What are the advantages to foreign companies in setting up production in India?

Answer: The advantages to foreign companies in setting up their production in India is as follows:

1. Foreign companies come to India because of the cheap labour. The wages that the companies pay to workers in foreign countries are far higher than what they have to pay to workers in India.
2. Low wages and long hours of work.
3. Minimum additional expenses, such as housing facilities for workers. Thus, companies can save costs and earn higher profits.
4. Cost cutting can also be done by other more dangerous means, like lowering working conditions, including lower safety measures.