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Case Study of Fdi in India vs China

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Case Study of Fdi in India vs China
A project ReportOnCASE STUDY OF FDI IN INDIA VS CHINASubmitted toMrs. Smita KashiramkaByRamya Singh2010B3A2613PIn Fulfilment ofStudy oriented ProjectBIRLA INSTITUTE OF TECHNOLOGY AND SCIENCE, PILANI30th November 2012 | | | | | |

| Abstract The report begins with the FDI definition and FDI reference with respect to India and its sect-oral and regional comparisons. This report undertakes a comparative analysis of the foreign direct investment (FDI) flowing from the multinational corporations (MNCs) into China and India. Examining the prevailing investment climate to account for the differences in FDI between the two countries and finally suggest some recommendations for India to achieve higher FDI. A review of Mckinsey report on India’s economic performance and growth potential has been done at the end of the report.
Acknowledgements
A Study oriented project is a golden opportunity for learning and self development. I consider myself very lucky and honoured to have been able to get this opportunity of doing such a project. My grateful thanks to Mrs. Smita Kashiramka mam who in spite of being extraordinarily busy with her duties, took time out to hear, guide and keep me on the correct path. I do not know where I would have been without her.

Ramya Singh ID- 2010B3A2613P

Table of Contents- 1. Introduction 2.1. FDI definition 2.2. Benefits of FDI 2.3. FII’s 2. FDI Routes to India 3.4. Forbidden territories 3.5. Forms of FDI Investment 3.6. Automatic Route 3.7. Government approved Route 3. Amendments in FDI and Industrial Policies 4.8. FEMA 4.9. FIIA 4. Status of FDI in India 5. Round Tripping of FDI to China 6. Directional comparison of FDI in India and China 7. Recommendations for improving FDI to India 8.


References: 1) Bajpai N and Dasgupta N,"Multinational Companies and Foreign Direct Investment in China and India”, Centre on Globalization and Sustainable Development (CGSD) Working Paper No. 2 2) Wei W,"China and India: Any difference in their FDI performances?, Journal of Asian Economics, Vol-16 719–736(2005) 3) Bensidoun I , Lemoine F, "The integration of China and India into the world economy: a comparison”, The European Journal of Comparative Economics,Vol- . 6, n.1, pp. 131-155 4)http://www.investinginindia.in/ - FDI Website. 5)M. Shamim Ansari, M. Ranga,"India 's Foreign Direct Investment : Current Status,Issues,and Policy Recommendations",UTMS Journal of Economics, Vol. 1, No. 2, pp. 1-16, 2010 6)Bajpai, N. and Dasgupta, N., “What Constitutes Foreign Direct Investment: Comparison of India and China”, Columbia Earth Institute, Columbia University, Working Paper, April. 7)Agosin, M. and R. Mayer (2000). “Foreign investment in Developing Countries: Does it Crowd in Domestic Investment?” Discussion Paper No.146, UNCTAD, Geneva
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