Professor K. Sudhir discusses India’s move to expand the presence of foreign retailers to modernize the country’s retail sector and boost economic growth
India’s federal government recently announced a number of economic reforms aimed at attracting foreign direct investment (FDI) to boost the country’s economy, including further opening its retail sector to allow multi-brand retail operations with foreign ownership of up to 51%. Despite political posturing against the policy, it passed a vote in both houses of parliament. In the following commentary, K. Sudhir, the James L. Frank ’32 Professor of Private Enterprise and Management, professor of marketing, and director of the China India Insights Program, says the move will benefit India’s economy in a number of ways, from improving infrastructure and regulatory environments to the acquisition of technological knowledge.
[This article has been reproduced with permission from Qn, a publication of the Yale School of Management http://qn.som.yale.edu]