According to the BRIC report published by Goldman Sachs (2003), India’s economy will become the third largest in the world by 2032, ranking just after the United States and China. Further, India’s demographic advantage opens a huge potential local market. More than half the population is under 20 years of age and the Indian middle class counts among 300 million consumers. Along with China, the future of the world’s markets will be concentrated in Asia.
Low cost arbitrage in the IT and BPO sectors were undoubtedly responsible for making India a technology powerhouse. But the road ahead lies making the most of India’s emerging innovation expertise and potential in the private equity sector.
India is also emerging as a chief innovator in terms of developing relevant business models that maximize the ideology of value consciousness and value addition. Given India’s size and resources, efficient models that have emerged from India are being implemented and reproduced around the world.
By identifying and leveraging emerging players of high potential and using a logic of value addition and innovation by domain, one can exploit the true potential of the Indian Eldorado.