India is making a transition from an underdeveloped country to a fast developing country. The economy has taken off in last 20 years and GDP growth has averaged over 7% in last ten years. It is expected to have the third biggest economy by 2035. Currently it is world’s fourth largest economy, behind only US, China and European Union. India is still a mixed economy with half of its workers depend on agricultural. However, the government of India has started to stress on manufacturing while still continuing to do very well in outsourcing and a cheap source of imports. It has a low cost of living, and continues to have a strong English speaking educated work force. It has a populations of 1.3 billion people who come from very diverse background. It is also a middle class of 250 million people, making it a very attractive consumer market. 64% of India’s population is under 25 years of age, making it one of the youngest population in the world.
India, like many other developing countries, is facing many challenges (Aarati and Lokeshwarri 2015). In the recent past, U.S. monetary policy has affected India’s economy. When the Federal Reserve began its quantitative easing program, the lower interest rates strengthened the value of the dollar. This caused the value of India’s rupee to fall to almost 70 RS to USD. The resulting 9.6 percent inflation forced India’s central bank to raise its interest rates. US has recently become India’s key ally. India’s foreign exchange has to US $ 400 billion.
India’s GDP is expected to reach US $ 6 Trillion and its consumption triple to US $ 3 trillion by 2025 making it one of the most attractive destination for business.
Keywords: consumer market, culture, developing country, India, labor force, workforce.
JEL Classification: M0.
Cite as: Srivastava, Rajesh V. (2019). How To Do India Is An Enigma: A In-Depth Look Into Indian Workers, Consumers And Its Business Culture. SocioEconomic Challenges, 3(2), 100-109. http://doi.org/10.21272/sec.3(2).100-109.2019.