Exploring entry strategies for foreign multinationals into the Indian oil and gas sector

Abstract

Multinationals all over the world are looking to set up shop in India due to the opportunities afforded by a huge population, an economy on the rise and a technically adept workforce. In recent years, MNCs have entered India with a variety of strategies like the subsidiary route, mergers and strategic alliances as well as all out takeovers of ailing Indian Industries. In numerous cases strategies that might have worked for entering into other developing countries have not been similarly successful in the Indian context. We have identified the Oil and Gas Industry in India as one where the scenario is very dynamic and affords huge opportunities to foreign players, but at the same time forces these experienced companies to face new challenges. Through this study we seek to explore the factors that Oil & Gas companies need to consider before they try to enter India. Once these key issues are identified, the right strategy to do business in the Oil & Gas sector is discussed.