Shaadi.com founder Anupam Mittal lately highlighted a significant trend emerging in the tech industry with respect to Indian startup scene. He referred it as the “great Indian tech ghar wapsi.” It means the homecoming for many startups that once had set up their bases abroad. They are now choosing to return back to India and the shift marks a crucial moment in the evolution of India’s startup ecosystem.
Most of the Indian startups were for years encouraged to incorporate abroad due to regulatory concerns and lack of enthusiasm from foreign investors. It was widely believed that doing business from overseas locations like Singapore or the United States was easier as well as more lucrative. The domestic market was equipped with hurdles and it was perceived that some of the overseas countries provided comparatively more favorable conditions. Hence, many entrepreneurs were inclined towards taking their operations abroad.
Mittal said, “Look, sooner or later, Ghar Wapsi was inevitable.” He described the return as driven by the growing confidence in India’s market potential. The Indian market is maturing and it is now becoming clear that unique opportunities are waiting for the startups. The depth and breadth of domestic market has expanded. There is now room for significant growth and innovation.
Mittal also highlighted that the change in investor sentiment has been crucial to the latest shift trend. Everyone is being driven by returns as the Indian markets are now offering better valuations. Moreover, investors and entrepreneurs are simultaneously realizing that the potential for returns in India outweighs the bureaucratic challenges.
The “ghar wapsi” is being looked as a significant business strategy and representing a broader evolution on how the global business community is viewing India. The return of startups to their home base is a good example to reveal the strength and appeal of the Indian market. India is no longer a place fraught with insurmountable challenges. It is now being recognized for its vibrant economic landscape, supportive policies and a massive consumer base.
