Indian Cities Where Foreign Companies are Interested to Start Business

Indian economy and sentiments vary from the West. Due to the productive economic policies launched and major decisions taken by the government to reinforce the Indian economy in the recent time, the world is hailing India for its fastest growing economy. India is the land of opportunities and with the commendable rise in different industries like infrastructure, IT, automobile, logistics, oil and gas and real estate; the foreign ventures are considering this business hotspot a golden mine. The Indian market comprises of over 1.2 million populace which is a very positive sign for the foreign investors.
Smart Cities, a common term heard nowadays are a great choice for foreign investments. The Indian Government has tagged few Indian cities as Smart Cities based on the factors like adequate water supply, health and education, great IT connectivity, advanced digitalization, economic housing for the poor, how safe and secure the women, children and senior citizens are in the society, Enduring environment, sufficient electricity supply, sanitation and solid waste management, good urban mobility and sufficient public transport and a good governance. All these amenities cut down on the worries of a foreign company and encourage it to come up with great investment and innovative ideas.

Selecting a Metropolis For Business

Be it holding a huge amount of the world’s population or commendably developing economy – India has been in the list of the foreign investors for a decade for many reasons. The evolution of the technology in India has created a plethora of job opportunities here and that helped the outsourcing flow to spruce up exponentially. Considering different surveys, Smart City tag and the yearly growth in different sectors, the best cities in India to establish a foreign company or a branch are –


Pune has always been a great investment location in India due to the presence of different industries and the proximity to Mumbai. The growth in the sectors like education, IT, engineering and automobile has added to the city’s GDP incredibly. The homebuyers find the environment and the weather of Pune a year-long bonanza for their business while the Mumbai-Pune expressway is a tempting factor to set up a business for the foreign investors. The affordable realty sector is also a big reason for the city to be a coveted business destination.
The Pune International Airport proposal is also an inviting reason for the foreign investors. The insufficient international flight availability through the existing Pune Airport has made the government take the initiative about the Pune International airport, which is expected to be bigger and more convenient for the international passengers. The international airport is being developed near the Rajgurunagar area where a great metro connectivity is expected.
Many German companies like Volkswagen, Mercedes Benz, Siemens and Thyssenkrupp are already relishing the market scenario being in a JV. The FDI conditions are becoming more flexible with time, which is inspiring the foreign ventures to put their money in India.


Indore, the fastest developing city and the commercial capital of Madhya Pradesh has been the manufacturing hub for a long while. The city already has many international JVs in the manufacturing sector. The recent growth in the IT arena has managed to capture the attention of more foreign investors. Indore is a cost-effective city in terms of space rentals or purchase in comparison to the metro towns. New industries can easily find the best business and technical minds here due to the presence of the most reputed institutes of the nation like IITs and IIMs.
A business’ feasibility depends on lots of factors. Indore avails a venture with almost all the possible resources. The city has the largest number of food joints in the country. People in Indore are foodies and they love to try every new cuisine in the city and make it trending in no time. A plethora of national and international food joints have flourished here and the number is still increasing every year.
Indore’s GDP is more than $14 Billion. Apart from the food joints, the city also stands out in terms of IT giants. There are many high revenue generating software companies like MMF Infotech Technologies Pvt. Ltd, Canopus Infosystems, Coisys Solutions and LinuxBean Solution in Indore that are offering exceptional services across the nation. The job opportunities in Indore are flourishing like a dream. The presence of a plethora of industries in Pithampur, Indore brings down the raw material costs and no foreign venture would like to miss this opportunity, especially when the material prices have come to affordable levels after the demonetization.


For a long while, Gujarat has been in the news for its amazing GDP and the opening of various industries. Ahmedabad has been already an oasis to different international companies like Cadila and Torrent Pharmaceuticals. A foreign investment in the city is a sure shot profitable step. For years, the city has generated big revenues through business and trading. The primary sectors to keep the economic status of the city in the top gear include automobile, chemicals, textile and engineering. The city has shown a big jump in the employment growth due to the inception of big infrastructure projects like BRTS. At an affordable price, a foreign company can explore the high-end areas of Ahmedabad like Nehru Nagar, Ambawadi and Navrangpura for setting up a branch or office.
One of the biggest treats for the foreign investors in Ahmedabad and the nearby territories is GIFT city. It’s an under process central investment zone, which invites global businesses with an assurance to provide the first-rate infrastructure, integrated townships and multiple world class amenities that will boost their new business here. The zone is located between Ahmedabad and Gandhinagar. The Ahmedabad metro proposal has been granted and the work is in progress. In the coming years, a big surge will be seen in the overall growth of the city which makes the city a good investment choice at the present time.
In spite of the ‘TRUMP EFFECT’ and BREXIT creating panic in the global market, the Indian Union Budget seems promising for the foreign investments. The profitable sectors or the sectors that will show bullishness ahead include automobile, infrastructure, logistics, construction and real estate. The IT sector is also in a decent position notwithstanding President Trump’s H-1B Visa declaration. The overall market scenario is positive and inviting for the foreign investors and a big boom can be expected in lots of sectors soon due to the latest FDI policies.