Myths and truths about China...

China is rising, and it’s rising fast. From a cheap manufacturing hub, the mainland is now morphing into a consumer market for premium goods and services. In order to cope with this shift, the world needs to change its view about China. Here are three myths and truths that you ought to know about the dragon nation

In February, many Americans got their first introduction to Xi Jinping, the presumed next president of China, as he spent five days touring America. It was an important visit that will set the course of US-China relations which are already tense for the next several years.

Unfortunately, most of America’s conventional view of China is outdated or based on inaccurate information.  America’s foreign policy establishment needs to rethink common myths about the dragon nation or else risk following the wrong strategies for dealing with China’s rise. Three Big myths about China Myth No.1: China is primed for an Arab Spring
When Americans see Xi Jinping hobnob with the political and business elite or catch a basketball game, they need to realise they are not seeing a man who is about to seize power over a tottering country and an officialdom ready to implode. There is no Arab Spring on the horizon, as Senator John McCain had declared. No, Xi Jinping is about to preside over a self-satisfied – perhaps overly smug – bureaucracy and a relatively happy population.

The major difference between China’s government and regimes like Mubarak’s in Egypt or Gaddafi’s in Libya is that there is far more diffusion of power than many Western observers realise. Unlike in Middle Eastern nations that have seen turmoil, where despots clung to power for decades, buttressed by corrupt family members enriching themselves from the country’s coffers, China has mandatory retirement ages for even its most powerful political leaders.

The offspring of the nation’s leaders tend to go into the private sector to make fortunes, and there the Communist Party does not control most aspects of their lives. Moreover, senior leaders, once they retire, are not allowed to publish memoirs freely, take jobs in private industry, or travel abroad in a private capacity. And with more than 60 million party members, nearly every Chinese has a family member or close friend who is part of the system. Even if anger arises, there is no single unifying person or family for people to aim at to topple.

Myth No.2: China is stealing American jobs by manipulating its currency
Many Americans believe the old line trotted out by analysts like Nobel Prize winning economist Paul Krugman that China is stealing American jobs by artificially keeping its currency, the Yuan, low. In reality, those arguments don’t hold up to even basic scrutiny. True, China has pegged the Yuan to the US dollar, which is a form of manipulation, but the low exchange rate is not the real reason why China is outcompeting America for manufacturing jobs. Quite simply, China has become the world’s manufacturing hub because of efficient labour forces and superior infrastructure.

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Source : IIPM Editorial, 2013.
An Initiative of IIPM, Malay 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

"Stagnancy in reforms is the top concern for most firms"

Director General, CII, discusses the general sentiment within India Inc. And the steps to be taken for revival with K. S. Narayanan of B&E

B&E: What is the general mood of India Inc. especially after the RBI not approving a rate cut? What is your view on RBI’s concerns related to inflation at present?
Chandrajit Banerjee (CB): India Inc. is unhappy with the RBI’s decision not to cut rates. It is not able to understand the RBI’s lack of concern about economic growth. CII believes that inflation is being driven by two factors. The first is the supply-side bottlenecks in the agricultural sector as a result of which food prices are rising especially for perishables. The second factor is the rise in the price of international commodities. Keeping interest rates high will not tackle any of these factors.

B&E: What are India Inc.’s key expectations in terms of reforms that can bring back growth in manufacturing and services?
CB: I would like to highlight two key reforms that would help bring back growth in manufacturing and services. Implementation of GST would rationalize the indirect tax structure and has the potential to raise India’s GDP growth rate by 1-1.5%. The other reform is to allow FDI in multi-brand retail, which will not only bring in investments and create jobs but also deal with the inflation problem.

B&E: Assuming the current scenario continues in terms of policy measures, what is your outlook on growth returning to 7% plus levels?
CB: If the current scenario continues, it will be hard for growth to return to 7% plus. However, we will continue to raise these issues with the government and hope that they will be resolved sooner rather than later.

B&E: Data on cash being retained by companies seems to indicate relatively lower risk appetite. What are the major factors affecting confidence and denting investment prospects?
CB: CII’s 79th Business Outlook Survey conducted earlier this year revealed that stagnancy in reforms is the top concern of most firms, followed by high interest rates and high raw material costs.

B&E: How is the situation back home influencing India Inc’s decisions w.r.t. investing in overseas markets?
CB: Indian companies will invest wherever opportunities arise and the business climate is positive. Indian companies are trying to diversify out of the traditional markets of US and Europe; and seeking destinations such as Middle East, ASEAN, Africa and Latin America. At the same time, developed markets will continue to be attractive, especially at current depressed valuations.

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Source : IIPM Editorial, 2013.
An Initiative of IIPM, Malay 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

"India has a world class resource belt"

The Economy is staring at a high degree of uncertainty, but Hindustan Zinc Ltd. (HZL) has posted strong numbers on the back of a strong demand environment in the domestic market as well as internal efficiency enhancements. Akhilesh Joshi, CEO & Whole Time Director, Hindustan Zinc Ltd., discusses the company’s outlook with Virat Bahri of B&E

B&E: On an year on year basis, Hindustan Zinc Ltd. has grown its zinc, lead and silver production by 6%, 56% and 35% respectively in FY 2011-12. How do you find the domestic demand environment currently for these commodities and what is the scope ahead?

Akhilesh Joshi (AJ): Developing countries, including India, will continue to outpace the rest of the world on the back of urbanization, infrastructure development, automotive industry growth and increase in the usage of coated steel. India, being a high growth-high demand market, is among the lowest ranks globally in terms of per capita consumption of zinc and therefore, the demand potential holds a lot of promise. Also, the global outlook for the zinc market is expected to be positive with the demand-supply gap expected to progressively widen on supply shortfall and robust consumption growth. Consequently, zinc prices are projected to be in a secular uptrend.

Growth in lead metal demand, similarly, is expected to be strong; driven by growth in replacement battery demand & the automobile market. India, along with the other BRIC countries, has become a sought after manufacturing hub for major OEMs. For the coming years as well, the lead market is expected to be strong; keeping in line with the growth in demand and the current supply-demand gap from the primary source within the country.

Indian demand for silver, in turn, increased by 12% to around 3,550 tonnes in FY 2012, as compared to the previous year. Indian silver demand is expected to grow further on the back of prospective growth in industrial segments and with silver becoming a preferred investment asset along with gold.

B&E: HZL posted revenue of Rs.114.05 billion (yoy growth of 14%) last year and net profits of Rs.55.26 billion (yoy growth of 13%). What critical challenges did HZL have to face during the fiscal with respect to maintaining bottomline growth?

AJ: Significant increase in input commodity prices has been one of the main challenges. However, we have more than offset the impact of increase in COP and have had a double-digit growth in profitability on the back of strong volume growth, improved silver prices as well as operational efficiencies.

B&E: The Indian economy posted a sub-7% growth in GDP in the previous fiscal, which has disappointed global investors. How does this slowdown in the economy affect your strategic direction? How do you expect to ensure continued growth in this scenario in the current fiscal?

AJ: Our world-class assets, cost effective operations, strong growth pipeline & strong liquidity position provide the backbone to our business and ensure our profitability & sustainability. We had done significant organic investment even during the global economic meltdown in 2008, since we believe that a slowdown in the economy is in fact the correct time for building an asset-base. We therefore continue to make investments in our business and also pursue aggressive greenfield & brownfield exploration. In the current fiscal, our revenue growth will basically be driven by the volume ramp up from our newly added lead-silver capacities.

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Source : IIPM Editorial, 2013.
An Initiative of IIPM, Malay 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

This University is Under Siege!

Usage of Outdated tools, Wrong Analysis, faulty Reportage, Attrition of key Personnel, lack of Forward Integration – thanks to its Complacent Approach, IMRB risks Losing Ground very fast

The early birds do catch the worms, but in the corporate world, it’s really about how long you can keep them. Being born in a period (1970, to be precise) when Indian companies weren’t even updated on the real meaning of the word ‘customer’, does provide several advantages to IMRB, a company that’s well known for its customised researches. But when one looks at how it’s failing to set new benchmarks, one wonders how long it can continue to keep its competitive strengths intact.

For a company that claims to be the ‘University’ of the Indian market research industry, it would be quite appropriate to do a quick ‘research’ on the pioneering work by brand strategy guru David Aaker on Sustainable Competitive Advantage (SCA). Aaker had said that a company’s assets and skills will ultimately determine whether it can retain a sustainable competitive advantage.

For IMRB, development of the right kind of assets and skills appears to be the major challenge. A more embarrassing challenge is the fact that faults in IMRB’s reportage and findings have crept up faster than one could have ever expected or imagined – and it’s surprising that IMRB’s management could have overseen (and overlooked) these issues. For example, an IMRB report like the Internet Usage and Habits of Cyber Cafe Users (December 5, 2010) is riddled with numerical conflicts that could fox even the most intrepid analyst – 4Ps B&M has listed one such mistake in the graph at the right.

Some industry players put the blame for such lack of professionalism to be the result of their manpower challenges. Lakshmikant Gupta, Chief Marketing Officer at LG Electronics India, tells us from his experience and interactions, “IMRB is having a tough time retaining people, as they are moving to international MR firms or other sectors for better career options.” Numerous surveys point out lack of growth opportunities as the main reason for employee attrition. For an international MR company, it could be quite appalling if they were unable to provide their performers the right career progression, and it definitely has a worrisome bearing on growth prospects.

In general, the malaise starts from the top of the industry ladder. Dhiraj Chaddha, Marketing Head, Voltas Ltd. points out, “I think there’s a big room for improvement in the Indian MR industry. Most of them are following archaic models, which haven’t changed over the years.” Pioneers do have a role in shaping the best and worst in an industry. IMRB proves quite true to the stereotype.

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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

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)

Bonding with Bonds Peaks

World Bond Markets have been a Major Source of Capital for the Governments and Corporate Entities in the Developed World for over 5 decades now. But, Global Recession spurred Government Bond Issuance and hence Developed World Economy moved towards Borrowing through Bonds while banks continue to Struggle

Bonds take over banks

The importance of bond markets as a source of finance increased with greater significance during the recent economic downturn as companies diversified away from relying on banks for funding and many governments increased borrowing to fund their increased spending obligations for the massive economic stimulus to their economies. Amounts outstanding on the global bond market increased 10% in 2009 to a record $91 trillion (see figure). Domestic bonds accounted for 70% of the total and international bonds for the remainder while the same remained at 87% domestic and remainder international in the year 1999. US remains the largest bond market with 22% of the total global bond market and 39% of the total domestic bond market in the world followed by Japan with 18% of global domestic bond market.

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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

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)

“Monthly ARPUs in the DTH sector will climb to Rs.220 by 2014”

Vivek Couto, ED, Media Partners Asia talks about the futur drivers & challenges for the DTH sector in India

B&E: How much is the current pay-TV market and where will it be, say, 5 years from now? Vivek Couto (VC): Projections from Media Partners Asia suggest that Indian pay-TV subscribers will grow from 105 million in 2009 to 149 million by 2014, and 173 million by 2020. This means pay-TV penetration will grow from 78% in 2009 to more than 90% over the long term. Total pay-TV subscription revenues will grow at an average annual rate of 14% over the next five years and 10% over the next decade; reaching $8 billion by 2014 and more than $12 billion by 2020. Revenues from HDTV and VAS (including VOD and PVR) will contribute more than $500 million by 2014, rising to $1.5 billion by 2020. B&E: What are the future drivers for the sector in India and how will the cable-DTH tussle play out? VC: The future of pay-TV in India will be driven by media owners and distributors expanding market share with an eye on profits, rather than at the expense of profits. It's a steep curve for them as well but yes, the margins IF YOU GET IT RIGHT, in last mile cable are superior to that of DTH. But the key risk is that DTH will have large captive installed digital base in a quicker time frame than cable. Basically DTH is readying itself for VAS  a lot quicker than cable and has it on tap today. The marketing brand is there. For cable it's emerging but not quite there; the human capital is there; the financial muscle is there, but both DTH and cable will feed off each other. DTH is speeding up cable consolidation and producing something of a business model for cable operators to leverage.

B&E: With a number of players hogging the DTH space, do you think consolidation is inevitable?
VC: We suspect the DTH market will consolidate from six to four platforms within 3-5 years, and estimate four will be making money at the EBITDA level by FYE March 2013. There will be consolidation in the DTH segment and players will start making profits after 2013. The extent of ARPU growth in India is over exaggerated with analog cable, price competition and regulation as it exists. So the scope of ARPU growth is limited. VAS, HDTV will provide a boost as well as the impact of up-selling to new tiers. We see monthly ARPUs in the DTH sector climbing from less than Rs.150 in 2009 to Rs.220 by 2014.

Read more....

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.

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 Fac

A BUREA UCRAT DOCTOR…

That’s what Faisal Shah, the topper of this year’s civil services examinations wants to be. A qualified doctor, he wants to put soothing balm on the wounds of the Kashmiri people, albeit in the garb of a bureaucrat. So he tells Haroon Reshi

Eight years after his father was assassinated by militants, Faisal Shah, 26, has succeeded in transforming his traumatic past into a glittering achievement. His harrowing past experiences could not wane his passion and dedication to attain his objective.

Shah, a government school pass-out from a remote village of the border district of Kupwara, became the first Kashmiri and the third Indian Muslim to have topped the Union Public Service Commission examination in the 63-year history of independent India.

The Kashmir valley erupted in spontaneous celebration as soon as the news of Faisal’s success spread out. Soon, his Srinagar house was teeming with overjoyed relatives and friends. Neighbours and well-wishers made it a point to convey their happiness and best regards to the future IAS officer. Youngsters burst crackers, raised slogans and beat drums outside, though it was raining hard. Kashmiri traditional chefs were brought in to make the wazwan (customary feast) for the guests. That was on May 7.

A cheerful atmosphere still prevails at Faisal’s residence in the Hyderpora area of Srinagar.

“My son has made me proud. It was his father’s dream to make him an IAS officer,” says Mubeena Begum, Faisal’s mother, as she serves Kashmiri kehwa.

Mubeena, a school teacher, is obviously the happiest soul on earth these days. “I am grateful to Allah that He has shown me this day,” she adds, with tears of joy sparkling in her eyes. A total number of 875 candidates (680 men and 195 women) were recommended for Indian Administrative Service (IAS), Indian Foreign Service (IFS), Indian Police Service (IPS) and other central services. Faisal is among the 21 Muslims (including three other Kashmiris) on the list of 875 successful candidates. “I have shattered the myth that Kashmiris cannot crack this prestigious examination,” says Faisal, who will be turning 27 on the 17th of this month.

Although he is willing to be posted anywhere in the country, Faisal largely wants to serve common people in his home state. “I am ready to be posted anywhere in the country but I want to serve Kashmiri people in the capacity of an IAS officer. I know my people have been suffering for the last 20 years. They need officers who will listen to them. I will try to shrink the communication gap between the people and the administration. Here in Kashmir, authorities usually do not listen to common people. Due to this bureaucratic apathy, they are suffering a lot. I will try to change this very tendency.”

Read more....

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.

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)

Warming? Where?

Is the phenomenon of global warming really that serious? Does it even exist? Do we even care? We answer all those questions and more...
 
Southern India: in the state of Andhra Pradesh, temperatures reached to as high as 120°F (48.9°C) resulting in the highest one-week death toll on record – the state has experienced a warming trend at the rate of 1°F (0.6°C) per century. Bangladesh: rising ocean levels have flooded about 18,500 acres of mangrove forests in Chokaria Sundarbans during the past three decades due to the global sea-level rise at 5.5 mm/year. China: in the Qinghai province, more than half of the 4,000 lakes have disappeared due to droughts. Siberia: large expanses of tundra permafrost are melting.

Horrifyingly, melting permafrost has already damaged 300 buildings in the cities of Norilsk and Yakutsk. The average temperature of the permanently frozen ground in Yakutsk has warmed by 2.7 °F (1.5°C) in the last three decades. Canada: the Athabasca Glacier has retreated about 0.5 km in six decades and has thinned dramatically since the 1950s. In British Columbia, the Wedgemont Glacier too has retreated hundreds of meters since 1979, as the climate has been warming at a rate of 2°F (1.1°C) per century, shockingly at twice the global average.

Does all this really point towards global warming to such an extent that we should start panicking? Well, the issue has gained popularity in the developed world (Europe specifically) but has not gone down so well in the third world as food and shelter are of greater importance than a 1.5°C rise in temperatures.

Read more....

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.
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)

Was nice knowing ya, Chief!

US CEOs face uncertain times, & it's not just their companies that worry them

“Beggars can’t be choosers,” says a famous adage. Nowadays, that adage extends to some CEOs too, for they sure have quite a few things to beg for; now that economic downturn can't be wished away.

Well, if not choosers, they can certainly make the best of their predicament by begging in style, at least till it lasts. The top honchos of Detroit’s trio, viz Rick Wagoner, General Motors; Alan Mulally, Ford Motors; and Robert Nardelli, Chrysler, are a case in point. Imagine using luxury private jets to land in Washington, seeking a $25 billion bailout option to save their respective companies!

But why luxury jets? Well, obviously because of “security reasons.” After posting pathetically low profit figures (combined net loss of the three exceeded $5 billion for the quarter ending September 30, 2008), they definitely need protection from stakeholders! And if these humungous losses were not enough, the three have also been extremely successful in eroding the share price of their stocks (from January 1, 2008, General Motors has come down by 85.29%, while Ford Motors’ stock price has fallen by 76.36% till November 24, 2008).

And its not just the auto CEOs who face such overwhelming dilemmas. CEOs across the board are making news nowadays for reasons entirely different from what they had ever imagined. Some CEOs have seen their companies go underwater like Philip J. Schoonover, CEO, Circuit City (which recently Chapter 11’ed itself); some are stepping down like Jerry Yang, CEO, Yahoo! (per force exited); some are announcing a sizeable lay-off (Vikram Pandit, CEO, Citi Group announced to axe as many as 52,000 jobs); and we also have a macabre incident where one of them Sid Agrawal, CEO, SiPort has been shot dead by a revengeful employee. God bless his soul.

Read more.......

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.

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)

Is India the next Africa for Hollywood?

With movies like The Darjeeling Limited and Slumdog Millionaire acknowledging India as a subject for international cinema, is India the next Africa for Hollywood?

This started changing when filmmakers in Hollywood started taking on actors of Indian origin like Om Puri, Gulshan Grover, Amrish Puri, Kabir Bedi, and more recently Aishwarya Rai, to play Indians, unlike in movies like the 1968 comedy, The Party, where American born Peter Sellers played an Indian, or even Gandhi, a movie based on the life of the legendary Indian leader, where the protagonist was played by Brit-born Ben Kingsley.

Hindi film industry is commercially and artistically giving stiff competition to its peers, but still seeks vindication in the form of the most coveted golden statuettes of all – the Oscars. Says Shyam Benegal, “Everyone wants to win a prize in the international arena and in India everybody is convinced that an Oscar is the biggest award, and why not? When you get an Oscar, people want to watch your movies, at least in the Americas and the European and South East Asian countries. An Oscar does make a difference, for if a filmmaker gets revenue of $5 mn, he might do a business of $50 mn after winning an Oscar!”

Indian cinema and audience is one of the largest in the world and now even the foreign filmmakers are realising the same. We now await the next paradigm shift when Indian filmmakers will move out of their comfort zone, stick their necks out and give their western counterparts a run for their money!

Read more.....

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.

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)

Creative Capitalism with Social Business...

Nobel Laureate Dr. Yunus debates on why his previously published views on Creative Capitalism missed the mark... A B&E exclusive

My interview titled as “I don’t believe in ‘Creative Capitalism’!” was published in Business & Economy as a part of a cover story titled “Saving Capitalism” on October 16, 2008. The interview gives a completely different presentation of my actual views on the subject. This will create total confusion in the readers mind. I would like to clarify my views on the basic issues. I hope you will publish my letter to remove the misgivings in the minds of the readers.

The appropriate title of the interview would have been “Creative Capitalism with Social Business”, because that is what I have been pleading for. I was very excited when Bill Gates proposed the path of “Creative Capitalism”. It made my job immensely easier. It needed courage and conviction for Bill Gates, a life long beneficiary of capitalism, to say in unambiguous words that capitalism as practiced now misses out many important issues of human life ¾ poverty, health, nutrition, housing, etc. He took the initiative to direct capitalism to those areas and called it “creative capitalism”. Of course, any human organisation has to be creative. That is not the creativity Bill Gates was referring to. He had very specific idea of the nature of the creativity. I support his initiative fully. As one, the leaders of the business world, his voice will carry tremendous weight.

I have been proposing something different. I have been saying that human beings are multi-dimensional. There is a selfish dimension to a human being, as well as a selfless dimension. Selfish dimension is very adequately (and sometimes, unfortunately, very aggressively) addressed by the existing type of business, i.e., profit-maximising business. The selfless dimension remains unaddressed by the business world. I am suggesting creating a new type of business to address this dimension: a non-loss, non-dividend business with a social goal. Instead of being profit-driven, this business will be cause-driven. It will make profit, but profit will not go to the investor, except to getting back the investment money. Creative capitalism and social business will be working in the same direction, but in different formats, one within the existing format, and another within a new format.

Read more......

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.

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)

Sayonara already?

Japan urgently needs a worthy successor after Fukuda's resignation

He had hoped to outlive his hapless predecessor, Shinzo Abe. But fate had other things in mind. After staying in office for less than a year, Yasuo Fukuda resigned from the office of Japanese PM on September 1, 2008. An organisational man by nature, Fukuda never managed to get full support from his own party members. And the loss of control of the upper house of Japanese parliament made it almost impossible for him to get through any kind of reforms. And it was his failure to do much on the reform front that made matters worse for him. A cabinet reshuffle last month could have been used by Fukuda to include people with a clear idea of what needed to be done, but he did not. During the same reshuffle, there were signs that Fukuda is being pushed to the extreme. The party elders showed their support to Taro Aso, who is now expected to succeed Fukuda as the next Prime Minister.

Often known for his colourless and laidback attitude, Fukuda was finally forced to resign. His resignation is the second in a row after Abe and he is the third to do so without holding general elections.

Read more......

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.

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

N. K. Minda, MD, NK Minda Group

B&E: What kind of opportunities exist for the Indian component industry in foreign markets?
NKM: Indian auto component industry is today emerging as one to be reckoned with. With more and more global auto majors setting up manufacturing facilities in India, the Indian auto component sector is getting exposed to internationally accepted manufacturing practices. However, concerns about quality still remain. Also, we are still lacking in original research & development activities. But slowly I am sure that these issues will get resolved and India’s potential of emerging as the global auto hub will also be realised.

B&E: What effects has the rupee appreciation had on the company?
NKM: The Indian rupee has been depreciating in the recent past rather than appreciating. We typically have clauses in our export import orders wherein foreign currency fluctuation beyond a certain limit are factored in. Our exports are largely to Europe and are Euro denominated, so we have been relatively insulated from dollar fluctuations.

B&E: In terms of profitability, market share or turnover, what are the plans?
NKM: The NK Minda group has crossed the Rs.10 billion turnover mark and our next aim is to triple this turnover to Rs.30 billion crores in the next 3-4 years. In terms of profitability we are in challenging times and the aim is to increase our net margins to 10%, so that we can justify the faith of our stakeholders. Today we have roughly 70% market share in off road switches, 50% share in four wheeler switches, 40% market share in horns, 70% market share in CNG/LPG kits, 15% market share in automotive lighting. Besides this we are into EOVM (Electronic over view mirrors) and automotive batteries where we have just entered. The plan is to have domestic leadership in all product categories where we are not the leaders in the next couple of years.

Read more.......

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.

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

Legacies under legislation

Kerala government envisages policy to give IPR to traditional knowledge

The Intellectual Property Rights (IPR) Policy, 2008 introduced in the Kerala Assembly by the State government targets the protection of traditional knowledge (TK) and biodiversity, which has been inappropriately used by companies in absence of legal property right.

The policy proposes to commit all traditional knowledge, including medicines under “knowledge commons’’ and not to the “public domain’’. Knowledge has been categorised into two. One, the preserve of particular communities, especially tribal, institutions or families down the ages and second the knowledge whose practice sustains the livelihood of many. For example, Kottakkal ayurvedic massage belongs to the first category and practice of ayurvedic medicine by many practitioners belongs to the second. For the first category, the family, community custodian will have rights over the knowledge.

Read more.......

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.

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

Invest in e-bonds!

With e-marriages you now get to choose your guy or gal just as you’d choose some gadget... list out the specifications you need, click and you get what you want!

Jerome P. Crabb had once said, “Getting married is like permanently grafting your hand to the cookie jar. No matter how sweet those cookies may taste, you can’t help but wonder what would have happened if you’d chosen some other dessert – brownies, for instance, or frozen yogurt, or maybe chocolate strudel.” And while some keep wondering about their choice, there are a lot more who get their hands into the cookie jar without even knowing whether they are interested in the sweets. For them convenience matters more than the end choice that they make, a choice that leads to marriag–that calls for life-long commitment. Marriages, till date are quite a family affair. So, while the debate on arranged marriage vs love marriage is still going strong, and will probably go on forever, the latest craze happens to be self-arranged: e-marriages.

For laggards, self-arranged e-marriages are about the ‘wannabe’ brides and grooms, who log onto web portals where they shortlist a match for themselves based on criterion like religion, caste, personality traits, pay packages, family details and photographs. With more and more marriage portals like Shaadi.com and Bharatmatrimony.com, e-marriages are in vogue and have given a new meaning to the concept of arranged marriage.

Read more.......

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.

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