Waterville Woodcraft in

India
Business Research
 SUMMARY
● Introduction ● Culture
● Political System ● Government policies on trade
● Economic System ● Woodcraft Market
● Legal System ● Risk and mitigations strategies
● Infrastructure ● Recommendations
● Consumer demographics ● Conclusion
 INTRODUCTION
The following research report was written with purpose of deeming whether or not
the company Waterville Woodcraft should market their table slides in the Indian
market, and to provide them with the best advice and clarification on carrying out a
business in a foreign territory.
 POLITICAL SYSTEM
● Overview of India's Political
System

● Canada-India Bilateral
Relations

● Economic Ties and Trade

Relations

● Wood Market in India

 ECONOMIC SYSTEM
● Overview of India's Economic
Landscape

● Government Initiatives and Economic

Policies

● Challenges in India's Economic Growth

● India's Economic Aspirations and

Challenges

● India's Demand for Forest Products

 LEGAL SYSTEM
● Choosing the Right Business
Presence in India

● Key Aspects of Doing Business in

India

● Foreign Investment Policy in India

● Taxation in India

● Privacy Laws in India

INFRASTRUCTURE: Transportation
● Railways:

One of the world's largest rail networks, playing a pivotal

role in the country's transportation. Provides both
passenger and freight services, connecting remote areas
and major cities.

● Airports and Aviation:

Major airports: Indira Gandhi International Airport,

Chhatrapati Shivaji Maharaj International Airport, and
Kempegowda International Airport.

● Maritime Infrastructure:

Major Ports: Mumbai, Chennai, Kolkata, and

Visakhapatnam are key ports facilitating international trade
and maritime activities.
INFRASTRUCTURE: Energy
● Solar and Windy Power:

Global Leadership: India excels in solar power with

extensive solar farms and rooftop installations. The nation
has set ambitious targets to substantially increase solar
and windy capacity.

● Others:

Biomass and Biogas, Hydroelectric and Nuclear.

● Power Transmission and Distribution:

The Power Grid Corporation of India oversees the

efficient transmission of electricity across regions.

Bureau of Energy Efficiency (BEE): Plays a pivotal role in

promoting energy efficiency across industries and
households.
INFRASTRUCTURE: Water and Sanitation
● Water Supply Systems:

Access Statistics: According to a 2023 report by News18,

75% of India's population has access to piped water.

● Wastewater Treatment Facilities:

Despite progress, there is a need for increased investment

in wastewater treatment infrastructure, particularly to
address the challenges posed by growing urbanization and
industrialization.

● Sanitation Initiatives:

The government has undertaken initiatives such as the

Swachh Bharat Abhiyan to promote cleanliness and
hygiene.

Rural Toilet Construction: Efforts include constructing

toilets in rural areas to improve sanitation facilities.
INFRASTRUCTURE: Communication
● Internet Revolution:

The internet has become integral to daily life, driven by

affordable data plans and the rise of digital services.

'Digital India' Initiative: Government initiatives, such as

'Digital India,' accelerate the digitization of services,
ranging from education to governance.

● Broadcasting Sector Transformation:

Television Dominance: Television remains a primary source

of news and entertainment, complemented by the rise of
digital platforms, streaming services, and social media.
INFRASTRUCTURE: Environment
● National Parks and Sanctuaries:

India boasts numerous national parks and wildlife

sanctuaries, including the Sundarbans and the Western
Ghats.

● Forests and Ecosystems:

India's forests cover diverse landscapes from the

Himalayan foothills to the Western Ghats and coastal
mangroves.

● Cultural Significance:

Sacred Groves: Protected forest patches around religious

sites symbolize the coexistence of spiritual beliefs and
environmental conservation.

Traditional Practices: Deeply rooted in communities,

traditional practices contribute to the sustainable use of
forest resources.
INFRASTRUCTURE: Environment
● Rivers as Cultural Symbols:

Lifeline of the Nation: Rivers like the Ganges, Yamuna, and

Brahmaputra sustain diverse ecosystems, agriculture, and
human settlements.

Cultural Importance: These rivers are integral cultural

symbols, shaping the Indian way of life.

● Lakes:

Both natural and man-made, serve various purposes from

providing drinking water to supporting fisheries. Major: Dal
Lake in Kashmir and Bhakra-Nangal reservoir.
 CONSUMER DEMOGRAPHICS

● Population Size: 1.42 billion

(2023)
● Age Ranges:
1. 0-14 years (24.7%)
2. 15-64 (68.42%)
3. 65 and over (6.8 %)
CONSUMER DEMOGRAPHICS

● GDP per capita: 2410.9 dollars

● Inflation rate: 6.7 %
● Unemployment: 7.3 %
● Poverty rate: 11.9 %
● Purchasing power parity: 22.7
 CULTURE
● 22 Differents languages (English, HIndi, Bengali, Urdu, Talaga, etc)

● Religions: Hinduism, Christianism, Islam, Sikhism, Buddhism, etc.

● Business Language characterized by: hierarchical workplace relationship, very flexible
meeting scheduling as well as time management, and vague or doubtful
communication skills when attempting to express opposition.
● Past trend encouraging self-reliance, domestic products, local businesses and products
over foreign.
● Growing middle class with rising income that has slowly change its consumption
habits and is seeking to furnish their properties.
 GOVERNMENT POLICIES ON
●
TRADE
Indian government has been working in a new foreign trade policy that will grant some
benefits for foreign business such as: Customs advice, Minimal disruption to flow of cargo
after a security related disruption, Enhanced border clearance privileges in Mutual
Recognition Agreement (MRA) partner countries.
● Some new projects such as “Make in India” that are looking to create a better environment
for domestic and foreign businesses through removing the outdated and unnecessary
regulations, making bureaucratic processes easier, and making the government more
accountable and transparent.
 GOVERNMENT POLICIES ON
●
TRADE
Even though there is a policy that states that companies might opt for an automatic route to
engage in the manufacturing sector, it is not clear if the wood industry has any restriction.
● India and Canada are working on a Comprehensive Economic Partnership Agreement and
a Foreign Investment Promotion and Protection Agreement (FIPA), and both are currently
involved in the following active treaties: World Trade Organization Agreement on Trade
Facilitation (TFA), Agreement on Trade-Related Aspects of Intellectual Property Rights
(TRIPS), General Agreement on Tariffs and Trade 1994 (GATT), Agreement on Trade-
related Investment Measures (TRIMS)
WOODCRAFT MARKET
The woodcraft market in India is diverse and had a
significant presence.

India has a rich history of traditional woodworking and

craftsmanship, and this reflects in the variety of wooden
products available in the market. Some regions are known
for their unique styles and techniques.

Market Trends:

There is a growing demand for sustainable and handmade

products. Consumers are increasingly interested in
products with a cultural touch and a story behind their
creation.

The rise of e-commerce has made it easier for consumers

to access a wide range of woodcraft products. Online
platforms often showcase products from various regions of
India.
 RISK AND MITIGATIONS
STRATEGIES
Cultural and Language Barriers:
Risk: Miscommunication or
misunderstandings due to cultural and
language differences.
Mitigation: Employ local professionals or
language experts to facilitate
communication. Invest in cultural sensitivity
training.
Regulatory Compliance:
Risk: Different countries have various
regulations and standards for importing and
selling furniture.
Mitigation: Work with local legal experts to
ensure compliance. Obtain necessary
certifications and approvals for the wood
table sliders.
Market Competition and Acceptance:
Risk: Facing competition from local or
other international suppliers.
Risk: Preferences for furniture styles
may vary between Canada and India.
Mitigation: Differentiate your product
through unique features, branding, or
competitive pricing. Establish strong
relationships with local distributors and
retailers.
Mitigation: Conduct market surveys,
gather feedback, and adapt the product
based on local preferences. Develop
effective marketing strategies to
promote the product.
Shipping and Logistics:
Risk: Delays, damages, or increased
costs during transportation.
Mitigation: Partner with reliable
international shipping companies and
consider insurance coverage for the
shipment. Optimize the supply chain for
efficiency.
Exchange Rate Fluctuations:
Risk: Currency exchange rate
fluctuations can impact the cost and
pricing.
Mitigation: Use financial instruments like
forward contracts to hedge against
currency risks. Set pricing strategies
that account for potential fluctuations.
RECOMMENDATIONS
● Introduction to Market Opportunity
● Advantages of Indian E-commerce
Market Entry
● Strategic Decision: Outsourcing
B2B Transportation and Logistics
● Identified Risks in the Strategic
Decision
● Mitigation Strategies for Identified
Risks
● Conclusion and Forward-Looking
Statements
BIBLIOGRAPHY
Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industry. "Foreign Trade Policy."
https://pib.gov.in/PressReleaseIframePage.aspx?PRID=1912572#:~:text=Foreign%20Trade%20Policy%20(2023)%20is,
and%20'partnership'%20with%20exporters
. Accessed January 13, 2024.

Government of India. "Environment & Forests." India.gov.in. Accessed January 15, 2024.
https://www.india.gov.in/topics/environment-forest.

KANTAR, INCUBE. "Internet Adoption in India 2020 Report." Afaqs!, June 2021. Accessed January 15, 2024.
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C1.pdf
.

Maps of India. https://www.mapsofindia.com/. Accessed January 15, 2024.

News18. "3 Out of 4 Families in India Now Get Tap Water: How Har Ghar Jal Initiative Is Paying Off." Accessed January
15, 2024.
https://www.news18.com/india/3-out-of-4-families-in-india-now-get-tap-water-how-har-ghar-jal-initiative-is-paying-off-869
5581.html
.
BIBLIOGRAPHY
Space Applications Centre, Indian Space Research Organisation (ISRO). "Energy Map - VEDAS."
https://www.vedas.sac.gov.in/energymap/. Accessed January 15, 2024.

Survey of India. "Official Survey of India Website."Accessed January 10, 2024. https://surveyofindia.gov.in/.

U.S. Department of Commerce, International Trade Administration. "Exporting to India: Market Overview."
https://www.trade.gov/knowledge-product/exporting-india-market-overview.

U.S. Department of Commerce, International Trade Administration. "India's Forest Product & Timber Industry."
https://www.trade.gov/market-intelligence/indias-forest-product-timber-industry-0#:~:text=Most%20of%20India's%20nee
ds%20for,to%20%24666.69%20million%20in%202021
. Accessed January 13, 2024.

World Bank. "World Development Indicators." https://wdi.worldbank.org/tables.

Central Intelligence Agency. "India." The World Factbook. Central Intelligence Agency.
https://www.cia.gov/the-world-factbook/countries/india/. Accessed January 18, 2024.
BIBLIOGRAPHY
Make in India Initiative. Ministry of External Affairs. Accessed January 20, 2024. URL:
https://www.mea.gov.in/Images/attach/Make_in_India_Initiative.pdf.

India forest product and timber industry. Accessed January 22, 2024:
https://www.trade.gov/market-intelligence/indias-forest-product-timber-industry-0 The world bank in India. Accessed
January 17, 2024: https://www.worldbank.org/en/country/india/overview

Business between Canada and India continues despite tensions,

India Overview: Development news, research, data | World Banksays envoy:
https://financialpost.com/news/economy/business-continues-despite-india-canada-tensions

UK India Business Council. "Business Culture in India." UKIBC. Accessed January 23, 2024.
https://www.ukibc.com/india-guide/how-india/business-culture/

Leading wood and wood product in India as of March 2022, by market capitalization
https://www.statista.com/statistics/1198996/india-leading-wood-and-wood-product-companies-by-market-capitalization/

The World Bank. "India." Data World Bank. Accessed January 23, 2024. https://data.worldbank.org/country/IN
 THANKS!
Team
Juan Nicolas Guerrero Linares
Mateus Felipe Pereira Elias
Sarah Castro Nogueira