This posting addresses opening a business in India.
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Scenario: ABC computer manufacturing company has been expanding nationally over the last 10 years and the CEO has recently decided that they would like to take their operations internationally. This plan is a major part of their annual strategic planning process. In today's market, the company feels that its best advantage would be to build a manufacturing plant in India. The CEO has requested that his senior management staff conduct a scanning of the environment to identify trends and forces. The objective is to gather information to create an assessment and analysis to present to the CEO.
What are some economic, social, environmental and technological factors the ABC manufacturing company should consider before opening an operation in India? Would you include any other factors? What analyses would you conduct?
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Solution Summary
The solution discusses the social, environmental and technological factors of opening a business in India. References are provided.
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Economic:
The main factor in this case is what ABC manufacturing is making. According to the case, the products don't state that they would be made in India and exported out, so it can be assumed that the CEO wants to expand in India and sell at least a portion of the goods and/or services in India. Management would therefore need to determine how the good would be expected to sell. If this is a product that is already in abundance in India, chances are that the plant would be more successful somewhere else. If this is a product that would add to the competitive market in India, then the plant would likely be a success. A strategic analysis should be performed of the demand and supply in India's economy for the specific good being ...
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