Enterprises direct from other countries and the Indian economy

Type :

Term papers

Pages :

25 pages

Format :

.doc

Published date :

05/09/2009

Category :

Business & market

Sub category :

Business strategy

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Summary :

Foreign control
Globalization: restructuring the economy
1. Pre-globalization period
2. Seeds of globalization
3. The big leap
Studies on the structure and control in the corporate sector
List of top internationally controlled companies operating in India
The Indian economy
1. India: The promise of growth
2. External sector
3. Mncs Happy Operating In India, 61% in black
Sectoral overview
1. Agriculture
2. Manufacturing
3. Services
Policy regarding foreign investment
Other relaxation's
Findings

Abstract

The notion of control implies the ability to direct an enterprise and determine its strategy. This ability can be exercised by an investor with a majority shareholding (more than 50%). The aggregate "nationally-controlled enterprises" includes enterprises controlled by the reporting economy and enterprises under multiple minority ownership. The latter have two or more shareholders (foreign or of the reporting economy), each owning between 10% and 50% of the shares. It is important to bear in mind that the comparisons are made between enterprises of relatively small (nationally controlled)and much larger (foreign-controlled) average size and that there may be certain activities where the average size of an enterprise plays an important part in determining productivity, due to a minimum efficient scales of production. Furthermore, most foreign-controlled enterprises are believed to be owned by multinationals or groups, whereas this is less likely to be the case for nationally-controlled enterprises. High productivity rates may be attributable to the individual national economic framework; for example, low corporate tax rates could lead to a high level of transfer-pricing. The calculations presented in this Statistics in Focus should therefore be treated with caution.