IIM Indore, Wharton moot value model to lure firms leaving China to India

A research paper by the two looks at why these companies are opting for destinations like Vietnam and Taiwan instead, and what could India do about it

Current Affairs : When organizations across segments are either leaving or pondering to leave China, India must put resources into strategy and organization, framework, legitimate framework and execution to take advantage of the mass migration, an examination paper recommends.

Titled ‘FDI Value Proposition Framework: Six intercessions to draw in MNCs to India’, the paper sees why organizations are settling on goals like Vietnam and Taiwan when leaving China, and what could India do about it. Prashant Salwan, educator of methodology and global business, just as director of official instruction at Indian Institute of Management (IIM) Indore, is the lead scientist and fundamental creator the paper. It has been co-wrote by Yorum Wind, teacher of the executives, Wharton School, University of Pennsylvania and evaluated by Amlendu Dubey, employee at Indian Institute of Technology (IIT) Delhi.

“As organizations began leaving China, Indian approach creators were very energetic that they would come to India. However, tragically, that wasn’t the situation. Nomura Group Study found that in 2019, out of the fifty-six organizations which moved their creation out of China, just three of these put resources into India; while 26 went to Vietnam, 11 to Taiwan, and 08 to Thailand. In April 2020, Nikkei noticed that out of the 1,000 firms which were intending to leave China and put resources into Asian nations, just 300 of them were truly considering putting resources into India,” the paper states.Continue Reading

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