Political :

India is a Sovereign Socialist Secular Democratic Republic with a Parliamentary form of

government which is federal in structure with unitary features. Political Distress in the past 5
years have been due to vast differences between the left-liberals and in-power-right wing
political parties.

The citizens have rights to protest peacefully and to share views against the government if
anything is wrong. The two main parties in India are the Bharatiya Janata Party, commonly
known as the BJP, which is the leading right-wing nationalist party, and the Indian National
Congress, commonly called the INC or Congress, which is the leading centre-left party. As
per latest publication dated 23 September 2021 from Election Commission of India, the total
number of parties registered was 2858, with 8 national parties, 54 state parties and 2796
unrecognised parties.

The current political scenario has led to issues in foreign trade as seen in the past few years
due to India’s relations particularly with China and Pakistan. In addition to that, the high rate
of corruption especially within the governmental bodies has led to criticism of the Country’s
management from global organisations such as The World Bank.

In the past 4 years, from 2018 onwards India has seen an uprise in huge movements led by
left-wing parties and liberals in general specifically against policies introduced by the current
party in power, mainly the following policies have received major backlash – CAA, NRC,
and Agricultural Reforms. The Capital city’s roads get blocked, some times there are violent
outrageous riots which make India unattractive as a Country to trade with.

India has great relations with Countries such as USA, Russia, Germany, Japan and Malaysia,
and is a member of/has alliance with Commonwealth of Nations, G20, G8+5, Group of Five,
G4 Nations, SCO, SAARC, BRICS, WTO, and the UN.

Social :
India has the world's second biggest buyer market with 1.4 billion consumers. The huge
customer market gives an extraordinary opportunity to the best global organizations to sell
their products/services there. That is the reason numerous top-notch investors and
organizations are showing an incredible interest in the Indian market. In particular, India
gives plenty of low-wage labor force to global organizations. India is going through a hard
phase as a society under fundamentalism. Fundamentalism refers to a belief in a strict
adherence to specific set of theological doctrines typically in reaction against what are
perceived as modern heresies of secularism. Fundamentalism is found in all religions from
Christian to Islam to Hinduism.

There has been a shift in the last decade from Agriculture to Service sector. As of FY21
Service sector had a 54% share as per IBEF. The services sector is not only the dominant
sector in India’s GDP, but has also attracted significant foreign investment, has contributed
significantly to export and has provided large-scale employment.
India has a very diverse culture, thus any company willing to start operations here must be
aware of the local culture, beliefs, acceptability, and other social factors to run a business in
the nation. The firm should also know about the availability of the local workforce and
demand for products, services and acceptability of certain region’s company.

Technological :
“India has climbed two spots to 46 in the Global Innovation Index (GII) 2021 prepared by the
World Intellectual Property Organization (WIPO). The country's rank has been consistently
rising in the last few years. From 81 in 2015, it has moved to 46 in 2021.” As per Business
Standard.
According to a report by KPMG “India’s own Silicon Valley Bengaluru is now among the
world’s top 10 cities to be the technology innovation hubs for the next four years”.

References

MDRA (February 2007). "Corruption in Trucking Operations in India" (PDF). The World Bank. Archived
from the original (PDF) on 10 April 2012.

Services. (2021). IBEF. https://www.ibef.org/industry/services.aspx