Opportunities and Risks in India and China

The globalisation of markets and the globalisation of production towards a more integrated and interdependent world economy is one of the fundamental changes in modern world history. Former isolated countries are opening up and as a result becoming fast growing economies. The two most impressive of all developing countries (emerging markets) for different reasons are China and India. China and India can also be described as newly industrialised economies (NIEs) which are politically stable, have free market systems and are approaching western standards. This report shows the opportunities and risks for multinational companies (MNCs) businesses in China and India, illustrated by several examples of MNCs experiences in those countries. In the end, the analysis leads to a recommendation by the author which of these economies is more attractive to do business in.