. India is a developing into an open market economy. Slightly less than half of the work force is in agriculture, but, services are the major source of economic growth, accounting for nearly two-thirds of Indian’s output with less than one-third of its labor force.
India has capitalized on its large educated English-speaking population to become a major exporter of information technology services, business outsourcing services, and software workers.Indian’s economic growth began slowing in 2011 because of a decline in investment, caused by high interest rates, rising inflation, and investor pessimism about the government’s commitment to further economic reforms and about the global situation. The second county that we also took into consideration was Turkey. They are mostly driven by industry and service sectors..
After Turkey experienced a severe financial crisis in 2001, Ankara adopted financial and fiscal reforms as part of an MIFF program.The reforms strengthened the country’s economic fundamentals and ushered in an era of strong growth averaging more than 6% annually until 2008. The third country that we looked at was China is one of the world’s largest exporters. China has always wanted to have economic security within their country. In 2014 by measuring purchasing power and on the basis that adjusts for the price differences, China in 2014 then stood to be the largest economy in the world then surpassing the US.
China have yet to receive more challenges in the years to come to challenge their economic rating.For example facilitating higher wage jobs for the middle class, and increasing the number of college graduates. Which will then reduce corruption and other economic crimes, which contains environmental damage related to the economy’s rapid transformation. India For India have done a break down and out it into a PEST Analysis. Political Environment- Taxes When it comes to the political environment India has a well-developed tax structure with clearly demarcated authority between Central and State Governments and local bodies.Central Government levies taxes on income (except tax on agricultural income, which the State Governments can levy), customs duties, central excise and service tax.
VAT), stamp duty, state excise, land revenue and profession tax are levied by the State Governments. Local bodies are empowered to levy tax on properties, utilities like water supply, drainage etc. Indian taxation system has undergone tremendous reforms during the last decade.
The tax rates have been rationalized and tax laws have been simplified resulting in better compliance, ease of tax payment and better enforcement.The process of rationalization of tax administration is ongoing in India. Economic Environment- Gross National product is the total alee of goods produced and services provided by India during one year, which is then equal to the gross domestic product plus the net income. Above have a chart of Indian’s gross national product where you can see clearly that through the 8 years that has been a significant increase in their gross national product. Social Environment- The rise in Indian’s ageing population is resulting in a considerable rise in pension costs and increase in the employment of older workers.
India has a population of more than 1. 2 billion people with about 0% between the ages of 15 and 65. Therefore, there are structures with percentages according to age. These structures contain varying flexibility, in education, work attitudes, income distribution. Technological Environment- India has one of the strongest IT sectors in the world and they are promoting IT development and sofaјare upgrades, because this is the case in India this will mean that there will be an increase in product development which also introduces fresh cost-cutting processes.Legal and Environmental- There has been an increase in the minimum wage ND the disability discrimination which has affected businesses in India.
When it comes to talking about the environmental factors there has been environmental pressure groups created, noise controls, regulations on waste control and disposal to help improve the environment. The Benefits of Lush Going to India It will reach out to wider amount of people and give people more awareness about the brand. It won’t rely on certain parts of the market. Because India is a foreign country it might give you the opportunity to gain profit where you can’t in other countries.