Tuesday, July 19, 2005

Investors Rate India vs. China

Survey of multinational companies predicts more India investments likely, but companies prefer China for foreign direct investment.July 18, 2005

Almost 70 percent of the multinational companies (MNCs) participating in the first CII-A. T. Kearney MNC Survey 2005 said there is a high likelihood they would make additional medium and long-term investments in India.

The investment outlook in the medium term does not appear to be dictated by the current investment performance in India. Most companies indicated a medium to high likelihood of investment, regardless of performance.

In any case, three out of four MNCs state their performance in India has met or exceeded internal targets and expectations. Tailoring products and prices to suit Indian tastes, appointing local leadership, and indigenization are key factors for success in India, in their experience.

Full
Survey of multinational companies predicts more India investments likely, but companies prefer China for foreign direct investment.July 18, 2005

Almost 70 percent of the multinational companies (MNCs) participating in the first CII-A. T. Kearney MNC Survey 2005 said there is a high likelihood they would make additional medium and long-term investments in India.

The investment outlook in the medium term does not appear to be dictated by the current investment performance in India. Most companies indicated a medium to high likelihood of investment, regardless of performance.

In any case, three out of four MNCs state their performance in India has met or exceeded internal targets and expectations. Tailoring products and prices to suit Indian tastes, appointing local leadership, and indigenization are key factors for success in India, in their experience.

Full