India Marketing

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India marketing scenario is undergoing a phenomenal change over the last few years. This is also positively affecting the economy of the country which in fact has led to high standard of living, high per capita income and other aspects of economic development.

Factors regarding growth of Indian marketing

The liberalization policies undertaken by the Indian government in the 1990s was perhaps one of the major factors which led to the development and growth of the marketing scenario in the country. Due to the liberalization policies, foreign companies started coming in, there was an overall increase in the demand and supply chains and various industrial segments were introduced into the market. This gave a real boost to the economy of India.

In addition to this, there were some other factors too which have led to the favorable growth of Indian marketing. Some of these are globalization, foreign investment, growth of customer base and the improvement in the lifestyle of the people. India is the 12th largest economy in the world in terms of market exchange.

The present Indian marketing scenario

The current scenario of the Indian market looks bright. It is no longer a sellers market and over the years, it has become one of the largest consumer markets in the world. Today, the market of India is based on the perfect competition principle with the presence of both buyers and sellers. The market fluctuations are dependant on the demand- supply chains and there is very little government intervention.

The significant growth of the Indian economy has also put a positive impact on the market. The yearly average growth of the Gross Domestic Product (GDP) ranges from 6 to 7 %. According to the reports by the World Bank, the Indian market is expected to grow at around 8 % in the year 2010.

To complement the economic growth, the retail marketing sector in India is also on its high. It contributes around 10 % of the overall GDP and generates around 8 % of the overall employment in the country. Over the years, the retail marketing sector is expected to rise by around 25 % due to improvement in per capita income, better lifestyle, and better demographic patterns. According to the experts, the retail and marketing sector in India will amount to around US$ 175- 200 billion by the year 2016.

India marketing and foreign market

The vast and highly competitive consumer market of India has also attracted global business giants and multi national companies to set up bases here. More and more foreign companies are investing in the India capital market to get better profits. The amount of the foreign institutional investments (FIIs) has already become US$ 10 billion and is expected to rise further. The Foreign direct investments (FDI) have also witnessed a phenomenal growth of around 85.1 % to US$ 46.5 billion from US$ 25.1 billion.

The equity market in India ranks as the third in South East Asia after China and Hong Kong.

With more and more companies setting bases and new sectors entering the market, the Indian marketing scene really looks bright for the future.

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