Why doesn't India have companies like Tesla?

Only USA has Tesla, so its not like only India doesn't have Tesla. You need to have a combination of the following for large high tech companies like Tesla to flourish.

  1. A technology ecosystem. This is a chicken and egg problem. You need to have a technology suppliers who can produce quality components to specification. For example, if I want to make a new drive train, I need to have suppliers who provide the sub components at an acceptable quality. Fact is, there should be either a great force or incentive for this to happen. In the case of Europe and USA, they had wars to  fight which incentivized/forced a lot of R&D and establishment of supplier base. We never fought major wars of that scale. So there was never that push.
  2. A investor community. You need couple of billion dollars to develop and actually produce a car like Model S. Someone should suck it up and invest the money taking the risk. India doesn't have that investor culture nor the free capital as yet. But its starting to happen at least in IT related industry. Part of reason for dearth of capital is the high interest rate prevailing in India. People would rather invest in a 'safe' government bond that investing in a risky startup.
  3. A large market that can absorb expensive first generation products. India sure has a big market. But the average expendable income is a fraction compared to the US'. You need early adopters who are less price sensitive and are ready to adopt new technology understanding its inherent risks.

But we are closing in. More and more Indians are becoming global citizens now. People are starting to look for problems to solve as opportunities rather than a menace. Things are looking bright!


India has companies like tesla !!

India is going through unprecedented transformation as a nation. It's turning into a product economy from a service economy. We are no longer looked upon as an outsourcing destination for availability of inexpensive software talent

If talking about electric cars,  the concept is new to even the developed nation with tons of electric charging stations .

India has always been a country in which fully tested technology is appraised.

New technology fails . and tesla being one of the company using disruptive technology, India will be very bad place to try and setup market for it.

India's infrastructure doesn't allow companies like tesla to boom.

YO-BIKE really flourished in India. it is doubling its sales each quarter.


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