Case Analysis Paper Study Example | Topics and Well Written Essays - 1250 words

Analysis Paper - Case Study Example Apparently, foreign investments have immensely contributed to growth of India’s economy. The government of India is more likely to adopt or implement a more robust policy regime to lure more foreign investors into the country (Enz, 2010). Led by Narendra Modi (Prime Minister), the government has ultimately approved various economic reforms in the recent past in an effort to attract more investors into the country, especially those in the service industry. For instance, the government is likely to open doors to international hotel chains to join local establishments in the vastly competitive hospitality industry. The deeper pockets, such as cash and many other resources of international hotel chains are likely to give India competitive advantage over domestic chains (Dayal-Gulati & Jain, 2010).. The economy of India will particularly record a major growth as international hotel add a great deal to the revenues collected from the hospitality industry. The government of India has allowed foreign investors to invest directly in its economy, giving the country a competitive edge over its domestic chains (Dayal-Gulati & Jain, 2010). However, the advantage of the deeper pockets might not be sustainable in the long-run. Apparently, Indian government must protect its local established and infant chains. Although international chains significantly contribute to the growth in the country’s revenue, they (foreign/international chains) may eventually trigger collapse of local competitors. Growth in popularity of Indian market is likely to increase the aggressiveness of other global and domestic chains, posing enhanced or heightened competitive threats (Dayal-Gulati & Jain, 2010). However, domestic chains also play an integral role to stabilize India’s economic growth, as well as to give the economy a fairly systematic resilience. The Indian government, on the other hand, has to play its part not to let foreign corporations take