A keen observer of the world history may notice a pendulous motion. At one end of the pendulum's swing is the society immersed in crass materialism, Pravritti (literally, action) and at the other end is the society engrossed itself in spirituality, Nivritti (literally, withdrawal).
Histories of both the east and the west seem to follow this trend. Greeks were originally Nivritti oriented. The Greek Pythagorean School was Nivritti oriented but later Epicureans were at the opposite end. Romans believed in active life but later Christianity emerged as a monastic movement with celibate monks and nuns. Martin Luther founded Protestantism to reject Catholic Nivritti. The scientific and industrial revolution of the 18th century can be identified as extreme Pravritti and now we are witnessing the Nivritti-oriented people opposing the extremes of science: atomic bombs, pollution etc. And the society is slowly inclining towards yoga, meditation, etc.
Similarly, India had its own share of these cycles. In the pre-historic times, Vedic India had an active life (Pravritti), and then Upanishadic sages realized and propounded the concepts of renunciation (Nivritti). After that, Krishna preached the balance of Pravritti and Nivritti in the Bhagavad-Gitä, by being active in one's duties but not attached to the results of it.
India's Spiritual Reputation In the era of the Buddha, India was regarded as a pioneer in many fields. India had an economic surplus, political stability and more importantly, a history of spiritual and intellectual innovation. India was viewed as a superpower similar to 21st century America. Buddhism was received with open hearts in other countries in Asia because of its origin in India.