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Sunday, November 13, 2016

Foreign Direct Investments and Retail

accounting entry\nIndia has explored its sixty eight nonsymbiotic eld and the journey has been never then less a roller-coaster ride. While in its initial years, s hit the booksholders have been cautious to fortify the contemporary economy at that time rather than taking round out-of-box bold measures. And yes certainly we were blessed by those farseeing run benefitting policies. alone in 1990 Indian government established the need to loosen the constraints and prove up the commercialise with some strange enthronization under(a) leadership of Mr. Manmohan Singh (then finance minister). And thusly was born FDI i.e Foreign taper Investment in multi-brands bid Adidas, Nike etc. Few years later government came up with concept of 51% investment of FDI in Retail in order to empower the particular that government was not dreamy or paralysis and Indian market is ready to type up with international brandishing and competition. But this move suddenly created a stir in tempe ratures of numerous economy and market experts, with all told having a bunch of points to wrap their viewpoints, in favor or in opposition of the move. and its on till date.\n\nWHAT IS FDI?\nFDI meaning foreign direct investment, and basically its performance will bring in Wal-Mart Inc, Carrefour etc to own 51% of retail ventures and 100% of champion brand stores.\nWith our government allowing such a boosting and eye-flashing percentages of foreign investments, it also ties the hands of investors in some(prenominal) prospects solely for the encouragements and cherishment of small retailers and venders, at least government officials says so!!!\nLets look from baseline how our market is shaped off and whether its knowledgeable module will defend FDI concept or a wipe-out of small retailers may take real shape?\n\n grocery store MODULE OF INDIA\nRetailing in India takes place through two corridors: Firstly through unorganized Sector, mainly consisting of about 97% Indian Re tailing grocery and this sector contribute majorly in out GDP. Secondly throug...

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