This study, completed in two stages, was undertaken to empirically determine whether home variables make a significant difference in the learning difficulties and school performance of children in an Indian setting. Participants in Phase I were 30 second-grade children between 6 and 9 years of age who were of normal intelligence and showed evidence of either having or not having learning difficulties in school. Data were collected on Bomanpatell's (1983) revision of Caldwell's (1968) HOME Inventory and Bomanpatell's (1983) Interview Schedule for Mothers, a measure for determining the extent of mothers' awareness of the importance of schooling and school activities, and perception of the extra help that children with difficulties need. Forty children (10 each from grades 1-4) participated in Phase II. Findings indicated that the stimulation pattern in the homes of children having learning difficulties can be distinguished from that in the homes of school children who are learning successfully. Differences between the two groups that were evident on HOME Inventory sub-scales concern: (1) language stimulation; (2) stimulation through toys, games, and reading materials; (3) variety of stimulations; (4) parental pride, affection, and warmth; and (5) stimulation of academic behavior. A common thread running through the findings was the fact that it is process variables (for example, what parents do in interacting with their children) that were important, not parental status variables involving individual characteristics. (RH)