Why much importance is given to foreign industry invasion?

Question

Recently most of the foreign company"s were started Software companies in the Southern states in India.Is it a healthy sign for this country

Answer 1

Take the recent example of Enron which has shut down its operations in India. There is nothing wrong with foreign investment. It is, after all for the purpose of overall develpoment of the country but Enron came under fire because its power plant was a great disaster for India's fragile ecosystem - and was depriving thousands of villagers of their lands and houses -

So just think what would have happened if Enron Project went through successfully. It woudl have meant an American company makes billions of dollars in profit from an Indian consumer market (the people who would buy the power) and send the money back to America - and also, Indian villagers lose their livelihood - this is called Twice exploitation.

Naturally, not all foreign investments are welcome in India. That is why, we don't allow more than 50% stake in any major Indian service like transportation, shipping, airlines because a LOT OF MONEY is at stake.

Not only India, even the USA doesn't allow foreign countries to ride them - except the Japanese who dominate their automobiles market through cunning and low price forcing American car makers to shut down almost.

Foreign investment should be a win-win game for all. If A country earns $ bn in profit from B country, then B country should also make an adequate profit. We need something called trade balance for a good and healthy investor relationships.

Software investment in India is always welcome, because 1)they create jobs at a much larger scale than manufacturing - 2) they add value to India's knowledge base and soft power.

Answer 2

we should welcome the foreign country software companies. because unemployment problem is reduced. per capita income increased. there will be perfect competion with the indian industry. so there will be increase in the quality of products. technology upgradtion will be there

Answer 3

Because it is good to get frreely the goods rather to use our energy to get it ---- This is perhaps every citizen believes in India . It is not applicable to Other countries