India has strengths like a large agricultural sector, skilled workforce, and growing IT industry. However, weaknesses include high unemployment, poverty, and inadequate infrastructure. Opportunities exist in foreign investment, the large population as a consumer base, and sectors like IT. Threats are a slowing global economy, high deficits, population growth, and dependence on oil imports. A SWOT analysis finds that while India faces challenges, it also has significant opportunities to strengthen its economy by addressing weaknesses and capitalizing on its strengths and opportunities.

1. SWOT ANALYSIS OF INDIAN ECONOMY
JCE, MBA Belgaum

2. Introduction
SWOT is an acronym (Short Form) for
Strength, Weakness, Opportunities and
Threats.
SWOT analysis is an important tool for
audit and analysis of overall strategic
position of business as well as its
environment.
It takes into account all positive and
negative factors, Inside and outside of firm
that affects success.
SWOT analysis provides information that
helps in synchronizing firms resources and
capabilities with competitive environment
where firm operates.

3. Cont….

4. India is the 8th
largest economy in
world in terms of Nominal
GDP,and 3rd
largest by purchasing
power parity (PPP).
India is one of the fastest
Developing Economic Superpower
with potential to become the world's
3rd largest economy by 2020 .
India is the16th-largest
exporter and the 8th-largest
importer in the world.
Cont….

5. Cont….
 The economy slowed to around 5.0%
for the 2012–13 fiscal year compared
with 6.2% in the previous fiscal.
 India's GDP grew by 9.3% in 2010–11;
thus, the growth rate has nearly halved
in just three years. GDP growth rose
marginally to 4.8% during the quarter
through March 2013, from about 4.7%
in the previous quarter.

6. Literature review
Archana Bhatia Associate Prof. Head and Dean Department
of Commerce DAV College Faridabad
December 2013
(SWOT Analysis of Indian tourism Industry)
Deepika Jhamb1 Ravi Kiran2
1- Research Scholar & Teaching Associate, Thapar University, Patiala,
India
2- Professor, Thapar University, Patiala, India
2011
Organized retail in India - Drivers facilitator and SWOT
analysis

7. STRENGTH
Agriculture
High percentage of cultivable land.
Huge pool of labour force
Huge English speaking population,
availability of skilled manpower
Extensive higher education system, third
largest reservoir of engineers
Rapid growth of IT and BPO sector bringing
valuable foreign exchange
Abundance of natural resources

8. Weakness
Very high percentage of workforce involved in
agriculture which contributes only 17.2% of GDP.
 Around a quarter of a population below the poverty line
High unemployment rate
Poor infrastructural facilities
Low productivity
Huge population leading to scarcity of resources
Low literacy rates
Rural-urban divide, leading to inequality in living
standards

9. Opportunities
Scope for entry of private firms in various sectors for
business
Inflow of Foreign Direct Investment is likely to increase
in many sectors
Huge foreign exchange earning prospect in IT and ITES
sector
Huge population of Indian Diaspora in foreign countries
(NRIs)
Huge domestic market: Opportunity for MNCs for sales
Vast forest area and diverse wildlife
Huge agricultural resources, fishing, plantation crops,
livestock

10. Threats
Global economy recession/slowdown
High fiscal deficit
Threat of government intervention in
some states
Volatility in crude oil prices across the
world
Growing Import bill
Population explosion, rate of growth of
population still high
Agriculture excessively dependent on

11. Conclusion
• As India is known for it’s unity in diversity in
the same way Indian economy is also unified
blend of SO vs. WT.
• India has weakness but it is space of thinking
new ideas and perception, understand it as a
space of opportunities and transform into
strength.