Magento Installation SOAP error in loading WSDL

When you are trying to access the URL at http://www.example.com/api/soap/index/ , it gets redirected to http://www.example.com/index.php/api/soap/index/ you get the following error. But if you try to load the API directly, you get the WSDL as it should be in a XML format.

<SOAP-ENV:Envelope xmlns:SOAP-ENV="http://schemas.xmlsoap.org/soap/envelope/">
<
SOAP-ENV:Body>
<
SOAP-ENV:Fault>
<
faultcode>WSDL</faultcode>
<
faultstring>SOAP-ERROR: Parsing WSDL: Couldn't load from 'http://www.example.com/api/soap/index/wsdl/1/'</faultstring>
</SOAP-ENV:Fault>
</
SOAP-ENV:Body>
</
SOAP-ENV:Envelope>

There could be many reasons for this. But the issue with us for that particular issue is that www.example.com was not resolving from the server. A simple /etc/hosts entry in the server (poor solution) or making it resolve from the server should solve the issue.

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