Question

A survey of U.S. manufacturers shows that 95 percent of respondents with Indian operations plan on expanding, and none say they are leaving. Which of the following is primarily behind this new trend?

Answer 1

The availability of skilled labor, growth of India's middle class, and India's position in the global economy are primarily behind the new trend of U.S. manufacturers expanding their operations in India.

Step-by-step explanation:

The primary reason behind the new trend of U.S. manufacturers expanding their operations in India is the availability of skilled labor and the growth of India's middle class. India's educated and English-speaking young workforce has made it a desirable location for global outsourcing of customer service and information activities, which has created high demand for service center jobs. Additionally, India's urban centers have positioned themselves well to take advantage of the global economy, leading to the growth of manufacturing and industrial sectors.