Services Marketing, 2nd Edition

4

The Services Sector in the Indian Economy

LEARNING OBJECTIVES

After studying this chapter, you will be able to:

• Describe the status of the services sector in India

• Understand the reasons for the growth of services

• Identify the key services in India

In 1770, India was the second largest economy in the world, contributing more than 20 per cent of the world output.¹ Two centuries later, in 1970, India's contribution had plummeted to three per cent, thanks to the economic stagnation during the imperialist British regime and the inward-looking, state interventionist policies followed since independence. The 1991 reforms removed the obstacles to economic freedom and helped India catch up and find its place in the global economy.

 

Currently, ...