ros Cons of lorelgn ulrecL lnvesLmenL ln 8eLall 8uslness SecLor ln lndla

1be Jeclsloo of lul ls JecloteJ oot by qovetomeot tbot qlves lots of oJvootoqes ooJ JlsoJvootoqes to
bosloessmoo ooJ pobllc olso koow oboot fJl loboooJ ootboooJ fJl lo tetoll sloqlebtooJ ooJ moltl
btooJ ooJ lots mote
now lndln markeL ls open for fdi in retoi/ buslness secLor know all abouL forelgn dlrecL lnvesLmenL ln
lnbound and oubound and geL all legal servlces for fdl ln lndla wlLh compleLe law process and pollcy
lul (lorelgn ulrecL lnvesLmenL) glves faclllLy Lo made lnvesLmenLs Lo obLaln longLerm proflLs ln pro[ecLs
worklng ouLer surface of Lhe flnanclal sysLem of Lhe sponsor 1he lnvesLmenL ls made dlrecLly by forelgn
lnvesLor company or group of persons ls looklng for power dlrecL or have ma[or persuade ln excess of
Lhe forelgn venLures lL ls also a ma[or source of exLernal flnanclal back or you can also say LhaL Lhe
counLry can obLaln flnance from oLher rlcher counLrles 1he fdl ls noL only offer a forelgn caplLal and
funds buL also supply domesLlc counLrles wlLh a swap over of sklll seLs lnformaLlon and proflclency [ob
opporLunlLles and lmproved producLlon levels 1he lnvesLmenL ln bulldlngs machlnery and equlpmenL ls
ln dlfference wlLh bulldlng an assorLmenL lnvesLmenL whlch ls measured a roundabouL deal ln few pasL
years speclfled fasL growLh and alLer ln global lnvesLmenL paLLerns Lhe descrlpLlon has been expanded
Lo comprlse Lhe galnlng of a lasLlng organlzaLlon curloslLy ln a company or venLure ouLslde Lhe lnvesLlng
flrm's home counLry As such lLs golng Lo obLaln several forms llke an lmmedlaLe galnlng of a far off
flrm producLlon of a faclllLy or lnvesLmenL durlng a [olnL venLure or sLraLeglc alllance wlLh a
nelghborhood flrm wlLh asslsLanL lnpuL of Lechnology llcenslng of lnLellecLual properLy wlLhln Lhe pasL
decade fore|gn d|rect |nvestment has reLurn Lo play a serlous role wlLhln Lhe lnLernaLlonallzaLlon of
buslness 8eacLlng Lo revoluLlonlze ln Lechnology growlng llberallzaLlon of Lhe naLlonallzed regulaLory
framework governlng lnvesLmenL ln enLerprlses and vary ln caplLal markeLs lnslghLful changes have
crops up wlLhln Lhe slze scope and sLraLegles of lul 1he ldea of permlLLlng lul ln mulLlbrand reLall has
Lhus far sLayed puL a pollLlcal hoL poLaLo and faced sLrong confllcL from ma[or parLles who forwarded
Lhe dlsagreemenL LhaL world players would marsh Lhe nelghborhood momandpop (klrana) sLores ouL
of buslnessp
8uL buslness as well as huge players ln domesLlc sLrucLured reLall has been supporLlng lul ln mulLl
brand reLall Lven M Manmohan Slngh had prevlous Lhls year requlred a conversaLlon on gap up Lhe
world polnLlng Lo Lhe vasL dlsslmllarlLy beLween cosLs aL Lhe farm gaLe and markeLplace 1he oLher
mesmerlzlng pecullarlLy ls LhaL Lhe relaLlonshlps amongsL fJl loboooJ ootboooJ 1here's a hypoLhesls ln
global buslness LhaL developlng counLrles wanL lnbound lul from recognlzed mulLlnaLlonal companles
so as Lo lmprove naLlonal corporaLlons suppllers and cusLomers prevlous Lo a number of Lhose
corporaLlons wlll Lurn ouL Lo be MnCs ln Lhelr own rlghL
lorelgn reLallers noL llkely Lo become consclous an overrldlng share over succeedlng 3 years forelgn
dlrecL lnvesLmenL ln mulLlbrand reLall can sLlmulaLe lnvesLmenL ln lndlan reLall C8lSlL approxlmaLes lul
lnflows of $2330 bllllon over successlve 3 years selfeffaclng wlLhln Lhe clrcumsLance of overall lul
lnflows of uSu a hundred and slxLy bllllon ln lndla above Lhe pasL 3 years As per Lhe C8lSlL Lhe food and
grocery (lC) sLralghL up would pull Lowards you a blgger share of Lhe probably fdl ln reLall slnglebrand
and mulLlbrand 1he clause ldenLlfylng flve hundredLh venLure ln backend communlcaLlons malnly
allgns wlLh Lhe buslness demand conLrolled by Lhe lC phase lC accounLs for LwoLhlrds of lndlan
reLall sales however aL Lhls Llme has an ordered reLall sale of excluslvely approxlmaLely Lwo hundredLh
very cheap amongsL reLall verLlcals
1he cablneL call allowlng 31 lul ln mulLlbrand reLall and 100 lul ln slnglebrand reLall are almosL
cerLalnly golng Lo caLalyze [olnL venLures (!vs) sLuck beLween lndlan and forelgn organlzed reLallers
CounLlng on wheLher or noL Lhey pay for lnLo exlsLlng reLall chalns or came ahead new !vs Lhe share of
forelgn reLallers ln mulLlbrand organlzed reLall can sLay resLralned and ls pro[ecLed Lo vary beLween 10
20 by 201316
lor geLLlng any fdl relaLed lssue ln reLall and real esLaLe secLor you can choose any rellable f f|rms ln
lndla Clobal !urlx one of Lhe leadlng law flrm whlch offers all fdl relaLed legal servlces