States mandating reservation for residents in private companies: Inputs Sought

Recently Andhra Pradesh announced that state residents will have 75% reservation in all jobs including all private companies. Subsequently, MP announced a similar 70% reservation for locals in all jobs including private companies. Other states may follow this trend too for political mileage. We would like to seek your inputs on whether this is good, ok or a dangerous trend that will keep businesses and capital away from such states. Also, if you have additional inputs on the current Caste based Reservation or the newly proposed 10% Economic States based Reservation, kindly share the same as well.

For reference, below are the issues that some of you had outlined with how reservation works in India. We look forward to your inputs!

Reservation System:Key Issues
1.Caste based Reservations are the biggest enemy of meritocracy
2.Caste based reservation system leads to breeding of corruption
3.Beneficiaries under this system are taking advantage of it
4.It leads to undeserving people getting jobs, promotions, admissions in schools\/colleges, etc.
5.On the other hand, it leads to deserving people being left in a state of lurch
6.This also leads to brain drain and capable people looking for jobs elsewhere
7.People with caste based reservations get an upper hand when it comes to jobs
8.Selection criterion for them are set at low standards
9.People get good government jobs through their quota but are not able to do justice to their work
10.Families who are financially pretty well off also use the quotas and try to rake in as much as possible
11.This reservation system propagates politics and causes many demonstrations leading to violence. more  

View all 890 comments Below 890 comments
Reservation of Unskilled and Semi-skilled Local workers ; Clerks at 70% is Justified. Skilled Workers , Supervisory Staff shall be taken on Skill and Efficiency only. more  
Need a national employment exchange department having branches in every state a d recruitment has to take place only thru these channels. Reservation for locals in developed states will help local deserving candidates getting jobs. In absence of above, many companies recruit thru back door. No ads in papers and recruiting agencies preferring their candidates for interviews. more  
Caste based system is a cancer in our society. This program should have had a time limit during the early independence years. It is not relevant now and it is spoiling the fabric of India. We need to go to a one India and one citizen model Everyone should have equal opportunities according to their abilities. knowledge, talents and so on. Reservation in all forms and in all departments should be eliminated for a better and bright future of India on par with International standards. more  
Correctly said. Only Economy Base is Justified, Ultimate more  
All cast based reservations to be scrapped and reservation for genuine,weaker section, financially poor, deserving candidates to be the one eligible for all reservations. Cast based reservations, and all other priorities for locals are nothing but vote bank for the benefits of corrupt politicians. Similarly, all other benefits viz: health related treatements, housing subsidies, monthly rationing also be given priorities to deserving citizens. Senior citizens benefits also be extended to non income,dependent individuals as many senior citizens post retirement are suffering from all corners. more  
Many CMs promoting Caste based Economies going anti national. Shall be set for Judicial validity. Constitutional Mandates did not name any Caste except SC ST.
Article 14 , 15 , 16 , 41 , 46 , 340 are challenged abruptly. Castes and Communities are opted ill-fully, unconstitutionally by Political parties and Supreme court also not interested to mandate CONSTITUTIONALLY confined OBJECTIVES more  
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