From cost efficiency to value creation: Rethinking global growth strategy

As businesses navigate an increasingly competitive global marketplace, industry experts are arguing that long-term success will depend on more than low-cost manufacturing or favourable trade agreements.

Instead, they say companies must focus on building confidence, capability and consistency to establish themselves as trusted global brands.

The idea was discussed at the Maharashtra MSME Summit & Awards 2026 in Navi Mumbai, where Advocate & CA Harsh Girish Patel, a global trade strategist, outlined what he described as the "Three Cs" framework for businesses looking to expand internationally. Speaking during a panel on export growth and free trade agreements (FTAs), Patel said companies should move beyond competing solely on price and instead invest in quality, expertise and long-term value creation.

According to the Ministry of MSME, the sector contributes around 30% of India's GDP, nearly 36% of manufacturing output, and approximately 45% of the country's exports, making it a critical driver of economic growth. Despite this, many small businesses continue to face challenges in accessing developed markets because of regulatory requirements, certification standards and limited international presence.

Patel argued that the first pillar confidence requires businesses and professionals to shift away from positioning themselves primarily as low-cost providers. "The world is ready to pay for Indian excellence," he said during the summit, adding that companies should compete on quality and innovation rather than price alone.

The second pillar, capability, focuses on strengthening products, services and professional expertise before entering overseas markets. According to Patel, businesses aiming to benefit from opportunities such as the proposed India-European Union Free Trade Agreement should build stronger capabilities in areas including compliance, regulatory understanding and international market strategy.

The third pillar consistency emphasises viewing trade agreements as long-term business opportunities rather than short-term commercial gains. During the summit, CA-Advocate Harsh Girish Patel also referred to recommendations from his policy report, EU-India FTA: From Trade Numbers to Strategic Corridors, which was presented to Maharashtra Industries Minister Dr Uday Samant. The report recommends cluster-based export support, simplified guidance for MSMEs and better awareness of evolving international regulations to help businesses prepare for global markets.

According to the European Commission, the European Union remains India's largest trading partner in goods, with bilateral goods trade exceeding €120 billion in 2024. Negotiations on the proposed India-EU Free Trade Agreement are continuing, with the objective of improving market access, reducing trade barriers and strengthening cooperation across goods, services and investment.

As businesses prepare for a rapidly changing global trade environment, discussions at the Maharashtra MSME Summit reflected a broader shift in thinking: sustainable international growth may depend as much on building institutional capability and market credibility as it does on securing favourable trade terms.