The basic reason is to earn some money on your own, by your choice of time. You get to use your own personalized knowledge regarding the market.
You can blame nobody and nobody will blame you for Profit/Loss, totally free from anybody's influence. And about the hidden reason you stated, that will be hidden I believe.

You can exchange them to USD in this forum here https://bitcointalk.org/index.php?board=53.0 to any other USD based payment processor.
Or use your local trusted exchanger in your country.

If you have money in any other payment processor, you can exchange them to Bitcoin at low rates. Also you can try to trade INR BTC directly with people based in India to get low rates.
Or you can try Indian based sites/company(online) to transact via local method and get it done if you need it ASAP, But the price are quite high than the last traded price

Surely Holding bitcoin for long term helps greatly.The price has increased a lot and also is increasing, but it does fluctuates a lot and sometimes goes down quite much. So timing does matters, for how long to hold, when to sell it or buy.

Its a great idea now to believe in bitcoin. For sure it is not a short term option/investment, but for Long term result I personally believe it would be a good option to believe in it.

It is surely not easy to be rich with bitcoin but not impossible, it may take time and some serious knowledge about it. Trading can be in favor of this dream and also small various kind of jobs but its gonna be tough.

What are the Payment options you are accepting other than Bitcoin? and what is the minimum bid

Personally I like android for its huge apps market place. Even their are few games which are not coded to run in windows.
And developing, customizing also makes Android a good choice for most of the people.

PayPal and Bitcoin are far two different things, so comparing will not be a good idea but yeah people nowadays are shifting from PayPal due to their restrictions, but PayPal is quite good among buyers and sellers. Bitcoin on the other hand is a great growing currency. And currently I believe is a great Investment opportunity.But choosing any one between this two will be a bad idea.

Introduced to quite a few friends, but they were not that much interested. One or Two were interested only. Acceptance of new things of the people in some areas are really quite hard

I usually like playing Poker, Pool/Billiards
FIFA, GTA online sometimes nowadays