Technological And Regulatory Environment In India

T E C H N O LO G I C A L A N D R E G U L AT O RY ENVIRONMENT IN INDIA

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Technological Environment in Technological environment in India should

be favorable to quality improvement, cost reduction, & introduction to new products In market. It should also lead to Industrial development with global competitiveness. In India, the government has setup large number of R & D Activities, space research centers etc. for introduction of new technology in different areas.

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For a long period of time, technological environment was not favorable for introduction of updated technology ion manufacturing activities. Funds & Import Policies were not freely provided for import of updated foreign technology. Foreign collaboration & joint ventures were also not freely allowed. The scope given to MNC’s were limited.

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Research & development activities were not given encouragement through special facilities/concessions. This suggests that technological environment was not favorable to industrial growth till the beginning of economic reforms and globalization by 1980’s.

Ø Now, the technological environment has changed considerably along with liberalization and globalization of Indian Economy. Ø The need of updated technology in Indian industries was accepted for cost reduction, quality improvement and raising competitiveness of Indian goods in domestic & foreign markets. Ø Foreign exchange and liberal imports are now allowed for the introduction of new technologies in Indian industries. Ø The expansion of infrastructure facilities in regard to transport , communication, electricity etc also encourages the application of modern technology to industries.

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Importance of Upgrading Technological Environment is Accepted. Liberal facilities provided for technological up gradation. Importance of modernization of India.

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Significance of Quality Improvement. Technological development and business development.

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Regulatory Environment In Regulatory Environment is the result of various

laws made for avoiding evils in Industrial Growth. Regulations are necessary for avoiding excessive Industrial activities in big cities. They are required for pollution and ecological imbalance. However they should not create obstacles in Industrial growth. In early thirty Years Regulatory Environment was responsible for corruption , Favourism , etc. Fortunately Regulatory Environment is now made Simple , Easy and Quick in recent years .

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Role of various laws creating regulatory Environment. Unwanted restrictions creates Obstacles in Industrial Growth for long period. Relaxation of Restrictions. Liberalization of economic policies for favorable regulatory Environment . Favorable to Rapid Industrial Growth.

Conclusion: The Regulatory Environment in India is becoming favorable to Indian business due to economic reforms and Liberalization. Establishment of business enterprises is now easily possible due to procedural simplification. Joint Ventures and Collaboration are also possible with limited formalities. Capital can be raised easily from the market