Foreign direct investment in Indian retail sector

This paper deals with the issues related to FDI in Indian retail sector, economic progress in the planning era and the emerging issues under globalization. It examines the socio-economic magnitudes, problems and challenges of the country as well as the pitfalls in FDI planning in India. The paper also makes some policy suggestions to address the constraints in promoting sustainable FDI in India. India is the third largest emerging market economy in the world. The retail sector contributes to more than 10% of India's GDP and gives employment to around 40 million people in India. Thus, flow of Foreign Direct Investment will have a huge impact on the economic performance of the country. In view of some of the shortcomings observed in the SWOT analysis, FDI in retailing is going to attract global retail players but India should welcome them with a talented pool of human resources by promoting institution imparting knowledge in retailing.