A captive unit is a business unit of a
company functioning
offshore as an entity of its own while retaining the work and close operational tie ups within the parent company.
Captive unit is one way of establishing presence in cheap
labour
Labour or labor may refer to:
* Childbirth, the delivery of a baby
* Labour (human activity), or work
** Manual labour, physical work
** Wage labour, a socioeconomic relationship between a worker and an employer
** Organized labour and the labour ...
markets such as
China and
India
India, officially the Republic of India ( Hindi: ), is a country in South Asia. It is the seventh-largest country by area, the second-most populous country, and the most populous democracy in the world. Bounded by the Indian Ocean on the ...
rather than
outsourcing work to
third party
Third party may refer to:
Business
* Third-party source, a supplier company not owned by the buyer or seller
* Third-party beneficiary, a person who could sue on a contract, despite not being an active party
* Third-party insurance, such as a Veh ...
companies established offshore.
Captive Generating plant means a power plant set up by any person to generate electricity primarily for his or her own use and includes a power plant set up by any co-operative society or association of persons for generating electricity primarily for use of members of such co-operative society or association. Note that the word primarily is not defined anywhere. Also note that by this definition, a group of industries can set up a big generating station for their groups use and sell excess power.
References
* "Captive unit - 2 definitions - Encyclo". ''www.encyclo.co.uk''. Retrieved 2020-09-29
Business terms
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