India’s Top 500 Companies 2019

INDIA’S TOP 500 COMPANIES 2019 96 Notes: High growth incidence for firms for all countries are calculated sales based. Period for calculation various for each co untries Source: OECD, World Bank PROMOTING HIGH GROWTH COMPANIES Companies with >20% growth for 3 consecutive years drive higher employment and productivity, India needs to find and promote these companies  Strengthen firm capabilities  Improve access to finance  Help firms reach new markets  Resolve regulatory obstacles  Provide critical infrastructure % Share of HGFs in total Firms 15.3 14.5 14.3 14.1 14.0 9.8 9.4 8.9 8.6 8.1 7.8 7.6 4.8 4.1 3.5 3.1 Norway Sweden Denmark Czech Republic Australia Hungary UK Italy Netherlands Canada Portugal India Thailand Indonesia Côte d’Ivoire Ethiopia Source: World Bank CMIE and others Notes:* Sample size of around 325 firms. PROMOTING HIGH GROWTH FIRMs – HGFs CONTRIBUTION TO PRODUCTIVITY High growth firms tend to be more productive Labour productivity (LP) of Top 500 firms FY15-FY18: Labour productivity of HGFs are higher than non-HGFs 8% 15% Avg Labor Productivity of non - HGFs Avg Labor Productivity of HGFs Avg Labor Productivity of Top 500 firms* ENTREPRENEURSHIPAND INSTITUTIONS As institutions are stronger, incentive structure changes and more activity is shifted towards productive areas Source : GEDI,GCI and Transparency International The Institutions parameter captures the strength of security, property rights, social capital, checks and balances, transparency and ethics, public-sector performance and corporate governance. Australia Canada Denmark Finland Germany India Japan UK USA 10 20 30 40 50 60 70 80 90 100 25 35 45 55 65 75 85 Size of the bubble indicates GEDI score Institutions: 0-100; Higher is Better Corruption Perception Index 0-100; Higher is Better Dun & Bradstreet