INDIA

VS.
UNITED STATES
BY: FALLONNE, JAKE, ALYSSA, MARISSA
 EMPLOYMENT REGULATIONS:
WAGES, HOURS, LAYOFFS, AND SEVERANCE PAY

Regulation India United States

Wages (Monthly) $134.10 $1846.00
Hours 9 8
Layoffs 30-90 0*
Severance Pay (in weeks)
1 yr. 2.1 0
5 yrs. 10.7 0
10 yrs. 21.4 0
 Crime toward foreigners continues to be the
verbal and physical harassment of women -
rape is one of the fastest growing crimes
Petty crimes (pickpocketing, purse snatching)
are very common on public transport and
SAFETY AND roads
SECURITY Theft of U.S. passports
IN INDIA

Travel by road is dangerous. India leads the

world in traffic-related deaths
 SAFETY AND SECURITY

• HIGH-threat location for terrorist activity directed at or affecting

official U.S. government interests

• Maoists (“Naxalites”) are the most active insurgent group in India.

Do not travel to:

• The state of Jammu and Kashmir
• Within 10 km of the India-Pakistan border
WHAT U.S. MANAGERS NEED TO KNOW

Common to be introduced to them by a third

party

Handshakes are the standard greeting (for

men)

Greet everyone individually (oldest first)

Considered good manners to be slightly late,

but they may expect you to be punctual

Expect business negotiations to take a while

WHAT U.S. MANAGERS NEEDS TO KNOW

Exchange business cards on first

meetings, and small gifts such as sweets
People should be addressed formally by
title and surname
Normal business dress

Don't be aggressive, avoid a lot of eye

contact and touching
Do not eat or pass objects with your left
hand
 LABOR FORCE CHARACTERISTICS

Labor Force India United States

Characteristics
Unemployment Rate 8.8% 4.1%
Literacy Rate 71.2% 99%
Population Density 389 per square mile 33.2 per square mile
Public Spending on Education 3.8% of GDP 5.4% of GDP
Urban Population: % of total 33.5% 80.7%
Population growth rate 1.17% 0.7%
Life Expectancy 68.8 78.7
India United States Japan

POPULATION PYRAMIDS
 BUSINESS CLIMATE

36

6
 BUSINESS CLIMATE CONTINUED

35

10
 POLICIES ON LEAVE
• Maternity leave is paid by 100% by employers
• Mothers will receive all of their wages during the leave
• In 2017 the policy allows for a paid maternity leave to 26
weeks from 12
• No paternity leave
• India is behind with women contributing just 17% of India's
GDP compared to the global average of 37%
 GROSS DOMESTIC PRODUCT
• Gross Domestic Product (GDP)is defined as the total value of goods and services
produced within a country's borders in a specific time period — monthly, quarterly or
annually
• India is lowest in the world regarding women's contribution to GDP because they fail to
use women in the workforce
• Advancing women's equality can add $12 trillion to global GDP growth by 2025
 SETTING UP OPERATIONS: INDIA

• Strengths
• More cost effective
manufacturing/lower labor costs
• New/rapidly growing market
• Weaknesses
• Cost and time are an exorbitant
amount
• Always changing compliance
• International banking (post 9/11)
• Not as easy to pay taxes
 WHAT WE LEARNED

• INDIA IS SLOWLY SHIFTING TO BE MORE GENDER

NEUTRAL
• BUSINESS HAS SOME CORRUPT TENDENCIES
RANKING AT THE 45TH PERCENTILE
• DOING BUSINESS IN INDIA IS PROGRESSING AND
MOVING TOWARD BECOMING MORE OF AN EASE
THAN IT HAS BEEN HISTORICALLY