Case study

on
Global
Business
Submitted to
SUBMITTED BY
Dr. Prashant Sarangi
HEMANT SACHAN
M0729

SEC-A

Ques1. Comment the statement of

Japanese Prime Minister.

ANSWER-‘

We are now in an era in which Asia is

currently experiencing a process of
transformation and India, too, is
changing, thus elevating the importance
even further of India and Japan
cooperating as true global partner’.

The above statement made by Japanese prime

minister exhibits that India is adopting the
strategy of globalization through liberalization,
privatization and globalization since 1991 and
is giving chance to foreign countries to invest
here. Japan is also providing assistance to India
in terms of (technology, automated equipments
and so on). So, there is a transformational
process between both the countries.

Ques 2. What are the areas which Japan

wants to highlight to Indian officers to
allow Japan to trade with India?

Answer 2

The areas which Japan wants to highlight to

Indian officers to allow Japan to trade with India
include cooperation of Indian higher authorities,
treaties towards betterment of these relations.
Their higher authorities are seeking for a good
economic relation between both the countries.
Japan has also highlighted the areas of- Iron
Ore, textiles, plastics, steel and chemicals.

Ques3:-What are the draw backs that

Japanese Prime Minister highlighted in
India that de-motivated the Japanese
investors?

ANSWER :-

The drawbacks highlighted by the Japanese

Prime minister that de-motivated the Japanese
investors are:-
poor infrastructure,
poor-labour laws,
intellectual property problems,
and cultural differences.

Poor Infrastructure:-

India is very poor in infrastructure.

Infrastructure refers to the roads, railways,
communication and various and services such
as banking system of any country. Many
companies perceive that India’s poor
infrastructure would be unable to create
adequate profitability. So, Japanese investors
are not investing in India.

 Poor labour laws:-

In India either the labour laws are not upto the

mark or if they are then they are not
implemented. They are lacking in one or the
other way, because of which the production is
affected and ultimately the profits. This is one
of the major reasons that Japanese players are
not showing their interest in investment in
India.

Cultural differences:-
Indian culture is rich is nature. It is totally
different from the other nations, which
demotivates the Japanese investors.
Beside this Japanese that many Japanese
companies also do not find India a very
attractive investment location and intellectual
property problems as well.