Practicing Success
Practicing Success
CUET Preparation Today
Clamoring to enter India's red-hot retail sector, the world's largest chains, including WalMart Stores, Carrefour and Tesco, are seeking the best way to enter the country, despite a government ban on foreign direct investment in the market. Recent large investment by major Indian businesses, like Reliance Industries and Bharti Airtel, have increased the sense of urgency for foreign retailers..... Last week Bharti Airtel indicated that it was in talks with Wal-Mart, Carrefour and Tesco to set up a retailing joint venture .... India's retail sector is attractive not only because of its fast growth, but because family run street corner stores have 97% of the nation's business. But this industry trait is precisely why the government makes it hard for foreigners to enter the market. Politicians frequently argue that global retailers would destroy thousands of small local players and fledgling domestic chains. |
Due to globalisation, MNcs are outsourcing work to developing countries because: |
Most MNC are headed by people from developing countries like India The International Monetary Fund and World Trade Organisation makes it mandatory Labour is skilled Labour is cheaper in developing countries which will yield bigger profits for the MNcs |
Labour is cheaper in developing countries which will yield bigger profits for the MNcs |
The main reason for outsourcing work to developing countries is that labour is cheaper there. This is because developing countries generally have lower wages and fewer benefits than developed countries. As a result, MNcs can save money by outsourcing work to these countries. |
