The Chief executive of Vodafone, Vittorio Colao, claimed India as a toughest and problematical spot for making investment or establishing new ventures.
The high steam of taxes and spectrum prices restrict the investment decision for enlarging the business operations within the country, said CEO of Vodafone. Being a most sophisticated brand in telecommunication industry and financially viable, the company urges to take certain measures in order to keep controlling the rising spectrum prices and enable both newly and existing companies to perform their business under favorable environment as the country possess high potentials to fascinate international sponsors. The major issues that come across in carrying out business activities are tax structure, rigid regulatory and legislation.
The primary dilemmas face by every business is the operating cost break down into tax composition, spectrum and different legal challenges. Every process is far multifaceted than prior one in India, dur to number of authorizations. According to Mr. Colao, “Every time I go there, I find out that something is not possible because you need a special thing or there is a court case, and somebody has gone against you."
He further added that the major reason behind for high spectrum prices is insufficient supply line.
"India needs as much spectrum as possible. Give it and allow as much rural digitization as possible... (But) what they (government) seem to be doing is slicing it, and giving it here and there," he said. "... This pushes up the price, but does not favour investment, and does not favour return. And if you don't have return, you don't do more investment."
The Country is obliged to have high level of spectrum and promote digitization to a greater extent. Conversely, it seems that government is just slicing all the processes and formalities and show dabbling in their attitude.
