Foreign direct investment (FDI) involves foreign companies investing in domestic firms and acquiring over 51% equity. FDI provides benefits like new markets, technology, and jobs but can also harm local businesses. While FDI in India has advantages like economic growth and industrial development, it also poses risks and challenges like domestic market suffering and inflation. There is debate around the level of foreign ownership and impact on traditional retailers. Solutions proposed include less margins for local entrepreneurs, improving quality standards, and the government establishing a separate agency to design and implement FDI policy while supporting domestic industries.

1. FOREIGN DIRECT INVESTMENT (FDI)
Presented By:
Mr. Ganesh Pawar.
Mr. Amit Jain.
Mr. Mayur Kulkarni.
Ms. Archana Patil.
Ms. Rupali Magar.

2. WHAT IS FDI??
51% stake of foreign equity and 49% stake of
India
FDI is a major source of external finance.
Growing economic globalization.
Provide a firm with new markets and marketing
channels, cheaper production facilities, access
to new technology, products, skills and
financing.
Increased competition.

3. FDI IN INDIA
Advantages:-
1. Economic growth
2. Better employment opportunities
3. Better education
4. Supply increases
5. Industrial development
Disadvantages:-
1. Domestic market suffers
2. No guarantee of reasonable price
3. Lot of procedures and products may not
be in tune with Indian preferences
4. Risk
5. Inflation

4. WHAT CASE SAYS??
Announcement of Govt. for FDI.
Households will have to bear the burden of high
charges
The government permitting the FDI in multi brand
Wallmart is aggressive for open doors of india in FDI
Quasi-federal structure
Contributing growth in output and employement.
FDI leads to displacement of traditional retailors.
Private airlines in india from murky source.
PSU will bring revenue bust the equity market.
Tacklingthis problem requires strong decisive
leadership.

5. Positive and Negative Rumours

6. PROBLEM IDENTIFICATION
(MAJOR)
51% on the share of foreign equity causes the capture
of Indian retail sector that leads to displacement of
traditional retailers.
Opposition from local market being federal structure.
Govt. lacks strong decisive leadership which is
responsible for mismanaged economic governance.

7. PROBLEM IDENTIFICATION
(MINOR)
Slowdown in manufacturing .
Perception of FDI is not clear.
 No proper rumours.

8. MULTIPLE ALTERNATIVE SOLUTIONS
Less margin but with quality for entrepreneurs.
Apply ISO system.
Govt. should think on the domestic reforms and
reduce supply chain.
Govt. must have strong, decisive leadership which
are useful for the decisions regarding economic
growth.
Govt. should provide right price to the agricultural
products.
What is wrong in consumer getting a competitive
price? Producers, too, will get more remunerative
prices as there will be more buyer, and let the
middleman face competition.
If FDI is permitted in retail, the middleman will be
eliminated.

9. BEST SOLUTION WITH PLAN OF ACTION
Government should design development and
implement separate agency.
Ifwe have open up many sectors to FDI, in all these
sectors quality control must be improved. And
domestic industries has survived.

10. CONCLUSION
In democracy, it is said that
participation of public is consider. We have
parliamentary system of government where
opposition also participated in Lok-
Sabha, Rajya-sabha. But sad to say our
ruling govt. not considered opposition
views but taken decision one-sided.
Before Propose Reduce Oppose.