INDIA VS SWITZERLAND

ECONOMY
BY KUSUMLATA
 INDIA HAS THE FOLLOWING ECONOMIC
PROFILE
• INDIA IS THE LARGEST COUNTRY IN SOUTH ASIA. IT SHARES A LAND BORDER WITH
PAKISTAN, CHINA, NEPAL, BHUTAN, BANGLADESH, AND MYANMAR. IT IS THE SECOND-
MOST POPULOUS COUNTRY IN THE WORLD, HAVING OVER A BILLION PEOPLE.
• THE ECONOMIC STRATEGY THAT THE GOVERNMENT OF INDIA EMPLOYED WAS
PRIMARILY TO MAKE THEIR ECONOMY AN OPEN MARKET AND THIS HAS BEEN GOING
ON SINCE THE 1990S. 
• THE STRENGTH OF INDIA LIES IN ITS NUMBER OF PEOPLE. TWO-THIRDS OF ITS
OUTPUT IS FROM ITS SERVICE SECTOR AND BECAUSE OF THIS, BUSINESS RELATED
TO THE UTILIZATION OF MANPOWER IS A GOOD AREA OF INVESTMENT.
 SWITZERLAND HAS THE FOLLOWING
ECONOMIC PROFILE
• SWITZERLAND IS A COUNTRY IN CENTRAL EUROPE. IT SHARES BORDERS WITH
FRANCE, ITALY, AUSTRIA, LIECHTENSTEIN, AND GERMANY.
• THE ECONOMIC STRATEGY THAT THE GOVERNMENT OF SWITZERLAND
EMPLOYED WAS PRIMARILY THE GOOD ADMINISTRATION OF THE COUNTRY.
SWITZERLAND IS KNOWN FOR ITS ECONOMIC AND POLITICAL STABILITY, THE
TRANSPARENT LEGAL SYSTEM, EXCEPTIONAL INFRASTRUCTURE, EFFICIENT
CAPITAL MARKETS, AND LOW CORPORATE TAX RATE.
• SWITZERLAND IS KNOWN FOR ITS FINANCE AND BANKING SERVICES. THE
COUNTRY HAS BEEN PERFORMING WELL FOR THAT PARTICULAR SECTOR. BUT
IT’S NOT ONLY THE AVAILABLE AREA OF INVESTMENTS FOR THE COUNTRY. 
 INDIA VS SWITZERLAND
ECONOMY
• IN INDIA, THE AVERAGE LIFE EXPECTANCY IS 70 YEARS (68 YEARS FOR MEN, 71
YEARS FOR WOMEN) AS OF 2020. IN SWITZERLAND, THAT NUMBER IS 83 YEARS
(80 YEARS FOR MEN, 85 YEARS FOR WOMEN) AS OF 2020.
• IN INDIA, APPROXIMATELY 35.4 CHILDREN DIE BEFORE THEY REACH THE AGE
OF ONE AS OF 2020. IN SWITZERLAND, ON THE OTHER HAND, 3.5 CHILDREN DO
AS OF 2020.
• IN INDIA, APPROXIMATELY 34.5% OF THE POPULATION HAS INTERNET ACCESS
AS OF 2018. IN SWITZERLAND, ABOUT 89.7% DO AS OF 2018.
 INCENTIVES AND ATTRACTIONS OF INDIA
TO FOREIGN INVESTORS
• LABOR COST – THE LABOUR COST IN INDIA IS EXTREMELY LOW COMPARED TO SWITZERLAND. THE
MINIMUM WAGE FOR AN 8-HOUR WORK IN INDIA IS 5280 INR OR ALMOST 70 USD WHILE THE LABOUR
COST IN SWITZERLAND RANGES FROM 2,200 TO 4,200 CHF, AMOUNTING TO 2400 USD WHEN
CONVERTED.
• LARGE MARKET – SINCE INDIA HAS AN ESTIMATED BILLION PEOPLE, THE PRODUCTS AND SERVICES
OF THE INVESTORS ALWAYS HAVE A MARKET. DIFFERENT VARIATIONS, SHAPES, SIZES, AND PRICE
RANGE CAN BE OFFERED AS THE COUNTRY HAS DIFFERENT ECONOMIC CLASSES AS WELL.
• BUYING POWER – EMPLOYMENT IN INDIA IS INCREASING. WITH THE PEOPLE MAKING MORE MONEY
AND BECOMING MORE WILLING TO SPEND THAN BEFORE, YOU CAN BUILD A BUSINESS IN VARIOUS
SECTORS LIKE TOURISM AND TRAVEL, JEWELLERY, CARS, HOUSE CONSTRUCTION, AND LIFE AND
MEDICAL INSURANCE.
• SPECIAL ECONOMIC ZONES (SEZ) – FOREIGN COMPANIES WHO WILL INVEST AND OPERATE IN SPECIAL
ECONOMIC ZONES IN INDIA WILL ENJOY CERTAIN TAX EXEMPTIONS FOR THE NEXT 10 YEARS.
 INCENTIVES AND ATTRACTIONS OF
SWITZERLAND TO FOREIGN INVESTORS
• STRATEGIC LOCATION – SINCE THE COUNTRY IS LOCATED IN CENTRAL EUROPE, NEIGHBOURING
COUNTRIES FRANCE, ITALY, AUSTRIA, LIECHTENSTEIN, AND GERMANY CAN BE EASILY REACHED BY LAND
TRAVEL. THE COUNTRY, HOWEVER, HAS FLIGHTS TO SEVERAL CONTINENTS LIKE EUROPE, ASIA, AND NORTH
AMERICA.
• TEST MARKET FOR EUROPEAN COUNTRIES – SINCE THE MARKET IN SWITZERLAND IS HIGHLY COMPETITIVE,
IT’S BECOMING A GROUND FOR MARKET TESTING. FOR EXAMPLE, WHEN STARBUCKS WAS JUST STARTING,
IT OPENED SOME BRANCHES IN SWITZERLAND AND THEY MONITORED HOW THE PEOPLE WILL RESPOND TO
THEIR PRODUCTS AND SERVICES. AFTER STARBUCKS COULD PENETRATE THE SWISS MARKET WITH ITS
HIGHLY COMPETITIVE ENVIRONMENT, THEY OPENED SEVERAL BRANCHES IN EUROPE AFTERWARDS.
• FOREIGN INVESTMENT PROTECTION – THE GOVERNMENT OF SWITZERLAND UNDERSTANDS THAT THE
ECONOMY OF THE COUNTRY IS HIGHLY DEPENDENT ON ITS FOREIGN INVESTORS. WITHOUT THEM, THEIR
ECONOMY WILL FALL. THE COUNTRY IS KEEPING ITS NEUTRAL POSITION AND IMPLEMENTS TRANSPARENT
AND LIBERAL FOREIGN INVESTMENT POLICY TO AVOID INTERNATIONAL DISAGREEMENTS AND TO PROTECT
FOREIGN INVESTORS.