Invest in India
In recent years FDI outflows from emerging economies such as India and China have become quite prominent in the global context. MNCs in these countries do not have the kind of competitive ownership advantage say, quality, technology etc in the global context. Their global expansion through FDI is driven by the motivation to establish a global footprint and access to technology and resources.
FDI outflows from India are quite different from East Asian economies both structurally and inter temporally. FDI outflows from India have accelerated only in the last decade post liberalization while those from East Asia have been taking place for more than 20 years. Government policies in India as well as strong domestic growth are some of the key factors which have given confidence to Indian firms to pursue acquisitions abroad through the FDI route.
A majority of India's outbound FDI flows has been as a consequence of a quest for raw materials since India is a raw material scarce country. For example, the Pharmaceutical sector has gone on an acquisition spree mainly for IP and access to markets including distribution networks.