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Why do many investors resort to acquisitions to establish operations in India, and what advantages does this route offer?

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Why do many investors resort to acquisitions to establish operations in India, and what advantages does this route offer?

Posted On July 2014

Acquiring an existing Indian firm to facilitate entry into India offers advantages to foreign investors such as reduced supply chain and establishment costs, a pre-existing sales base and a rapid establishment of market position, to name a few. However, investors should be aware that sectoral restrictions on foreign ownership may reduce potential acquisition targets, and all foreign acquisitions are subject to approval by the Indian Supreme Court.

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