Cadim: the China and India Real Estate Market Entry Decisions

Attracting foreign capital (Indian government encouraged foreign investment) for new ventures. Foreign investors feel more comfortable working with a reputable party. Appendix 7 provides evidence of this (e.g. ventures with IBM, AT&T, Bell Canada).

Can we prevent any or all of these factors from having an impact on the property market?

India with about 1.2 million populations and china with about 1.3 billon population are two big demographic and emerging countries in the world .Over a past few decade India’s combination into the economic has been accompanied by remarkable economic growth (World Bank 2011¬).India is having the 3th position on the economy in purchasing power parity (PPP) terms (The Economic Times, 2012). India’s total GDP (gross Domestic Product) growth was 5.5% in 2012 and inflation rate is was .........(The Economist, 2012) .According to government of India poverty has been decline from 37.2% in 2004 to 29.8% in 2010 (world bank 2011).The major economic growth sectors

It should be clear that India 's economic policies are designed to attract significant capital inflows into India on a sustained basis to encourage technology collaboration agreements between India and foreign firms. Policy initiatives taken over the past few years have resulted in a significant investment in all areas of the economy, except those reserved for the public sector.

The Indian economy is the 12th largest in the world and the third largest in Asia after China and Japan. Of the one billion residents about 320 million have an income that enables them to purchase consumer goods and 25%

India is the second largest market and economy in Asia, after China, and the world’s largest democracy, which gives international businesses the opportunity to invest in the country. India’s economic power and potential presents a strategic option to the global businesses, to step into the country and conduct their business activities. However, politics and the corruption that prevailed in India in the past has hampered with the growth of the country. The decelerated growth rate in

This study is focusing on real-estate sector in China, and especially on property market. In 2017, property and construction both account for approximately 15% of the whole economy (share to GDP), with property alone directly impacting around 40 other industries (Chen and Glenn, 2017) with a tendency for the Chinese government to heavily rely on infrastructure development to sustain growth in the long term (Letts, 2017). When ancillary industries are taken into account, the real estate impact on Chinese GDP is estimated to be around 35% (Anderlini, 2015 / Cao, 2014).

The development of a county’s economy is largely influence by their financial market and their ability to trade with other countries. In the recent past India’s rapidly growing domestic market has made them an attractive country for investors to invest. Although India is still considered an “emerging country” a term which is commonly used to refer to countries that do not enjoy the same level of economic security, industrialization and growth as developed countries. The

Asian crisis – premature financial liberalisation and timing. Govt planning to improve investment qualities, create an enabling environment. India’s five yr plan – investment heavy plan in line with harrod domar model.

Existing studies reveals that the huge surge in international capital flows since early 1990s has created unprecedented opportunities for the developing countries like India to achieve accelerated economic growth. International financial institutions routinely advise developing countries to adopt policy regimes that encourage capital inflows. Since the introduction of the reform process in the early 1990s, India has witnessed a significant increase in capital inflows. The size of net capital inflows to India increased from US $ 7.1 billion in 1990-91 to US $ 108.0 billion in 2007-08. Today, India has one of the highest net capital inflows among the EMEs of Asia. Capital inflows, however, not an unmitigated

India is moving towards fast paced economic growth. After India entered Open Market Operations under the leadership of Prime Minister P.V. Narsimha Rao, economic policies endured lots of opportunities for foreign direct investment further offering people new windows of employment and growth of the nation overall. In the reports of McKinsey 's India 's Urban awakening, "it has been mentioned that many countries are facing problems of aging population whereas India comparatively has a young and growing population which is a potential demographic advantage". For this advantage to work wonders, India needs urban centers with better transportation, infrastructural facilities and housing. In the very same report of McKinsey, "it said that the urban economy will provide 85 percent of total revenue, which will finance development nationwide". Thus report of McKinsey indirectly states that cities are the engines of growth, hence with better transportation system and infrastructure the urban development will enhance at a faster pace.

India is an emerging economy that is witnessing unprecedented levels of economic expansion. It is widely expected that India may overtake China as the world’s fastest growing major economy by 2015. However it is not easy to sustain high levels of economic growth rates. There were a number of countries that experienced a high economic growth rate but were unable to sustain it for a long period of time. In order to determine whether India can sustain its economic growth rate we need to study the various factors that create an impact on India’s economy.

The system of banking in India is very extensive. The value of Indian banking sector is US$270 billion. And the deposit of the Indian banking sector is US$220 billion. Now the Indian banking sector has changed. Nowadays using of things like internet banking and core banking have made the daily operations of bank more easy to use. Mumbai is also known as the trade and commerce capital of India. These are the few basic things which are related to the Indian economy like Indian rupee is equal to 100 pause, the fiscal year is from 1 April-31 March, the trade organisations are WTO,SAFTA,BRICS,G2O and others. The current GDP growth is 5.8%.If we see the GDP in sectorial wise then in agriculture the GDP is 13.7%, in the industry sector the GDP is 21.5% and in the service sector it is64.8%The unemployment percentage in the urban areas is 3% and in the rural areas it is 2%.and in the numbers I id 10.8 million. The main industries in India are agriculture, petroleum products, chemicals, pharmaceuticals, software,

In India the real estate sector comes second in terms of employment generation, the first being agriculture industry and it contributes almost 5% of the country’s GDP.

The financial sector in India had an overall growth of 15%, which has exhibited stability over the