Fdi in Automobile Sector in India

Topics: Macroeconomics, Investment, Foreign direct investment Pages: 74 (14561 words) Published: January 12, 2013
A study on the foreign direct investment in India with reference to retail sector

The study aims at providing the overall view of the Foreign Direct Investment into India, its classifications, trends and importance of FDI in pre and post reform era. Wherein, the post economic reform shows an increase in the growth of FDI.It emphasises on the importance of FDI in retail sector.country - wise FDI inflows into the country are carefully observed in order to arrive at appropriate conclusions in order to understand the trend of FDI inflows into Indian economy.

Literature review involves the analysis of various articles and research papers which were done on the similar lines of study to get an insight of the FDI and its performance in various sectors and also to understand the research gap of the study. The articles and the research papers reviewed talks about the importance of FDI in retail sector. They also give a comparitive study of FDI in India with China which is helpful in making comparisons about the inflow of FDI from various countries indicating the financial stability of the country which is the main reason in attracting the foreign investors. In many articles, factors affecting the inflow of FDI in different countries for better understanding of the aspects which are preventing the growth of FDI.

Research design gives a brief summary about the over all research carried out. It defines the problem and states the importance of FDI in India in various sectors referring to the country‟s economic growth.A brief description of research methodology talks about the type of data collected, its sources and various statistical tools used in analysis. Limitations are some of the factors affecting the study which are also discussed.

Research design is then followed by the Analysis and interpretation of the data collected. Theoretical analysis of various determinants of FDI in India is made in order to understand the effects of determinants in the inflows of FDI in India. St Joseph‟s College Of Commerce

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A study on the foreign direct investment in India with reference to retail sector

Trend analysis is used to forecast the FDI inflows from 2011 to 2016 with the data available from 2006 to 2010. The third objective being to study the recent trends in FDI in retail sector, various articles from newspaper and journal is been analyzed to understand the advantages and dis advantages of allowing FDI in multi brand retail sector.

Findings mainly reveal the facts which are arrived at from the study it includes the trend analysis of retail FDI from 2006 to 2010, the forecasted retail FDI had a positive trend which shows that there will be a increase in FDI inflows in to India in coming years. Theoretical analysis of determinants of FDI help us to understand determinants of FDI in Indian context. In another theoretical study to learn the recent trends in FDI in India it was found that it had both positive as well as negative impact on the economy like unemployment, high prices monopoly of foreign retailers etc.

St Joseph‟s College Of Commerce

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A study on the foreign direct investment in India with reference to retail sector

Foreign Direct Investment, or FDI, is a type of investment that involves the injection of foreign funds into an enterprise that operates in a different country of origin from the investor. Investors are granted management and voting rights if the level of ownership is greater than or equal to 10% of ordinary shares. Shares ownership amounting to less than the stated amount is termed portfolio investment and is not categorized as FDI. (Source: Economic watch) FDI does not include foreign investments in stock markets. Instead, FDI refers more specifically to the investment of foreign assets into domestic goods and services.

Classifications of Foreign Direct Investment
FDIs can be classified as; Inward FDI and Outward FDI, depending on...
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