2011 Cambridge Business & Economics Conference
ISBN : 9780974211428
China vs. India: Where Should We Invest? Looking For The
Answer In TV Viewing Habits.
Dr. Jean-Luc Grosso
McDavid Professor of Business Administration
University of South Carolina
United States
(803) 938-3859
jlgrosso@mailbox.sc.edu
Dr. Teresa L. Smith
Julian T. Buxton Professor of Business Administration
University of South Carolina
United States
(803) 938-3710
tlsmith0@mailbox.sc.edu
Sheryl Grosso
University of South Carolina
United States
(803) 938-3741
slgrosso@mailbox.sc.edu
June 27-28, 2011
Cambridge, UK
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2011 Cambridge Business & Economics Conference
ISBN : 9780974211428
China vs. India: Where Should We Invest? Looking For The
Answer In TV Viewing Habits.
ABSTRACT
China and India, two of the BRIC nations, have become major players in the latest phase of
globalization. They have created very important opportunities for businesses around the world.
China and India, even though affected by the Great Recession, appear to have already resumed
their rapid growth while the rest of world is still struggling with high unemployment and
sluggish GDP growth. As a matter of fact, by 2050 they are forecast to be the first and third
largest economies in the world respectively. However, it seems that the popular western world
strategy is to aggressively focus on China and to somewhat take a wait-and-see attitude towards
India, which is considered a better a better play for the longer-term. We propose that believing
that India’s opportunities should be “put on the back burner” will lead to missing out on greater
opportunities than those offered by the Chinese market.
In this paper we have analyzed years of economic growth in China and India, and potential for
future growth, and we found that the economic trends, coupled with social changes, make India a
better candidate for direct investments. Not only India is a democratic, demand-driven economy
and also has a legal structure that the Western world is more accustomed to, but the cultural
shifts which have occurred over the past few decades have changed the social structure. Our
analysis shows that the changing economic and social structures have made India a more
attractive market than China, and how those culture/social changes have happened, what caused
them: the answer is the couch potato!
References available upon request.
June 27-28, 2011
Cambridge, UK
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