foreign direct investment (fdi)

FOREIGN DIRECT INVESTMENT (FDI)

Presented By:Mr. Ganesh Pawar.

Mr. Amit Jain.

Mr. Mayur Kulkarni.

Ms. Archana Patil.

Ms. Rupali Magar.

WHAT IS FDI??

51% stake of foreign equity and 49% stake of IndiaFDI is a major source of external finance.Growing economic globalization.Provide a firm with new markets and marketing channels, cheaper production facilities, access to new technology, products, skills and financing.Increased competition.

FDI IN INDIA

Advantages:-

1. Economic growth

2. Better employment opportunities

3. Better education

4. Supply increases

5. Industrial developmentDisadvantages:-

1. Domestic market suffers

2. No guarantee of reasonable price

3. Lot of procedures and products may not be in tune with Indian preferences

4. Risk

5. Inflation

WHAT CASE SAYS??

Announcement of Govt. for FDI.Households will have to bear the burden of high charges The government permitting the FDI in multi brandWallmart is aggressive for open doors of india in FDIQuasi-federal structureContributing growth in output and employement.FDI leads to displacement of traditional retailors.Private airlines in india from murky source.PSU will bring revenue bust the equity market.Tackling this problem requires strong decisive leadership.

Positive and Negative Rumours

PROBLEM IDENTIFICATION(MAJOR)

51% on the share of foreign equity causes the capture of Indian retail sector that leads to displacement of traditional retailers.Opposition from local market being federal structure.Govt. lacks strong decisive leadership which is responsible for mismanaged economic governance.

PROBLEM IDENTIFICATION(MINOR)

Slowdown in manufacturing .Perception of FDI is not clear. No proper rumours.

MULTIPLE ALTERNATIVE SOLUTIONS

Less margin but with quality for entrepreneurs.Apply ISO system.Govt. should think on the domestic reforms and reduce supply chain.Govt. must have strong, decisive leadership which are useful for the decisions regarding economic growth.Govt. should provide right price to the agricultural products.What is wrong in consumer getting a competitive price? Producers, too, will get more remunerative prices as there will be more buyer, and let the middleman face competition.If FDI is permitted in retail, the middleman will be eliminated.

BEST SOLUTION WITH PLAN OF ACTION

Government should design development and implement separate agency. If we have open up many sectors to FDI, in all these sectors quality control must be improved. And domestic industries has survived.

CONCLUSION

In democracy, it is said that participation of public is consider. We have parliamentary system of government where opposition also participated in Lok-Sabha, Rajya-sabha. But sad to say our ruling govt. not considered opposition views but taken decision one-sided.

Before Propose Reduce Oppose.

THANK

YOU