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International Business Opportunities In India: Guide For Foreign Investors

Business India

India is one of the largest and fastest developing economies in the world, with a growth rate of 7.5%. With its enormous market base, India is rising as a preferred destination for global investors. Additionally, the Indian government has made numerous efforts to facilitate easy market entry and promote global collaborations. This has also pushed the country up in the list of most attractive economies in the world. This guide aims to highlight various international business opportunities in India for global investors.

What Makes India A Hotspot For International Business Opportunities

The government has introduced reforms such as Goods and Services Tax, Digital India, Land Acquisition, and Tech Parks. These reforms have led to positive economic and infrastructural growth in India. It has also allowed more local businesses to mushroom and foreign entities to enter the market. In addition to these reforms, the increase in international business opportunities in India has stemmed from:

Developing Market

India is the second most populated country, with 1.37 billion people. The country also houses a large section of High Net Worth Individuals. With a steady increase in internet users and better connectivity, the Indian consumer base is on the rise.

Additionally, this market base is predicted to double over the next couple of decades. The per capita growth of the Indian population has also led to an increase in the purchasing abilities of Indians. More consumers are looking for better quality products. This has attracted global investors to fund many manufacturing and service industries in the country.

Technological Disruption

India is also rapidly evolving on the technology spectrum. Technologies like Artificial Intelligence and Blockchain have transformed many Indian industries. The development of technology infrastructure in the country has also led to an increase in consumers with smart devices. A cashless and digital India is also pushing a majority of consumers towards eCommerce.

A large assortment of businesses is opting for hybrid business models to connect with a wider customer base. The focus has also shifted towards better customer services and connectivity. These changes are making India an attractive investment option for global investors. Companies from Europe, APAC region, and North America are scoping the international business opportunities in India to leverage the technology revolution in the country.

Affordable Human Capital

The country has a vast pool of skilled workers and experienced professionals. Also, India is considered to have one of the most refined and dedicated workforces globally. More companies are looking to establish their base in the country due to the affordable human capital available.

Manufacturing plants, tech support centers, innovation parks, and research centers allow global enterprises to outsource their requirements. For instance, companies like Uber, Amazon, DHL, etc. have gained a large market base by acquiring high-quality human capital in India.

Entry Regulations Making Way For International Business Opportunities in India

India has become a more welcoming market for global companies. More foreign startups are now able to penetrate its gigantic market due to the lowered entry restrictions. The Indian government is making many strides to invite global investors with 100 percent FDI in numerous industries.

Businesses that wish to expand globally can also leverage the various tax benefits and land acquisition ease extended by the government to set up their base.


The manufacturing sector in the country is developing. State governments in India are offering lucrative opportunities to foreign businesses to set up their operations. Customizable business parks, cheaper real estate, intellectual property protection, and various other benefits are causing a shift in investment to the manufacturing sector in India.

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International Business Opportunities In India

While there are numerous international business opportunities in India available for the global investor, let’s have a look at the trending sectors in India with the most growth potential:

FinTech Sector

The Non-Banking Financial Company – NBFC sector in India has witnessed a continuous growth rate. With 100 percent FDI allowed in the sector and high profitability scope, a large number of investors have invested or are eyeing the sector to invest in India. NBFCs have attracted many Chinese investors in the past and continue to be an attractive business opportunity in India. 

EdTech Sector in India

The education technology or EdTech sector in India saw a sudden boom. The entry of companies like BYJUs, Pariksha, and Unacademy has disrupted the education sector. The recent shift to digital classrooms in India due to the coronavirus pandemic has also contributed to the sector’s growth. India has the second-highest number of EdTech companies in the world.

The country constitutes 10% of the global EdTech sector followed by Brazil, the UK, and China. This makes it one of the best international business opportunities in India for overseas investors.

International Business Opportunities In India In Gaming 

With more people staying at their homes, gaming has become one of the most attractive business opportunities. E-sport companies like JetSynthesys, MPL, and Nazara have revolutionized the gaming sector in India. Though the sector is in its nascent stage, the sector is still witnessing a tremendous boom. This is because of the large population that has smart devices, shifting towards mobile gaming. The e-sport market in India is also expected to generate a revenue of INR 11,900 crore by the financial year 2023.  

HealthTech Sector

One of the best international business opportunities in India is the health technology or Healthtech sector. With AI, Machine Learning, and other digital means making their way to the health industry, there has been a rise in digital healthcare platforms for medical, consultation, and counseling needs. The current scenario of COVID-19 pandemic and social distancing norms has also led to an increase in the demand of these startups for at-home services and product delivery.

Over the Top (OTT) Sector

The advent of Netflix, Amazon Prime, and Disney+, coupled with better internet access has led to an increase in the popularity of streaming platforms in India. This has led to an increase in home-grown OTT platforms like Hotstar, AltBalaji, Zee5, Voot, etc., with many such platforms catering to the multi-lingual entertainment needs of the Indian public. The sector is also predicted to witness multiplication over the next few years, making it a viable candidate for global investors.

How PEOs Assist Global Investors

Professional Employment Organizations (PEOs) like Horizons assist global investors in identifying global business opportunities. PEOs also connect investors with local experts and allow them to hire remote employees who can pro-actively manage their investments without establishing a local entity. With PEOs, global investors can not only manage their HR requirements in a foreign market but also assess the right channels of market entry and profitable investments.