In contrast with other Asian countries, India's labor costs are relatively cheaper, and this is one of the crucial factors in determining whether to commence manufacturing operations in the nation. India provides a significant advantage over its competitors and is imperative for manufacturing firms. The availability of both skilled and semi-skilled workers is quite high, and firms can make use of this labor to improve production efficiency and keep costs minimal. More importanly, the cost reduction from labors and the huge market potential form an attractive proposition for japanese manufacturing firms targeting India for business improvment.
Panasonic has a seamless business operations in India, dealing with manufacturing and distributing a plethora of electronic equipments. The firm has a strong presence in the consumer electronics market and manufacturing.
Romal Shetty, the CEO of Deloitte-South Asia said "the global firms are moving their manufacturing operations to India as there is no other country in the world outside China that can match the scale that India has"