Indiana's reasons for not observing daylight time were based in its farming-dominated economy. Farmers prefer early daylight to dry their fields and an early sunset to end their work at a reasonable hour.
Not everyone in Indiana was happy with the system (obviously, or they'd still be doing it). Some residents felt the reason Indiana was missing out on the high-tech boom was that companies were turned off by the confusion caused by being different from the rest of the country. Indiana hasn't been observing Daylight Savings for a whole year yet, so only time will tell if that was an accurate assessment of the situation.
Under the previous time observance system, 77 of Indiana's 92 counties were in the Eastern Time Zone, but did not shift to daylight time in April. They remained on standard time year-round. Five counties in eastern Indiana in the Eastern Time Zone always observed daylight savings time. Ten counties, five in northwest Indiana and five in southwest Indiana were, and still are, in the Central Zone and have always observed daylight savings time to stay in sync with the major urban areas just across the border.
Hoosier Daylight Coalition
The Hoosier Daylight Coalition was a group made up of business leaders, parents, teachers and police that organized legislation to simplify the time in Indiana. Their hope is that the change to observe daylight savings like the rest of the United States will bring new business to Indiana.