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India and the United States Relationships

Every nation has its unique ways of doing things despite globalization trends. Some countries have already developed; others are developing while others are less developed like third world countries. Third-world countries are faced with many challenges including poverty, hunger, and political instability. The developing countries have challenges, but they are not widespread and they struggle for technology and development to address them. The United States is considered to be a developed nation; its technology provides high levels of economic development. India has developed to a certain extent in terms of technology and other developments. Since India moved from a socialist economy to an open economy scheme, it has engaged in many domestic and global markets. Even though India has borrowed much from the United States, it has concentrated on its own ways of development, and it has relied heavily on its manpower for innovations. This has made India be among the fast-developing nations in the world in terms of business, marketing, and technology. The author of this essay will look at various similarities and differences between these two countries in terms of marketing environments that are influenced by social, technological, cultural, political, economic, and legal factors.

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India is a country with a big population, which provides the nation with manpower for the industries as compared to the U.S. where most of its workers are immigrants. This helps in reducing the unemployment rate within the state. India is incorporating many strategies to reach its goals as a nation. The major strategies that are used to achieve development include; agricultural and food processing reforms, governance and its role in development, climate adaptation mechanisms, and improving industries in the nation. All this is done to improve its global economic market and become the leading nation in the world. India has exported its manpower to third-world countries to offer services like healthcare. The U.S. is continuously developing with many strategies to incorporate technology in their developments to ensure that they offer the best services in the world. The marketing environment of each nation is influenced by such factors as social, cultural, economic, technological, legal, and political aspects of the country.

Socio-cultural Factors

Culture includes the beliefs, values, customs, and behaviors of individuals about religion, family, social systems, and education. This determines what is produced and marketed within and outside the country. The exporter must consider the cultures of the foreign markets to ensure success is achieved in marketing products internationally. The U.S. and India have differences in their cultural backgrounds; this helps in implementing different marketing strategies and programs. Socio-cultural aspects include the language, colors, and values that determine what is sold and consumed. For instance, if a company in America wishes to advertise a product in India, it must use the language understood by the Indians. For example, Hindus value religion thus they do not consume beef while citizens of the U.S. value symbolic things to show their status. Americans value processed products while Indians like natural products. Therefore, any individual investing in one of these countries must consider the socio-cultural factors in these nations.

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Legal and Political Influence

Political stability is important for any business to be successful. Also, the legal procedures must be favorable for the operation of the business. Government sets the rules and regulations that affect the business in terms of acquiring patents, and registration of trade names. Government laws on importation and exportation such as imposing tariffs, taxes, quotas, trading blocs, and agreements affect the investors. Also, political stability determines the exchange rate of currency during foreign trade. If there is political stability, then many firms, such as multinationals, will invest in that country. The U.S. enjoys free trading blocs, which enables it to market its products internationally, thereby raising its revenue by a third. For instance, NAFTA (North America Free Trade Agreements) where the U.S. is a member has no barriers to trade. Liberalization and entry to an open economy have opened the doors to foreign investors who have invested in India. Policies have been favorable because of good leadership in the government. However, as the majority of the Indian population lives below the poverty line, the state's administration has controlled the type and number of firms that enter their markets. Technology-oriented firms, especially from the U.S., have entered the Indian market, while those that sell consumer products still face stiff competition from Indian companies.

Economic Factors

The economic environment categorizes countries according to economic growth achieved. There are industrialized countries that have developed like the U.S. with a high income per capita, high literacy rates, and the use of modern technology. Others are developing, like India, which depends heavily on agriculture and other small-scale industries, but they are rising in terms of education, income per capita, and the use of technology. Some states are less developed, have low living standards and literacy levels, and minimal use of technology. A large population in developing nations provides a ready market. In developed nations, most markets are saturated with products hence the firms face stiff competition. Indian consumers do not value the quality but the affordability of the products they consume. They commonly practice recycling to avoid the cost and saving by consuming less and taking under-dose in case of medicine. Indians value their tradition; therefore they do not spend much on replacements or in modern technologies, and also they prefer unprocessed products. Americans enjoy buying in large quantities to obtain discounts, and this is not considered in India. Price promotions in the U.S. encourage the consumers, which cannot be said about India. After-sales services attract and maintain Indian consumers, unlike Americans.

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Technological Factors

Transportation and communication networks affect business activities locally. Poorly developed systems discourage investors because they increase the cost of operation. Technology is applied everywhere, and machines and equipment need to be well operated by competent personnel. Therefore, technology is important to all businesses in countries that want to achieve growth. The U.S. has well-developed technology as compared to India but India is incorporating its use in most of its industries to achieve efficiency.


The marketing environment includes several factors that the company has no power to control and which affect the running of the business. These factors affect marketing because marketing is the key to the success of any company as the products must be sold to achieve the business goals. Although the U.S. and India have different backgrounds, they should adopt the good practice of each other to achieve success. India is becoming the leader in the global market because of its strategies to address the current market trends. The U.S. is a developed state, but it still needs to seek ways for further improvement so that it can maintain its status.

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