Is Foreign Direct Investment (FDI) in retail sector good for India?

Hi friends.

As per my opinion, everything has pros and cons.

So positive impact of FDI:

A) It will surely boost the economy.
B) it will generate the employment but only in MNC;s because the investment will not be done in the unorganized sectors.
C) It will make the India a huge market in terms in every feild.

Cons-.

A) Generate more unemployment because it leads the downfall of unorganized companies.
B) threat to startups because majority investment will be done in established companies.
C) India market will lose its value.

Suggestion:

A) some part of FDI should be in unorganized sector and startups.

Hello everyone. FDI ie. Foreign direct investment is investing in a country by the companies of foreign country. In my opinion, FDI in retail sector is beneficial. As it increases the GDP of our country, give more employment opportunities to people of the country, make the market more competitive so the companies of our country also make its performance better, give consumers more choices from all over the world at competitive prices, raise the standard of living of people.

Yes, I think that foreign direct investment is good of India because it will give rise to a competitive environment in the country, also the employment will increase. The local small-scale industries will be affected but they will be inspired to use new technologies and perform better in order to give a tough competition to FDI.

According to me, fdi is advantageous for our country as it provides job opportunities. Create a healthy competition as a result people get more varieties of product at cheaper price. It also helps in increasing foreign reserved which we can use in payment of import goods.

Yes, it is good for India because the developed country connection to India will increase, much product of the developed country provided in cheap price so it is a good thing for the local costumer our country.

May be or may be not. If we look from customer's and Government's point of view than Yes because a consumer can got a lot many choices and government will earn revenue in terms of taxes.

But a local retailer may not be benefited because it will decrease it's market share.

Hello guys,

FDI means a company or a corporation which is established outside India is investing in Indian market by forming a joint venture company, wholly owned subsidiary company or otherwise.

FDI in retail sector has both advantage and disadvantage.

The advantages are available mostly to the government and consumers.

High sales mean high revenues and accordingly to the government will get high taxes from the foreign company. Consumers can select from a large variety of products and also have the advantage to buy cheap products.

The existing large scale industries of India can cope up with the competition from a foreign company, but our small-scale industries may find it difficult to compete.

Every coin has 2 sides. So if we talk from customer's point of view, FDI in retail sector will be beneficial as we will have varieties of products with good quality.

And Talking from local seller's point of view, FDI will be a hindrance to our business as there will be stiff competition from foreign companies which can lead to falling in revenue for our business.

And lastly, talking about impact on job opportunities in India due to FDI, so at present India is doing pretty well in terms of maintaining relations with foreign countries, then be it importing electronic goods from China, importing crude oil from Saudi Arabia etc but unemployment rate in India still remains unaffected at 5.7 and now it has been found that in 2018 it will increase to 5.80.

So According to me, FDI in retail sector should be prepared less, as it will hamper one of the initiatives taken by Prime Minister "Make In India". In case of FDI, mostly foreign companies will prefer to employ their own people and make products in their countries and selling it to Indians earning huge amounts of profit.

Given the topic to discuss on FDI, the first point I would throw light upon is international relationships. India has a long history of foreign investments dating back to the establishment of East India Company in Kolkata. After that the tie-ups of MNC's with Indian workforce to set up a vast chain of foreign companies in the Indian subcontinent. All this have time and again proved how foreign trades, investments, and establishments in India has always catalyzed Indian workforce giving rise to innumerable employment opportunities. Furthermore, cash flow through foreign investment strengthens the Indian economy, boosting the India economic framework. Foreign investments strengthen international relationships which results in international tie-ups, MOU's between these countries. Recently, in the Ahmedabad-Mumbai Bullet Train project, Japan has funded 88000crore. These are direct results of FDI channelizing through various sectors since ages in India. Funneling down to impact on the retail sector, FDI however, has some negative effects on the industries with a small turnover in India and indigenous production items. The surplus inflow of foreign goods does impact retail industry resulting in poor performance of indigenous goods. Hence FDI though beneficial to Indian economy in lot many ways should be strategically implemented in India keeping in mind its impact on every Indian industry.

As much I know about FDI, it will completely affect our country in both terms, due to FDI job opportunities will be generated, govt will get tax, due to that company economy will be a move towards growth. Consumers will get a good quality product like healthy living. In the era of globalization, we should welcome FDI. If we welcome something, so someone will welcome us.