The curious case of India

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Emerging economies have a very specific structure, very different from that of developed countries. In India, there is a great need to equalize the standard of living of the population and one of the ways to do philippine cellphone number code this is through innovation. Moreover, India, thanks to its location, interacts significantly with neighboring countries. India's position in terms of international competitiveness has improved in recent years. An improvement in quantitative indicators relating to human capital has been noted, but at the same time the relatively low quality of education at various educational levels and the resulting shortage, relative to needs, of talent on the market have been highlighted.

Interestingly, India spends a small percentage of GDP on R&D (less than 1%). This contrasts with China's 2.4% in 2020 and the OECD average of 2.6%.

On the positive side, a gradual change in the structure of actors in R&D funding is observed, i.e. an increasing number of companies. India has very few patent applications, while the country's strengths include the number of scientific articles and their number of citations. The country is specialized in disciplines such as:

organic chemistry,
pharmaceutical and biotechnology,
medical equipment,
computer techniques.



This is where foreign entrepreneurs are most likely to place their capital due to the low labour costs. Almost 50% of all investments were in the manufacturing sector. Investors are also increasingly willing to invest in research, testing and technical services, where the added value is much higher than in other sectors. If a foreign entrepreneur chooses India as a destination country to expand his business, there may be three reasons why he does so: