Showing posts with label IIPM Think Tank. Show all posts
Showing posts with label IIPM Think Tank. Show all posts

Thursday, June 06, 2013

Book Review: Land of The Seven Rivers

Geography as history

History can be very dangerous because our interpretations are invariably coloured by our ideological worldview. So let me state right at the outset that the JNU school of historians are not going to like this book. The Land of the Seven Rivers: A Brief History of India’s Geography by Sanjeev Sanyal is an audacious attempt that tries to bust many beliefs held strongly in traditional (read Marxist) interpretations of Indian history. For example, the author tries to argue that the Aryans were not invaders but people who originated in India and that the ancient Rig Veda is coterminous with the Harappan civilization. Believe me, hackles will be raised at this!

In any case, I have failed to understand the animosity and hostility between the JNU school of history and the, for want of a better term, the ‘Internet Hindu’ school of history. At their worst, both reveal closed minds and prejudices winning over curiosity. Frankly, I tend to laugh when exponents of Hindutva fashion Indian history though their blinkered eyes, invoking a great culture and civilization of yore when much of the world was hunting and gathering. I think that is taking jingoism a bit too far. For that matter, I also laugh when the more committed members of the JNU tribe dismiss everything to do with Hinduism or Indian civilization as hogwash. I think that is carrying Marxism a bit too far. The truth, as always, must surely lie somewhere in between these extreme positions. I had always thought that keeping an open mind should be the most important qualification for a social scientist! I mean, if theories held sacred even in pure sciences can be found to be untrue by subsequent flashes of genius and discoveries, why can’t the same be true of social sciences?

Take the case of economics. Till 1929, classical economics had unwavering faith in the ability of markets to produce the best possible outcomes. Advocates of this school of passionately believed that free markets lead to fill employment. Then came the Great Crash of 1929 and the subsequent depression when Capitalism faced a crisis of survival. John Maynard Keynes upended the whole structure of classical economics by arguing that markets can fail and government intervention is necessary when economies stagnate. The Keynes school of thought held away till the Reagan and Thatcher revolution of the 1980s when the markets and the pursuit of self interest once again became the reigning deities. Greed is Good became the new mantra till 2008 when Capitalism once again imploded and free market prophets were once again exposed as charlatans.

Surely something similar must happen with interpretations of Indian history? What Sanyal argues in his book about the amazing continuity of the Indian civilization is something that is accepted even by the less strident votaries of the JNU school. Of course, only the ideological hard balls would suggest that India even in ancient times was a political entity in terms of geographical boundaries and systems of governance. Like now, India then too was probably a cacophony of ideas, languages, ethnic backgrounds and a sense of belonging. And continuity is something which we cannot ignore. For example, Sanyal points out how the ox or the bullock cart has been continually visible in India right from the Harappan times to the 21st century. He also points out how the Gayatri Mantra could well be something many Indians have been chanting unchanged for about 4000 years or so. He spends considerable time trying to make sense of the still prevalent myth about the mighty river Saraswati. Sanyal tentatively concludes his quest for Saraswati by arguing that the nondescript river Ghaggar that runs through Haryana was once the mighty Saraswati till geography changed its destiny, and that of the Indian civilization. Not convinced? Even I am not and would wait for more credible evidence.


Source : IIPM Editorial, 2013.
An Initiative of IIPM, Malay Chaudhuri
For More IIPM Info, Visit below mentioned IIPM articles
2012 : DNA National B-School Survey 2012
Ranked 1st in International Exposure (ahead of all the IIMs)
Ranked 6th Overall

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri’s Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
BBA Management Education

Monday, May 27, 2013

Family fissures

Power is a dangerous enemy. But as a friend it is probably worse for it can tear asunder close ties and bury time honoured beliefs. As his less than a year old government hits road bump after road bump, this is one unwelcome lesson that Akhilesh Yadav must be learning as whispers about the widening chasms within his family grow.

The latest example was served a few days back when his uncle Shivpal Yadav, Minister for Irrigation, Flood Control, Cooperatives and Public Works, largely regarded as the number two in the government, said that he was no party heavyweight. While Shivpal is not exactly known for his elegant use of words, elder brother and Samajwadi Party (SP) chief Mulayam Singh Yadav is also snapping at his son’s government, having made vocal his displeasure with the functioning of the ministers, fuelling gossip about a growing distance between father and son.

Juhie Singh, the party’s state secretary, traces that speculation to a natural difference between the party organisation and the government. “During the elections, party leaders and workers saw Akhilesh as one of them. The sudden transition to CM is perhaps something they were not prepared for. They cannot make the distinction between his two roles. Hence, small lapses get magnified and much anger against the government is vented at party meetings. Netaji can see both sides and acts as the buffer,” she says.

Mulayam’s periodic critique of the government might be serving another purpose: it helps keep intact in the public mind the distinction between the party and the government such that the failings of the government do not reflect on the party while its achievements can be claimed as its own in the next Lok Sabha elections. Finger pointing at slow implementation of schemes for instance could be blamed at inadequate support from the Centre bolstering the party’s bid for a larger role on the national stage.

Arvind Singh Gope, Minister for Rural Development and the CMs senior by just a couple of years, says that the rifts and heartaches are being imagined by people who do not know the family well enough. “This is one of the most close-knit and well-behaved political families of India. There is immense respect for each other. The CM has a free hand to function and when he turns to the elders for advice, it is not a sign of subversion.”
Gope illustrates with the example of Shivpal’s earlier mentioned statement that had he been a political heavyweight, he would have been the chief minister.

“It was a light-hearted quip to dissuade a reporter who was pressing for the inclusion of a local MLA in the council of ministers. Shivpal laughed it off and said that appointing ministers was the CM’s prerogative, not his. The media however clung to only part of the statement, ignoring the context and tone,” emphasises Gope, who was present during the exchange.

Among the party’s fresh faces, which became one of its drawing powers during the Assembly elections, there is however the growing belief that the young CM has been deliberately hampered. “He is an energetic man with fresh ideas, surrounded by an obsolete team. This is not what we had hoped for,” says a first time MLA who admits to a growing frustration. More than one party insider insists that even if speculation about a growing chasm between father and son is unfounded, there is definitely substance to the conjecture that Shivpal is growing more disgruntled and can become a liability.

“The 2009 elections were guided by Amar Singh. In 2014, Ram Gopal Yadav (Mulayam’s cousin and party MP from Sambhal) will be the party strategist. This has resulted in a growing resentment in Shivpal,” insists a party old timer from the Yadav bastion of Etawah.

The last year has been littered with clues of Shivpal’s unhappiness. For instance, in August last year when the CM threw open the Yamuna Expressway, Shivpal who heads the public works department and had even been arrested during the course of demanding better compensation for farmers during the previous government, was miffed at not being in the picture.

The sacking of the party’s national spokesperson Mohan Singh last January in the run-up to the 2012 elections was seen as an indirect attack on Shivpal, who was in favour of the return of muscleman DP Yadav (staunchly opposed by Akhilesh). Later, when a decision was taken that only select senior leaders would talk to the media, Shivpal’s name did not figure.

Shivpal also held out till the very end when Mulayam proposed Akhilesh’s name as CM – a post he had hoped would come to him as the elder brother lay claim to a larger role in national politics. Even the dream of an enhanced role as guide to the new CM was undone when Ram Gopal forced himself into the role and started to have a big say in the functioning of the state government, limiting Shivpal’s power to his portfolio alone.
Also while Ram Gopal’s son Akshay has been given the party ticket to contest from the Farukhabad Lok Sabha seat (once held by Akhilesh), Shivpal’s son Aditya, who lost the zila panchayat elections in 2010, has been advised to work his way up and not depend on the family name.


Source : IIPM Editorial, 2013.
An Initiative of IIPM, Malay Chaudhuri
For More IIPM Info, Visit below mentioned IIPM articles
2012 : DNA National B-School Survey 2012
Ranked 1st in International Exposure (ahead of all the IIMs)
Ranked 6th Overall

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri’s Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
BBA Management Education

Friday, May 24, 2013

Why Yeddyurappa Feels Betrayed

It took him four decades of toil and vigil to catapult the BJP to power in Karnataka. today he feels shortchanged reports Kumar Buradikutti
It was February 19 this year. Two ministers had already been caught watching porn clippings in the Karnataka Assembly and the issue was blown ‘out of proportion by the media’. Some media representative in Shimoga compelled Yeddyurappa to respond on the issue and he literally blew hot and cold at the media:  “Everybody watches them. Don’t you watch them at home?” The thing is that all the Porngate accused happened to be his supporters!

 There was another incident in March 2011. BJP general secretary Ananth Kumar and BJP state unit president KS Eeswharappa, both being his rivals in the party from day one, were holding a meeting with some 57 rebel BJP MLAs in the party office in Bangalore without the knowledge of the then CM Yeddyurappa. Somehow the CM came to know about it. The next moment, he breezed through the meeting and breezed out, anger overflowing on his face. Media representatives blocked his car just as he was about to leave. Suddenly, an angry Yeddy hit his car driver in front of media representatives and their cameras.
Yeddyurappa has always been seen in two extremes: either emitting fury like the above two instances or crying like an abandoned child on the street.

Supporters of Yeddyurappa worship him. A highly ambitious angry young man cherishing in his heart a dream of political revolution roams village after village on his motorcycle, organises the masses, brings them into the fold of his party that then had little or no impact on state politics with its negligible presence, gradually builds the party with strong cadre force at the grassroots level, becomes his party’s first elected representative in the lower house of the Karnataka Legislature, becomes the party’s first Leader of Opposition in the state assembly and finally, after four decades of such efforts, brings his party to power and becomes the chief minister of the first BJP government in South India. But how long was he allowed to hold on to the CM’s seat? Just three years! Forty years of party-building and three years as chief minister! And    no hope for future as well. This is, perhaps, the source of his anger and desperation – and of his supporters too.

Another important reason for his anger is that he had never been allowed to function and do what he wanted as the CM. He faced three-dimensional attacks throughout his tenure: firstly from his own party men who used to gang up on  him on a monthly basis; secondly from HD Kumaraswamy of JD(S) who literally haunted him as a nightmare by unearthing one land scam after another on weekly basis involving Yeddy and thirdly from HR Bharadwaj, who left no stone unturned to threaten to dissolve the assembly and impose President's rule using his constitutional power as the Governor of the state. No chief minister, perhaps, has ever faced such multi-pronged attacks in the history of Karnataka. The second and third aspects can be understood and tolerated. What made him particularly furious was the fact that his own party men tried their best to pull him down more than any of the Opposition parties and eventually succeeded in their efforts.


Source : IIPM Editorial, 2013.
An Initiative of IIPM, Malay Chaudhuri
For More IIPM Info, Visit below mentioned IIPM articles
2012 : DNA National B-School Survey 2012
Ranked 1st in International Exposure (ahead of all the IIMs)
Ranked 6th Overall

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri’s Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
BBA Management Education

Monday, April 08, 2013

B&E This Fortnight

INTERNATIONAL
BUSINESS, ECONOMY & FINANCE

Zero job growth!
America’s gold plated standards in political and economic leadership have become a laughing stock. And President Barack Obama – also being dubbed as “President Zero” by the Republicans is at the receiving end of this phenomenon which has engulfed America. In fact, the dust from the debt ceiling drama hadn’t even settled when the government report on jobs released on Friday became a more pressing concern for the Obama administration. Apart from narrating the pathetic state of unemployment, the report revealed that there was zero job growth in August – an indication that the economy has come to a halt and that further inaction by the administration might be lethal. As a result Obama has devised a $447 billion job growth package and the proposal has been sent to the Congress for approval. Half the budget comprises tax cuts. The rest would be allocated towards improving infrastructure to keep people on the job. Further, measures include easing stringent environmental emissions (which supposedly hamper employment). With elections round the corner and Obama’s approval rating dropping to an all time low, it is increasingly becoming difficult to imagine how the President who came into power with hopes and mass hysteria will repeat history once again.

Carol Bartz fired!
“I am very sad to tell you that I’ve just been fired over the phone by Yahoo’s chairman. It has been my pleasure to work with all of you and I wish you only the best going forward.” It didn’t take much time for Carol Bartz, the outspoken former CEO of Yahoo! to take out her iPad and write a mail to the company’s 13,000 employees informing them that she had been fired. Bartz’s two year tumultuous stint at the beleaguered web giant came to an end on September 07. One of the most celebrated entities of the Web 1.0 era, Yahoo! struggled to cope as Google took over the world wide web by storm. When Bartz took over as CEO, she had cut jobs, outsourced its loss making search business to Microsoft and attempted to streamline operation. She was partly successful in mobilising the stock at around $13, however, investors were uneasy and could not wait to see the impact of the fixtures Bartz had introduced. Moreover, she ended up publicly alienating Jack Ma, Group CEO, Alibaba (Yahoo’s key Japan ally) who in turn spun off the payment too, Alipay (one of the company’s most profitable asset) without compensating for Yahoo’s share. Further, the company missed second quarter revenue targets. Whatever the reasons were, investors didn’t like it and Bartz was fired. However, instead of cutting deadwood, Yahoo’s board should contemplate breaking down the business and selling it off. In fact, they goofed up when they turned down Microsoft’s acquisition offer three years back.


Source : IIPM Editorial, 2012.
An Initiative of IIPM, Malay Chaudhuri

For More IIPM Info, Visit below mentioned IIPM articles

Monday, March 11, 2013

Girish Rao

Chief Executive Officer, Essar Hypermart in talks with B&E’s

Busy on an expansion spree, one of India’s handful of organised steel retailers, Essar Hypermarket is aiming to double its top-line by increasing the number of its touch points in the country to 800. But prior to that, it plans to strengthen its inventory management practices that have proven to be one of the major reasons for the retailer to face structural process issues.

B&E: Recently, Essar Hypermart market increased the number of its outlets in India to more than 100. Where do you wish to take that number to?
Girish Rao (GR):
Expansion beyond a certain point does not make any business sensible. Our aim is to create a sufficient number of touch points in India. At present, we have 109 Hypermarts and 460 Express Marts across the country, which is a franchisee owned outlet. We wish to take our touch points across India to around 800, including 125 Hypermarts. For us, North India is the biggest market after the western part of the country, contributing 32% to our total sales. So, we are also planning to increase our presence in the region by 25% before March 31, 2010.

B&E: Talking about North, you have recently opened your third Hypermart in Punjab (in Mohali). Do you have any special plan in mind for the state?
GR:
The region has a strong presence of SMBs and north is the second largest retail market in India. We have come to know that people from Mohali and surrounding areas were buying steel from our outlet in Jalandhar. So we decided to open an outlet in Mohali itself. For that matter, we are planning to open a store in Amritsar as well.

B&E: What about your global plans? A few weeks back you opened up a store in Dubai. What kind of contribution, in terms of revenue, are you looking at from the global operations?
GR:
Yes, recently we have opened Essar Hypermart in Dubai in a bid to expand our foothold in the Middle East. Further, we have a steel mill and as many as six Essar Hypermarts in Indonesia. Apart from these, we are also planning to expand in the sub continent by entering into countries like Sri Lanka, Nepal and Bangladesh because markets there are similar to that of India. We are hoping to replicate our Indian model in these countries and also looking forward to have around 5-6% contribution from global operations over the next 3 years.


Source : IIPM Editorial, 2012.
An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles

Friday, March 01, 2013

Rahul Sharma in an interaction with Surbhi Chawla

Micromax founder and Executive Director Rahul Sharma in an interaction with Surbhi Chawla of B&E

B&E: Recently there were rumours that your dealers were not happy with you stating that there were no stocks. How have you sorted that out?
VJ:
We have believed in growing prudently with our dealers and would do that. Most of the dealers that were there with us from the start continue to be with us but there is no wide spread dissatisfaction, although we have been out of stock from time to time. Yes, we have added new distributors and dealers from time to time, which was a natural progression for us. For example, we had only one dealer in MP when we started; but in this market, we are now number one and selling 1,12,000 units. There is also this dealer in Bihar who I remember wrote the first cheque to us for Rs.1,36,000 and now does a RTF of 4 crores as he realizes that cheque takes three days to clear. We have cautiously adopted this strategy to grow the entire ecosystem with us and that’s what we would continue to do.

B&E: How do you see competition in the segment?
VJ:
I will think of competition only when I am not growing month on month. Another plus is that now we see a lot of Indian brands also fighting it out with the MNC’s so that’s also a good sign. I have utmost respect for Nokia; they are the leaders and have a wonderful portfolio and it isn’t that they are not competent. What we are seeing is the maturing of the market. A similar thing happened in the auto industry. Earlier we had just Maruti but with privatization, Hyundai and Tata Motors came in and slowly Maruti’s share has come down; but it continues to be the leader. Similarly Nokia will continue to be number one; only the difference between number one and two would become lesser & more legitimate.


Source : IIPM Editorial, 2012.
An Initiative of IIPMMalay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.

Monday, February 11, 2013

RAHUL SHARMA, EXECUTIVE DIRECTOR, MICROMAX INDIA

Micromax founder and Executive Director Rahul Sharma in an interaction with Surbhi Chawla of B&E

B&E: Recently there were rumours that your dealers were not happy with you stating that there were no stocks. How have you sorted that out?
VJ:
We have believed in growing prudently with our dealers and would do that. Most of the dealers that were there with us from the start continue to be with us but there is no wide spread dissatisfaction, although we have been out of stock from time to time. Yes, we have added new distributors and dealers from time to time, which was a natural progression for us. For example, we had only one dealer in MP when we started; but in this market, we are now number one and selling 1,12,000 units. There is also this dealer in Bihar who I remember wrote the first cheque to us for Rs.1,36,000 and now does a RTF of 4 crores as he realizes that cheque takes three days to clear. We have cautiously adopted this strategy to grow the entire ecosystem with us and that’s what we would continue to do.

B&E: How do you see competition in the segment?
VJ:
I will think of competition only when I am not growing month on month. Another plus is that now we see a lot of Indian brands also fighting it out with the MNC’s so that’s also a good sign. I have utmost respect for Nokia; they are the leaders and have a wonderful portfolio and it isn’t that they are not competent. What we are seeing is the maturing of the market. A similar thing happened in the auto industry. Earlier we had just Maruti but with privatization, Hyundai and Tata Motors came in and slowly Maruti’s share has come down; but it continues to be the leader. Similarly Nokia will continue to be number one; only the difference between number one and two would become lesser & more legitimate.
 

Source : IIPM Editorial, 2012.
An Initiative of IIPMMalay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.


Friday, February 08, 2013

The company’s India operations

Global President and CEO, Domino’s Pizza,8 talks to b&e’s angshuman paul about the various peculiarities that personify the company’s India operations

B&E: Pizza Hut (from Yum! Brands) presumably has an edge over Domino’s with its sit & dine arrangements. During 2008, Domino’s also started paying heed to the sit & dine category. Was it the perceived threat from Pizza Hut that propelled Domino’s to enter this category after so many years?
Doyle:
I can’t comment on any other players. I know our organization well and I can say that yes, in certain cities, we felt that we should have a sit & dine category; that was the reason we opened our restaurant. But we haven’t compromised and moved away from our home delivery competence and the 30 minutes delivery promise – and that’s the very reason you will see that our restaurants are not purely into sit & dine as these are all self service restaurants.

B&E: All your stores are franchised! Simply put, isn’t it difficult to manage so many franchised stores?
Doyle:
No, not really. For half a century, we have been growing on the franchise model. The efforts of franchisees and team members have helped us to conquer very big markets. For, instance, consider our teams in India and Louisiana. These are two of the largest and best franchisee organizations in our system, and it’s appropriate that they are sharing in this distinction. Our franchisees will help us to achieve one goal and that is, we want to clip the ribbon on our 10,000th store within the first half of this decade.

B&E: The Indian QSR market has proved that economical pricing can do wonders for sales. McDonald’s has been thriving on this philosophy and has always resorted to ‘easy on the pocket pricing’. But in the case of Domino’s, we have seen that kind of philosophy only during the last two years. Haven’t you start too late?
Doyle:
It was the popularity of the brand Domino’s that forced us to take the brand to a larger market [and therefore to economically price the products]. And then, even before we could come out with low priced pizzas, we had to do considerable changes to our supply chain and other such mechanisms so that we could give our consumers economical yet quality driven products. During the initial years, it was simply not possible for us to pursue such options.

B&E: United States is your biggest market. Which one is next? Can the Indian market ever become bigger than the United States market?
Doyle:
After the United States market, United Kingdom should be our largest market and contributes close to 10% to our annual revenues. The UK and Mexico markets taken together have in total about 600 stores, while the next is Australia, which has 500. However, as I mentioned, India – and to a large extent Asia Pacific – is emerging as a big market for us now. In total, we have about 1,600 stores in A-Pac, which makes up 16% of our total stores. In some ways, Mexico is as price sensitive as India, and if we have been able to do well in Mexico, I am sure we can do the same in India too.
 

Source : IIPM Editorial, 2012.
An Initiative of IIPMMalay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.

Tuesday, February 05, 2013

A stem cell in need...

Being the pioneer in stem cell banking in India, LifeCell does have a head start. But these are early days in this industry and digging beyond the iceberg’s tip is going to be the real challenge by Virat Bahri

We rightly do not consider their banks or their auto companies as role models, but there are areas where we can learn from the American way of life and from their democracy. The manner in which they debated the morality of the use of human embryos (which would get destroyed in the process) for stem cell research is one instance (although it was amusing to see George Bush oppose the use of taxpayer’s dollars for destroying human embryos while using it in the wars in Iraq and Afghanistan!).

The scenario in India is quite different; where a debate on statehood is still far more likely to grab bigger headlines. Moreover, India is a market where health insurance itself has penetrated just about 3% of the market, so stem cell treatment looks even more distant. As far as morality of using embryos is concerned, we ourselves would sound like hypocrites even raising the issue; considering that around 7,50,000 abortions happen every year in India (UN figures), because they were girls.

Mayur Abhaya, ED, LifeCell International was never doubtful of the potential of this business when the company was set up in India in 2004 in technological collaboration with CRYO-CELL International Inc. The twin challenges that they faced instead were to create awareness in the Indian market and create acceptability in terms of pricing.

With a focus on embryonic stem cell banking, the company’s primary target audience is expectant parents from SEC A+, SEC A and SEC B categories. Initially, the company was constrained by availability of funds and therefore tried to reach out to customers through a B2B strategy (gynaecologists). Slowly, the company is targetting end customers through advertising, events, et al. Besides, the company is trying to improve penetration through EMI schemes et al. Tie ups are being done with players like Club Mahindra, Fitness One and Kaya Skin Clinic. The company has decided to position itself on the lifestyle plank to broaden its appeal.


Source : IIPM Editorial, 2012.
An Initiative of IIPMMalay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.

Tuesday, January 22, 2013

THEY STILL STAND ON THE VERGE OF COLLAPSE

THOUGH LATIN AMERICAN ECONOMIES LIKE ARGENTINA, VENEZUELA AND COLOMBIA HAVE SHOWN SOME RESILIENCE AGAINST THE OVERRIDING DOWNTURN IN THE RECENT PAST. BUT, WITH HUGE SOVEREIGN DEBTS AND THEIR GROWING INCAPABILITY TO SERVICE THEM AT A STANDARD RATE, THEY STILL STAND ON THE VERGE OF COLLAPSE, FEELS MANISH K. PANDEY…

What’s more! The government has been unwilling to slow spending amid this year’s downturn. Reason: the 2011 presidential election is approaching and the Kirchner administration doesn’t want to compromise on its ‘flagging’ popularity.

For most countries, tolerating a short-term deficit to stimulate the economy is a reasonable tradeoff. But, for Argentina, however, the picture is complicated by the country’s limited access to foreign capital as it has been in default since 2001. Though Christina’s predecessor, her husband Nestor Kirchner had restructured most of the debt and even repaid money borrowed from IMF, Argentina still remains in default of over $20 billion of debt from its 2005 restructuring and over $6 billion in Paris Club debt. Worse, Argentina’s total debt, not counting that held by the holdouts, as of today stands at $140 billion (almost 50% of GDP)!

The Argentine government has also been questioned by analysts on the validity of certain economic indicators, which the government is reported to have skewed seemingly to get a favourable market standing. For instance, inflation has been ‘officially’ hovering around 9% since 2006. But it was privately estimated at 12-15% that year and over 15% in 2008. All this has led to a scenario where investors are left with little (or say no) faith on the Argentine government. According to Argentina’s central bank, capital flight from the country has reached $5.5 billion in Q2 2009, bringing a total of $11.2 billion in H1 2009. In fact, since 2007, capital flight has reached about $43 billion on worries over its economic outlook. Economist Rodrigo Alvarez from consultants Ecolatina, warns that capital flight from Argentina has reached levels similar to those of 2001. In his view, the government needs to restore confidence before it’s too late. Even as per Morgan Stanley analysts, Argentina’s fiscal accounts are moving toward deficits, which will likely increase worries on fiscal sustainability and “the country’s ability to honour its debt service obligations.” Considering this they have even lowered their “forecasts for Argentina’s fiscal balance to -0.6% of GDP (from 0.0%) for 2009 and -0.9% of GDP (from -0.4%) for 2010.”

The scenario is somewhat similar in Venezuela where high levels of government spending and unorthodox economic policies are catching up very fast. In fact, the country’s GDP has already fallen by 4.5% in Q2 2009, following a 2.4% decline in the first quarter.


Source : IIPM Editorial, 2012.
An Initiative of IIPMMalay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.

Monday, January 21, 2013

CLIMATE SUMMIT: ‘WASTE OF AN EFFORT’ DEFINED

There were few forums across the year that allowed unknown environment ministers of different nations to meet each other. And then someone worked out a brilliant concept of global warming meets! by anchal gupta

Just for argument’s sake, take a test – try and identify your nation’s minister for mines, or the minister for textiles, or perhaps the one handling chemicals and fertilizers, or maybe culture, or better, rural development. Now try the same for the minister handling environment in your country. Get the spin?

Let’s face it, there is a huge lobby of intellectual and political experts denying man-made effects of global warming – but so does one particular Iranian the existence of the Holocaust. That said, reviewing even questionable findings, it does seem sensible to call for action on a war footing to save the most vulnerable and poorest communities on earth from annihilation. But the urgency with which the case for a follow-up to the Kyoto protocol was put forward by world governments in the summit at Bali has been substituted by hegemonic didactic of developed nations about equal responsibility of developing countries like India, China and Brazil to reduce carbon emissions as they are the fastest growing emitters. But developing nations are learning to return this sledgehammer serve of the developed world.

The fall out has been clamourous, complex and at times cynically hilarious. President Obama vows to reduce US emissions by 83% by 2050. It means 2050 US emissions will be at 1910 level when the US population was 92 million. However, with 420 million Americans in 2050, it simply means that US per capita emissions in 2050 would be the same as in 1875. South America’s histrionics mired in anti US propaganda continue especially with massive oil and gas discoveries in recent times which Latin American nations plan to sell to the entire world in coming decades.

China, the biggest emitter of Green House Gases (GHGs) recently declared that it has set a binding goal to reduce emissions per unit of GDP by 40-45% below 2005 levels by 2050. At the same time, China is adding nearly two coal fired plants per week and its coal power industry is expanding at the rate of 50% for the last few years. India, suddenly realizing that its old position of equal yet differentiated responsibilities was being tossed around as a deal breakers’ whim, suddenly took big ‘brother’ China’s direction and declared to reduce its per capita emissions too – voluntarily, brother, voluntarily. Amazingly, amongst the trio (of US, India and China), China continues to have the worst energy intensity with amount of GHG emitted per $1m of GDP at 1152 metric tonnes (MT). The figures for US and India stand at 441 MT and 655 MT respectively.


Source : IIPM Editorial, 2012.
An Initiative of IIPMMalay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.

Saturday, January 19, 2013

Go barefoot in search of success, rather than lazily stepping

B&E’s Pawan Chabria meets up with some individuals who opted to go barefoot in search of success, rather than lazily stepping into the comfort of guaranteed, cushioned golden shoes offered by well set organisations...

So what’s the latest offering from Ace Associates? Well, it comes in the form of a mobile service called, ‘Top five points’ through which a particular salesperson is provided with five reasons for justifying why a certain brand of automobile is preferable over a competitive brand whenever he feels a need to convince his customers. As Anuj claims, he has already roped-in two big auto brands as potential customers for this new service venture. At present, he is also on the lookout for new talent who can take care of his new ventures. And this too isn’t posing any problems to Anuj, “Surprisingly, the response to a start-up venture like ours, has been more than expected, which proves the fact that new-gen MBAs are more than willing to work with start-ups...”

Udit Bhandari, CEO of Indimoto.com, an MBA (with specialisation in Marketing) from The University of East London, UK shares some similarities with Anuj. He too joined the auto sector after his management education, where he worked in GM for about six months. As he says, his MBA education made it easier for him to establish his online second-hand car & bike portal in the country. “The MBA programme helped me in increasing my understanding of business and its various modalities. While setting up Indimoto.com, the learning received in management school helped me to realise various value propositions and to create a strong full-time team, a business plan and a marketing strategy,” he explains. Indimoto.com caught people’s attention via its carpooling initiative, which encouraged commuters to share vehicles to save fuel; clever enough an advertising strategy! Rashmi Vaswani, Founder, Rage Chocolatier, is also one of those who are following their passion with a purpose to strike gold; the only difference was that she couldn’t wait to get started and got down to business right after she completed her post-graduate diploma in management. Her passion was manufacturing chocolates, which she took up as a business opportunity in 2005, and success for her has been sweeter than the product itself.


Source : IIPM Editorial, 2012.
An Initiative of IIPMMalay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.
2012 : DNA National B-School Survey 2012
Ranked 1st in International Exposure (ahead of all the IIMs)
Ranked 6th Overall

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri’s Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM’s Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri – A Man For The Society….
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail

IIPM Links
IIPM : The B-School with a Human Face
IIPM – FLP (Flexi Learning Program)

Friday, January 18, 2013

Eight points which must be followed

Sompal Shastri puts eight points which must be followed if something has to done

The investment required for this is estimated to be around Rs.400,000 crores. States alone, however, are not in a position to mobilize such resources. The central government should share it equally with them. Secondly, there has to be a land use policy strictly prohibiting conversion of fertile land for non-agricultural purposes, except in rare cases.

Thirdly, thoroughly researched models of integrated nutrient and pest management based on use of organic matter and biological controls have to be promoted through out the country.

Fourthly, a comprehensive livestock and biodiversity policy aiming at conservation and improvement of native breeds and varieties through selective breeding must be put in place and form part of the integrated farming systems.

Fifthly, the price policy, which has so far been favouring only a few crops such as wheat, rice, sugarcane and cotton, and neglected the coarse grains, that are more nutritious and can be grown with lesser water, needs to be redesigned to make their cultivation equally profitable, if not more. Terms of trade for agriculture too warrant a correction.

Sixthly, all restrictions on trading, stocking, financing, movement and processing of agricultural products must be removed forth with to make India as one integrated market. Seventhly, the numbers dependent on agriculture have to be reduced by creating alternative job opportunities in rural areas and establishing facilities for technical and vocational education for enhancing skills and employability of rural youth.

And lastly, the multiplicity of Indian agriculture must be protected at all costs. We must be self sufficient in almost every item. Food security has to be an integral component of national security. Use of food as a weapon in international politics is not an unknown phenomenon. Our own experience tells that whenever we have deficit, prices in international markets go up.

On the international trade front, we must remain firm that unless the rich countries remove subsidies of all types to their agriculture, we shall continue to insulate our farmers against unfair foreign competition.


Source : IIPM Editorial, 2012.
An Initiative of IIPMMalay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).

For More IIPM Info, Visit below mentioned IIPM articles.
2012 : DNA National B-School Survey 2012
Ranked 1st in International Exposure (ahead of all the IIMs)
Ranked 6th Overall

Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri’s Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM’s Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri – A Man For The Society….
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail

IIPM Links
IIPM : The B-School with a Human Face
IIPM – FLP (Flexi Learning Program)

Thursday, January 10, 2013

From engineers to politicians

From engineers to politicians, everyone’s signing up for finishing schools!

These finishing touches are not only relevant to corporate houses and executives, even school students, renowned politicians and our much-loved sports as well as film personalities opt for courses such as Impression Management and Corporate Finesse. Just short of elections, several politicians enrol for private sessions in order to improve their image and add class to their portfolios. Most students are not open about their opting for these sessions though, and exact names of the students are usually kept confidential.

Understanding the psychology of a person and inferring why a person behaves in a certain manner is essential in order to correct undesirable mannerisms. Psychology is an integral part of personality grooming and Ms. Warrick says, “Just because some people are page three personalities, it doesn’t mean they can open a finishing school. You can’t be an engineer without attending school. Similarly, you can’t be in a finishing school without going through the grind yourself. You need to be certified, and lastly it is essential to be bilingual.”

It was once said that “no one is perfect… that’s why pencils have erasers.” But on the contrary, pencils also have sharpeners, which help us to write better and neater. Character building and personality development begin from childhood and continue until our death. “It’s beauty that captures your attention; personality which captures your heart.” And if until now you don’t know how to greet a woman or raise a toast… then the goblet of knowledge is indeed empty my friend...!


Source : IIPM Editorial, 2012.
An Initiative of IIPMMalay Chaudhuri
For More IIPM Info, Visit below mentioned IIPM articles.