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What aspects do foreign investors/companies need to consider when doing business in India?

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What aspects do foreign investors/companies need to consider when doing business in India?

Posted On February 2016

For foreign investors doing business in India, it is vital to cultivate a basic understanding of local customs to remain effective in meeting business goals. There are two aspects which need to be taken into consideration. First, honor and shame play a more important role in India than they do in the West. For example, In the event of unconstructive management feedback, an Indian employee is more likely to feel dishonored and shamed than the average Western employee. Second, in comparison to a linear approach (following a step-by-step process to achieve goals by a certain date) usually used by Western business people, India personnel may prefer a more indirect and holistic method for their work, which can be understood as a non-linear approach to work. In this approach, personnel explore their relationship with a web of factors that impact a process or goal. Therefore, foreign investors may sometimes feel locals are unresponsive or disinterested in the business goals.

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