CASE STUDY: India Emerging Markets Flashcards
(10 cards)
Intro
My case study is about India, which is a BRICS country that has been doing well in recent years.
The economy of India is continuing to grow at over 7% GDP per year which makes the Indian economy one of the fastest growing on earth
How: smartphone
One success story that highlights the emerging growth in India can be seen in the recent launch of the FREEDOM 251 SMARTPHONE.
This smartphone only costs £2.60
And within TWO DAYS of release, over 30 000 units were sold and the official website through which the phones could be bought, collapsed for 24 HOURS
How: rise in professional and service sector and decline in manufacturing
There is a rise in the professional service sector on a decline the manufacturing sector as it felt it lowest level in two years and 2014
The service sector contributed 57% of its GDP in 2013
IT services of grown particularly quickly. The large number of English speaking workers can be used in IT outsourcing like call centres and software services.
How: engineering
Engineering and pharmaceuticals are currently a big growth areas within the Indian economy and are set to expand over the next 10 years
How: cars
Industry makes up 26% of India’s GDP growth areas such as automobile manufacturing have made India’s auto industry one of the largest in the world with annual production of 21.48 million vehicles
Why: economic liberalisation
Until 1990 the Soviet Union was in India’s main trading partner
The fall of the communism across to Europe caused an economic crisis in India which led an economic liberation in 1991
Why: lack of infrastructure
Many rural poor people still lack the most basic amenities such as running water and access to electricity and sewage services
In 2012 India was ranked 89th out of 142 countries for its infrastructure
Why: growing middle class
The number of middle-class people in India has been increasing quickly. There was over 267 million people by 2016 because of this development of medical facilities and infrastructures needed and an increase in foreign investment
Why: low educational standards
Improvements in education are often seen as one of the biggest factors in fuelling the continued economic development of the country
2011 adult literacy rates in India stand at 74%
India has made excellent progress in increasing primary education attendance up to 93% in 2011
which led to a total of 69% of children will attend secondary school, 25% of them will then stay onto university and tertiary education
However, some sources note that over 50% of women and are still illiterate
Conclusion
India’s emerging market extremely successful
By 2050 India’s projected GDP figures are to be 3rd largest worldwide
