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Why India is Becoming the Preferred Destination for Business Expansion and Relocation
- Julia Koblischke
- 3 days ago
- 7 min read
India has emerged as a global powerhouse, attracting businesses from around the world seeking expansion and relocation opportunities. With robust economic growth, a skilled (and constantly growing) workforce, favorable government policies, and a burgeoning domestic market, India offers many advantages for companies looking to thrive in a competitive (and lately - rapidly changing) global landscape.
What Makes India a Good Business Destination
Let's take a look at what India offers, and why it may be your next expansion or relocation destination.
India’s Talent Market: A Competitive Advantage
Skilled and Diverse Workforce
India produces over 1.5 million engineering graduates each year, alongside a growing pool of professionals in IT, healthcare, and finance. Additionally, a rising number of skilled professionals are returning to India. According to LinkedIn data, software engineering is the top job among those migrating back.(1)
The country’s expertise in emerging technologies such as artificial intelligence (AI), cloud computing, and data analytics positions it as a leader in digital transformation. This talent pool is not only vast but also adaptable to global trends, making Indian professionals highly sought after by multinational corporations.
Employability is expected to reach 54.81% in 2025, up from 47.28% in 2019. Workforce gender balance is improving, too, with projections of 53.46% men and 47.53% women.
Top-performing states in employability include Maharashtra, Delhi, Andhra Pradesh, Kerala, Uttar Pradesh, Karnataka, and Gujarat. (2,3)
Cost-Effective Talent Supply
One of India’s standout advantages is its cost-effective workforce. Compared to Western markets, Indian professionals offer high-quality skills at competitive costs. English proficiency further enhances their ability to integrate seamlessly into multinational teams.
Government Incentives for Foreign Investors
Simplified Regulations
The Indian government has introduced single-window clearance systems and reduced compliance burdens to attract foreign investments (5). Revamped Bilateral Investment Treaties (BITs) further ensure smoother entry for international businesses.
Tax Incentives
Corporate tax rates for new manufacturing units have been slashed to 15%, while startups enjoy extended tax holidays (5). These measures make India an attractive destination for both established corporations and emerging enterprises.
Infrastructure Development
India’s infrastructure investment plan includes industrial corridors and Special Economic Zones (SEZs) such as GIFT City (Gujarat International Finance Tec-City). Public-private partnerships are driving logistics improvements, enhancing operational efficiency for businesses relocating to India.
Incentives for "Reverse Flipping" Back to India
The trend of “reverse flipping,” where Indian-origin startups relocate their headquarters back to India, is gaining traction due to favorable government policies. Initiatives like GIFT City offer minimal tax impacts and simplified regulations. Companies such as PhonePe, Pepperfry, Razorpay, Udaan, Pine Labs, and Meesho are already in the process of returning to India or have finished the process. (4)
Economic Stability and Growth Opportunities
India’s GDP growth is projected at 6.5–7% in 2025, supported by strong macroeconomic fundamentals 1. This stability attracts long-term investments across various sectors.
Key industries such as IT are expected to grow by 15–20% due to advancements in AI and cloud computing. Meanwhile, the manufacturing sector benefits from Production Linked Incentive (PLI) schemes targeting renewable energy and semiconductors (6, 7)
Gateway to Global Markets
India’s strategic location provides access to Asia-Pacific and Middle Eastern markets, making it an ideal hub for global operations. In the Interim Budget 2024–25, India increased its capital investment outlay for infrastructure by 11.1%, bringing it to 3.4% of GDP. For context, infrastructure investment stands at 4.8% in China, 1.31% in Switzerland, 1.1% in Japan, 0.9% in the UK, 0.77% in Germany, and 0.51% in the US. (8)
In addition to developing domestic infrastructure, India is actively extending its global footprint. The long-term agreement to operate Iran’s Chabahar Port marks a significant move toward enhancing trade connectivity with Central Asia.
As India’s first overseas port operation, it represents a strategic step in expanding regional influence through maritime infrastructure. This initiative is seen as a calculated counterbalance to Pakistan’s Gwadar Port, which is being developed under China’s Belt and Road Initiative.
The Indian government has also expressed interest in pursuing similar international port projects, reinforcing its commitment to building strategic trade corridors. (9)
Expanding Consumer Base
With a growing middle class driving demand across industries like retail, e-commerce, and financial services, India offers immense market potential for businesses seeking expansion.
The Role of Recruitment Process Outsourcing in India
Recruitment Process Outsourcing (RPO) has become a critical tool for companies expanding into India or managing fluctuating hiring demands globally. RPO providers like Serendi.com offer tailored solutions that optimize recruitment processes while reducing costs significantly. For instance:
Cost Savings: RPO reduces recruitment expenses by up to 50% through efficient strategies.
Faster Hiring: Critical roles are filled up to 40% faster with streamlined processes.
Scalability: Businesses can scale hiring efforts based on demand without disrupting internal HR functions.
Superior Candidate Experience: RPO providers ensure seamless recruitment processes that strengthen employer branding.
Serendi.com specializes in customizable RPO models such as End-to-End RPO, Hybrid RPO, Project RPO, and On-demand RPO. These recruitment solutions cater to diverse hiring needs. Whether for urgent projects or long-term workforce planning.
Recruitment Process Outsourcing in India: Case Studies
A global IT provider in the air transport industry was struggling to hire top-tier IT talent across multiple locations (India, Singapore, Dubai, EU, and US) during a significant restructure.
They needed multiple roles filled, from cybersecurity specialists to senior-level positions. Budgets were lower or limited compared to the job market and candidates’ salary expectations. We delivered an end-to-end RPO solution that boosted candidate volume by 68%, reduced hiring costs by 35%, and cut time-to-hire by 40%.
An IoT solutions company needed ultra-niche R&D talent across multiple locations, with only 30 to 40 suitable profiles globally.
They also required talent insights to support their global, talent-centric hiring strategy. Our dedicated team delivered targeted shortlists and deep market analysis, resulting in a 55% cost reduction and 40% shorter time-to-hire.
A leading global manufacturer in the pigment and dye industry needed recruitment support to fill a variety of technical and specialist roles across Asia.
With limited internal resources to manage hiring across multiple countries, the company partnered with Serendi to implement a tailored Recruitment Process Outsourcing (RPO) solution. Serendi provided off-site recruiters and sourcing consultants to ensure consistent, high-quality talent acquisition across all targeted regions. As a result, the company saw a 50% increase in candidates within the pipeline, a 55% reduction in recruitment costs, and a 28% shorter time-to-hire.
How Recruitment Process Outsourcing Companies in India Solve a Major Challenge
India’s talent pool is growing fast, but so is the challenge of filtering the right candidates. In one instance, 23 million people applied for 100,000 Indian Railways jobs. In another, 2.3 million applicants vied for just 368 clerical roles in Uttar Pradesh - over 6,000 candidates per opening.
Although these are extreme examples driven by recruitment trends and government job demand, the private sector faces similar volume issues. India sees far more applications per job than most markets. In 2025, 49% of job seekers are applying to more roles than ever, while hearing back less.
Furthermore, over 82% of professionals in India are actively seeking new opportunities this year, indicating the sheer scale of applications employers receive.
27% of HR professionals spend 3–5 hours a day reviewing resumes. At the same time, most of them say that 50% don't even match job requirements. (11,12)
Recruitment Process Outsourcing offers many benefits in optimizing hiring for businesses growing, relocating, or scaling in India. With a mix of AI-driven tools and a team of experts (60% psychology-qualified and 15% behavior specialists), we deliver high-quality talent fast, achieving up to 96% candidate probation success rate.
By offering tailored recruitment models such as End-to-End RPO or Project RPO, Serendi ensures faster hiring times while significantly reducing recruitment costs.
Ready to Simplify Recruitment in India?
Cut hiring time by 40% and reduce costs by 50%
Our Offices in India
Serendi India Private Limited
44 Backary Portion, 2nd Floor, Regal Building
IN-110001 New Delhi
About the Author
Julia Koblischke is a Business Development Manager at Serendi.
Julia has over 8 years of cross-industry, international experience in talent acquisition and account management, advising our clients in Western Europe and AMER. Her passion lies in transparent communication, connecting people with the right opportunities, and helping companies achieve growth and success.
Frequently Asked Questions About Recruitment Companies in India
What is Recruitment Process Outsourcing?
Recruitment Process Outsourcing (RPO) is a strategy where companies outsource part or all of their hiring processes to specialized providers. These providers handle tasks like sourcing, screening, and onboarding, acting as an extension of the HR team. In India, recruitment process outsourcing services are popular due to the country’s skilled and cost-effective workforce. Businesses hiring employees in India or looking to hire in India can leverage RPO solutions to streamline recruitment, reduce costs, and access top talent efficiently.
What Are the Benefits of RPO?
RPO offers key advantages for businesses partnering with a recruitment process outsourcing company in India:
Cost Savings: Efficient processes lower hiring expenses.
Faster Hiring: Advanced tools ensure quicker time-to-hire.
Access to Talent: Providers maintain pipelines of skilled professionals.
Scalability: Flexible solutions adapt to fluctuating hiring needs.
Branding: Enhanced employer visibility attracts top candidates.
The best recruitment process outsourcing services in India combine expertise and technology to deliver measurable results.
What makes Serendi one of the top RPO companies in India?
Serendi is a leading provider of recruitment process outsourcing services in India. With a proven track record across industries and regions, Serendi brings 15 years of RPO expertise, AI-driven recruitment technology, and a deep understanding of the Indian talent market and candidate psychology. Our industry leadership is recognized globally:
Ranked among the Top RPOs in HRO Today’s 2023 Baker’s Dozen
Named Star Performer in Everest Group’s 2023 RPO PEAK Matrix® (EMEA)
How does Serendi RPO outperform staffing agencies?
Unlike a recruitment agency, an RPO provider:
Manages the entire recruitment lifecycle, not just job placements
Embeds within your team to align with your culture and security needs
Reduces time-to-hire by up to 40%
Cuts recruitment costs by up to 50%
Improves quality of hire - 98.6% of Serendi hires pass probation
RPO is designed for long-term talent success, not short-term transactions.
How quickly can Serendi help me hire in India?
Serendi’s RPO model enables full go-live in just 1–2 weeks, with measurable outcomes like:
40% faster time-to-hire
35–50% recruitment cost savings
97–98% probation pass rate
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