The importance of adaptability when doing business in India
The Preparatory Seminar of Focus India 2020 was full of talented and inspiring speakers who addressed the capabilities of India’s growth and potential. One key takeaway of the Preparatory Seminar was the importance to adapt to the dynamic markets of India when doing business or investing in the country.
India’s economy is growing rapidly with a GDP-growth rate of 6.8% in 2019. In fact, India continues to be one of the fastest growing economies in the world. This economic expansion brings many new opportunities for businesses and private investors to invest in the country. However, when doing business in India it is crucial to have a good understanding of the Indian culture and its markets and, of capital importance, adapt accordingly.
“When in India, do it the Indian way” – Marcel Jenni from Ammann Group
Our silver sponsor Monterosa Services taught us the key aspects of India’s sustainable economic growth: the demographic dividend, growing corporate profitability, and a stable macroeconomic environment. Since India’s economy is constantly growing, many people consider partaking in the market. Nevertheless, there are many regulatory barriers for foreign investors which makes investing in India more complex. Monterosa Services supports investors with their experience in emerging markets. The company has already undertaken many cross-border investments in highly regulated markets such as India.
Not only are there many potential investors who aim to invest in the Indian market but also businesses that want to benefit from India’s growing potential. Prior to entering into the country’s market, businesses need an understanding of the fast-changing markets and acquire enough knowledge. However, developing the relevant knowledge about Indian markets can be complicated as there may be not enough relevant information available.
The former Focus India project team member Joel Kistler experienced himself what it means to obtain relevant knowledge of the Indian market for a market entry. After writing his bachelor thesis for the BBC Group Bircher Smart Access about the market entry into the Indian market, Joel now works for the company. According to Joel, there is almost no information available about the situation in India for certain markets. Thus, Joel used his network that he established during the On-Site Seminar and wrote his successful bachelor thesis. Learning from a former FHNW student about his successful career after the Focus India project has been very inspiring and motivating for the seminar participants.
Joel Kistler about the market entry of BBC Group into the Indian market
Nevertheless, companies that strive for a market entry into the Indian market have the possibility to turn to many firms and organizations that support their intention. The Preparatory Seminar provided many solid examples of institutions that help businesses to enter the Indian market. For example, the Swiss Indian Chamber of Commerce, SICC, has the mission to foster Swiss-Indian bilateral economic and business relations and supports market entries and project implementations through its members by providing business-related information and studies on India and Switzerland. In addition to the SICC, the Embassy of India, Berne, offers the program MISSP, Momentum in India: Swiss SMEs Program. The MISSP is a platform that supports SMEs to develop a successful business in India. Alongside providing network opportunities, the program offers services such as market entry strategy consulting, merger and acquisition advice, tax & legal support, technology collaboration, etc. Another highlight of the Preparatory Seminary was the visit of Ambassador H.E. Sibi George who shared his insights about Swiss-Indo relationships.
“The big Swiss companies that are doing business in India for several years don’t need our support. It is the small- and medium companies that need guidance, support, and persuasion. SMEs should bring their ideas and the willingness to build a partnership with Indian companies. This will only be a win-win situation.” – Ambassador H.E. Sibi George about the MISSP program
Most importantly nowadays is the use of IT, which plays a central role for businesses. Thomaskutty Sebastian and Gabriele Lorini from PIT Solutions represented their company at our Preparatory Seminar and provided us insight into digital transformation and offshoring to India. PIT Solutions provides IT offshoring capabilities to SMEs which would otherwise have no access to the market. Around 400 PIT Solutions employees in India support Swiss SMEs and start-ups with digital transformation in India by conducting projects such as the development of mobile-apps and e-commerce.
Michael Enderle about business adaptability
Another inspiring and experienced speaker at the Preparatory Seminar was Michael Enderle, a partner and managing director of EurAsia Competence, a company that advises Swiss and European enterprises in their strategic expansion projects to India. Michael introduced us to the importance of adaptability when doing business in India. In fact, one has to keep in mind that the family always plays an important role and has a strong influence also within the business environment. Moreover, unlike in Switzerland, the communication in India is indirect and, for instance, the word “no” is often paraphrased with other words. Hence, there may be situations where one might misinterpret information and an unexpected outcome can result. Therefore, Michael states that adaptability is extremely important.
“An attitude of humbleness is the key to success” – Michael Enderle
To implement what they have learned into practice, our delegation participated in a dynamic workshop at the company visit of our long-standing platinum partner Accenture. During the workshop our delegates learned that when developing a new business model for the Indian market, it is crucial to understand that potential customers have different needs. Therefore, the new business models should provide added value to the customer and must be adapted to their specific requirements.
The Preparatory Seminar of Focus India has been a very instructive week and we are pleased to have learned so much about the importance of adaptability when investing into the Indian market.
Agile workshop at Accenture
We feel honoured to collaborate with so many sponsors and supporters who have a deep understanding of India’s markets and contribute to the country’s growth and potential. We are looking forward to the On-Site seminar where we will learn more about India’s culture and business environment.
– Written by Cornelia Spillmann