I understand that Nokia is in business to make and often times, work to save money. But when I read that they are going to be opening up shop in India, I am not so naive as to believe it is just to create jobs.

They realize that they can employ people there for much less than they can elsewhere. This is unfortunate in one sense, yet it is creating jobs at the same time. This is what happens when consumers demand bottom dollar for products yet want to keep employees working in their own countries - there has to be some middle ground somewhere.

The company said it was investing in India in order to meet rising demand for its products in the country. The Finnish firm said it expected to employ up to 2,000 workers and would invest $100m-150m (£52m-78m), along with its suppliers, over four years. The handset plant will be Nokia’s 10th worldwide and its third in Asia after China and South Korea.

Nokia is battling to get its global market share back above 30%, having lost out in the past year to competition from Samsung, LG and Sony Ericsson. In mid-2003, Nokia had 36% of the market, according to analysts Gartner.