Changing Times

The times are changing fast. The economy of India is facing challenging times. However many of our CEOs seem to be comfortable with future, as a survey indicates.
The Finance minister is waging a war promising a brave approach to issues. He is confident of reducing deficit and enhancing growth without burdening the corporate world much in terms of taxation in his near future budget.
In the IT world, HCL has re-aligned their business into three major categories. They seem to be getting prepared to align themselves with the changing times. The step seemed very practical.
The resignation of Bharati Airtel CEO, Sanjeev Kapoor over his assignment to Africa seemed bad. One has to take challenging assignments and give out the best for one's company and country.
What can be the prescription to deal with these times. Increasing consumption in IT software and training is a reasonably good way to boost the economy. Quality music, e-books must be bought by payment and in fact government must take steps to ensure financial worthiness to IT software industry and boost consumption.

IPO headaches

IPO (Initial Public Offerings) are a tough financial task to implement. The director of the company has to painstakingly lobby around, fill and submit forms, show financial data, get clearances etc. And after so much hard work, the issue may crash after opening. Because of greedy and money lusting brokers and public.
A good performing stock no doubt improves the image of a company, but the financial risks involved are also high. Shares can be a big cushion to a fat, risk loving entrepreneur. Shares are challenging and offers plenty of opportunities to implement ideas, whether fair or foul. Mostly foul. But how reliable is it?
If you want my opinion, for general public investing in shares is a very attractive proposition today.  IT is spreading its wings on our financial and banking systems. More and more people will be able to have access to banks and share applications over internet. This will mean more customers for shares,, thereby increasing the demand for shares and hence their prices.
So, what are you waiting for. Money does not stop for anyone. Go out, explore and invest money with both your hands.

Internet Marketing

Internet marketing is very interesting. Buying books and audio CDs and video CDs especially are exciting. Because there will be an element of surprise. One does not know whether the book/Audio CD/Video CD will be good or not. In case you buy and it happens to be good, then your joy becomes higher. In case it is not good and you get scolded by your wife, then you see and explain the good part of the book/Audio CD/Video CD.

What are the lessons for internet marketeers?

·         Look forward to collaborate. It is about social circles.

·         Remember over internet ‘I Like It’ matters. Not number of followers or even weight of  followers.

·        Be prepared for opportunities in rumours. Rumours spread in social circles, like the Doomsday rumours.

·         “Old” people exist. Remember it is not that only beauty and handsome and young exist.

And the lessons for internet buyers?

·         With great power comes great responsibility. Take care over the net.

·         Not everything can be said in 140 words. Be clever and read between lines.

·         Be tech savvy and be in buzz. You may be able to bargain better.

Now let me see. Which daily do I read?

Steps by Prime Minister

FDI in retail, I feel has technical flaws. It is a central subject. But states have been allowed to decide for itself whether to allow FDI in their states or not. MP and UP have outrightly rejected FDI in retail.
Then there is an interesting stand of RBI. They reduced the CRR but did nothing to repo rate. This is a diplomatic step by RBI if we take a look at it with respect to diesel prices. What they seem to be saying is we have to manage with the money available in the market and we are not going to do anything about decreasing money available to banks. This has raised inflation and the Congress committee has reduced central taxes in diesel.
If there is seriousness in implementing FDI, policy steps need to be taken with respect to other aspects of FDI. The import duty, the insurance of goods, consumer redressal and others. Let us wait and watch how things are planned by advisors. 

Standard & Poor downgrades India

S&P has downgraded India to BBB-. This will mean difficult international funds for India. S&P has also criticised Dr.Manmohan Singh saying he is "unelected". Nice joke !! Sikhs like jokes even if made on them.
The world is unusual. Advanced countries like Spain, Greece are facing economic problems. How can an advanced country have economic crisis is beyond me. Only thing could be Spain when compared with Germany or France can be possibly considered less advanced. So does it mean that the countries are being benchmarked with one another? Likely. Then in that case is India benchmarked with the other BRIC countries?
India's problems are different. It is capitalist. It is socialist. I would like to mention here that some of our businessmen are world class and have big reputation. From that angle it is a bit unfair to downgrade India. But most of Indians are poor but hard workers. They physically work hard and deserve food and money.
S&P has also talked about rift between the PM and cabinet and Sonia Gandhi. This is news to me. The newspapers never talked about it. I thought serious efforts were made by the PM but did not yield results.
The problem as I see is the socialist India prevents efforts made by government if the effort seemed capitalist in nature. Where only a few will make money.
Leadership is crucial at this difficult juncture and it is hoped India will come out of this problem.

GDP falls to the lowest ever

What went wrong? Why is the situation so bad? Who is to be blamed?
The fiscal deficit was growing. The government was spending much too much than earning. But the currency notes were getting printed. Everyone were getting salaries. No concrete efforts made to control the deficit.
Because the amount of money with public were more imports became easier. The government turned a blind eye to this. Foreign companies began to make better quality items here too. Also in the imports side, even fruits and vegetables were imported. Government did nothing.
In this process, domestic production began to slow down. People liked imported things and local items got a back seat. Gradually it covered the whole gamut of Indian growth mechanism and industry, services were all affected. The GDP fell drastically.
As a first step, a zero profit objective for PSU oil giants is recommended. Why should they make profits? The subsidy in diesel and kerosene should be given in such a way that profit is zero. This step in itself will give a lot of money to the government. The diesel and kerosene prices may rise but the advantage is poor in villages will get food as transport will become costly.

Lessons from businessmen

Birla, the great Indian businessman switches off light whenever he or his family members leave room. Birla also insists on eating food together with all the family members present. Discipline is very important. And many rich men take care to see to it that one is particular about things.
Do you recall any important points from the lives of rich which can improve our values?