IIFT's Official Blog

A head for numbers...Rashesh Shah

2012-02-19T12:25:00.004+05:30

Business Standard features Mr. Rashesh Shah, IIFT alum and CEO of Edelweiss Financial Services. Truly, the quintessential successful Gujarati businessman.

http://www.business-standard.com/india/news/a-head-for-numbers/465000/

IIFT Alumnus Pooja Jain, ED, Marketing, Luxor Group featured on ET

2012-02-09T11:47:00.005+05:30

IIFT Alumnus Pooja Jain, ED, Marketing, Luxor Group talks to ET about evolving marketing strategies.

http://articles.economictimes.indiatimes.com/2012-02-01/news/31013051_1_market-research-al-ries-rural-market

IIFT, French B-school sign co-operation MoU

2012-02-04T19:06:00.003+05:30

Agreement facilitates educational and academic exchanges between both institutions

To facilitate educational and academic exchanges between the two institutions, Dr Phillipe Rivet, Vice Dean for Education – ESC Rennes School of Business, France and Dr R K Mitra, Registrar – Indian Institute of Foreign Trade

(IIFT) today signed a general agreement at IIFT’s office in Qutab Institutional Area, New Delhi.

Speaking after the signing ceremony, Dr Satinder Bhatia – Chairperson (International Collaboration & Capacity Development), IIFT, said: “The cooperation MoU is a boon for students from both institutions. Students on the ESC Rennes Master Programme Grande Ecole (PGE) (M1 & M2 levels) can now take courses in English on the MBA programme at IIFT’S New Delhi campus. On a reciprocal basis, IIFT students on the MBA programme to the PGE can do the same at ESC Rennes, France. IIFT students holding a Bachelor’s degree will also have the opportunity to study in one of the international master’s programmes at Rennes.”

ESC Rennes is located in Brittany, barely two hours from Paris by TGV (high-speed train). The School is certified by the European Foundation for Management Development – EPAS label (Grande Ecole Programme), the British Open University and the French Ministry for Further Education. The School has a partnership network with 160 foreign universities in Europe, North and South America and Asia. Unrivalled in Europe, ESC Rennes has 80% English-speaking foreign teachers. Business Managers frequently contribute as guest speakers. Professional internship periods and French lessons that are included in the programme further strengthen students’ skills. The School also has two research centres, the Centre for Responsible Business and the Centre for Technology Management, enhancing teaching standards.

Commenting on the agreement, Dr Phillipe Rivet, Vice Dean for Education – ESC Rennes School of Business, said: “As an elite French Management School, ESC Rennes School of Business offers a Bachelor programme in management and 11 international Masters programmes entirely in English. With one-third foreign students comprising 74 different nationalities, the multicultural ethos at ESC Rennes immensely benefits all students. After graduation, this facilitates their entry into a working world that is global in outlook.”

“Beneficial activities such as exchange of students and faculty members will now be promoted periodically on a mutual basis. Finally, securing an international Masters in English while living in France will no longer be difficult for Indian students,” concluded IIFT’s Dr. Satinder Bhatia.

IIFT wins CFA Global Investment Research Challenge-India FINALS

2011-12-14T12:04:00.002+05:30

Five students of MBA-IB, second year ( Navin Babu, Thangaraj Venkatachalam, Maharajan Nallasivan, Pranav Bajoria and Arul Vel Arasan) made IIFT proud yesterday by emerging winners in the National Finals of the CFA Global Investment Research Challenge held in the Bloomberg Office in Mumbai.

The competition is supported by three premier organizations including NSE (National Stock Exchange), Bloomberg and Bloomberg UTV as sponsors and long term corporate partners.

CFA Institute, the global association of investment professionals worldwide, promoting the best practices in equity research among the next generation of analysts in association with the Indian Association of Investment Professionals (IAIP), launched the “CFA Institute Research Challenge”. This is an annual, global educational initiative launched by the CFA Institute.

The panel of judges for the event included:

Sunil Singhania, CFA, Head - Equity Investments, Reliance Capital Asset Management Ltd; and President of IAIP
Ratnesh Kumar, Managing Director and Head, Standard Chartered Securities India
Alan Meder CFA, SVP and Chief Risk Officer, Duff & Phelps Investment Management Co.; and Vice Chair, CFA Institute Board of Governors
Ramesh Damani, seasoned investor with over two decades of experience

The team now moves on to compete in the Asia Pacific Final that will be held in Hong Kong in March 2012 and which will feature the best B-schools from Asia.

IIFT has yet again proved its mettle edging out several of the top b-schools in this country like the IIM's to win this honour.

All the best guys for the Asia Pacific Round! GO IIFT GO!!

QS Global 200 Survey ranks IIFT 21st best b-school in ASIA PACIFIC region

2011-12-09T23:16:00.001+05:30

IIFT scaled even greater heights today, being ranked 21st by QS Global 200 survey in its best b-schools in the Asia pacific region survey. IIM-A was the highest ranked Indian b-school in the list with a rank of 2nd.

According to the report, IIFT is the 21st best B School in Asia Pacific Region. Survey is based on Recruiter's opinion. Find below the links for the same.

http://www.topmba.com/mba-rankings

http://economictimes.indiatimes.com/news/news-by-industry/services/education/iim-a-second-best-b-school-in-asia-pacific-region/articleshow/11048496.cms

NDTV Politically Incorrect at IIFT Campus

2011-12-07T22:11:00.001+05:30

NDTV Politically Incorrect was shot at the IIFT Campus on December 4th. The guests who participated in the debate included Mr. Mani Shankar Aiyar and Mr. Swapan Dasgupta. The debate was moderated by Ankita Mukherji. The topic was the current hotcake "Does the rollback of FDI in retail signal the end of the Indian growth story ?". Students from both the 2012 and 2013 batches were present in the audience and they participated actively by asking incisive questions which was greatly appreciated by the guests.

The show will be telecast at 9:30 PM on Friday, 9th December on NDTV 24x7. There will also be a repeat telecast at 9:30 AM on the following morning. Don't miss the episode.

Photos coming soon!

Ad Mad Results!!

2011-11-19T11:39:00.001+05:30

Ad Mad RESULTS!!

1st: Hindu-I (Hindu College)
2nd (tied): Junoon-I: Dyal Singh (evening) and A Few Bad Men (IIFT)

Brand Vistaar Results Declared

2011-11-18T14:59:00.001+05:30

Winners:Team Mavericks from MDI
Runners'-up: Team Sammies from MICA
Congratulations to the winners

Results of Bollywood Ka Shahenshah(Informals)

2011-11-18T14:58:00.001+05:30

Arjun Chopra
Shashank Malhotra
Arun Panigrahi
Arunesh Sharma
Dhruba Jyoti Chatterjee
Each get Rs 1000.

Religare SHODH Results Declared!!

2011-11-18T14:06:00.001+05:30

Winners: IIFT Delhi-Nandan Sharma,Nishtha Anand, Prince Goel

Runners'-up: MDI Gurgaon-Ankit Kumar Gupta,Dhaval Shah

Both teams have won prizes along with PPIs from Religare.

Congratulations!!!

International Paper Writing Contest RESULTS

2011-11-18T10:50:00.001+05:30

Event Title

International Paper Writing Contest

RESULTS:

Winner: Riddhi Biswas-IIM K

1st Runners-up:Joymalya Bandopadhyay-XLRI Jamshedpur

2nd Runners-up: Aniket R Khare-IIFT Delhi

Congratulations!!!

Quo Vadis Coverage in HT!!

2011-11-18T09:39:00.001+05:30

http://www.hindustantimes.com/Entertainment/Music/IIFT-cultural-fest-kicks-off/Article1-770530.aspx

Even before the inaugration, Quo Vadis 2011 is hitting the headlines. Check out this full page coverage of IIFT's annual management and cultural festival.

The EXCITEMENT is HERE!!!!

2011-11-17T21:54:00.001+05:30

The wait has been excruciating but finally the long days have given way to a mere few hours.

Folks, the EXCITEMENT IS HERE!!!

We are now less than 12 hours away from the inauguration ceremony of one of the biggest events in the Indian b-school scene...

Indian Institute of Foreign Trade, New Delhi takes great pride in presenting

RELIGARE QUO VADIS 2011

where the journey begins...

DAY 1 (b-schoolers might understand DAY 0 better) is going to be a packed affair. Be ready for loads of competitions with enormous prize money on offer and a truckload of pure unadulterated fun.

At 5:30 PM tomorrow, a press conference will be happening on campus where we introduce the star performers for the celebrity nights of 19th and 20th November. (DAY 2 and DAY 3 respectively)

19th November: Farhan Saeed (Jal Fame)

20th November: Shafqat Amanat Ali

The final event of the day will see seven excellent bands battle it out on stage for BAJAO: the WAR OF BANDS!! The audience are in for the time of their lives.

QUO VADIS 2011 is going to blow your mind!!!

Be here at IIFT and experience the THRILL!!

P.S: If you are away from the stage, never mind! Stay tuned , 'cause we are going to be here all day long with live updates and news as the day progresses.

Farhan Saeed at Quo Vadis 2011...

2011-11-16T10:29:00.001+05:30

Farhan Saeed (does "Jal" sound familiar ??) is coming to IIFT on 19th November 2011. He will be performing on Celebrity Night-1 at IIFT Quo Vadis 2011. "Aadat", "Lamhey", "Panchi" and a lot more awaits. Don't miss it. Passes are now available. Keep tuned to Quo Vadis 2011 Facebook page for all the latest updates.

A voice that touches the soul...Shafqat Amanat Ali

2011-11-12T21:06:00.004+05:30

Born into the famed Patiala gharana, Shafqat Amanat Ali was immersed into classical music almost as quickly he could frame his first sentences.Little did he know that he would one day become the lead singer of one of Pakistan's leading fusion and Sufi-rock bands: "Fuzon".

Shafqat's singing prominently betrays his lineage and his classical prowess shines through. Songs like "Mora Saiyyan" and "Aankhon ke Saagar" transcended borders effortlessly and charmed audiences across the subcontinent. Indian audiences were quick to accept and appreciate the phenomenal talent that is Shafqat Amanat Ali. Since then, there has been no looking back for the musician. Shafqat currently has an extremely successful career as a solo artist and playback singer in the Indian and Pakistani film industries. "Mitwa", "Yeh Honsla" and the current sensation "Dildaara" are but a few of his masterpieces. He has truly proved himself to be a singer who can do justice to any kind of song across different musical genres.

Watch Shafqat Amanat Ali perform LIVE at Quo Vadis 2011: Celebrity Night 2.

Date: 20th November, 2011.

Location: IIFT Campus, New Delhi.

Be there!!

Less than a week to go for Quo Vadis 2011...

2011-11-12T20:56:00.002+05:30

One of the biggest management and cultural festivals in the Indian b-school scene, Quo Vadis will go live on 18th November, 2011 at the IIFT campus in New Delhi. The preliminary rounds for the various competitions are already happening and teams/individuals from the top b-schools in the country are fighting it out online. Keep a close watch on www.iift-quovadis.com to stay informed about deadlines and all the latest news related to Quo Vadis.

All events are listed on Dare2Compete as well. Prizes worth Rs. 15 lakhs and a chance to compete with participants from the best b-schools in India and abroad: that is what is at stake. Don't miss the opportunity.

Media Coverage for IIFT's Africa Business Conclave

2011-11-10T14:33:00.001+05:30

The Indian Institute of Foreign Trade (IIFT) recently organised a business conclave in collaboration with African countries at its Delhi campus. This conclave was an endeavour to explore the opportunities present in Africa and also to make the delegates and students aware about the challenges and social and cultural aspects of doing business in Africa. IIFT is the only institute where students of the flagship MBA programme have institutionalised an Africa Business Cell dedicated to do business in Africa and understanding the challenges for the same. On the occasion RM Joshi, chairperson, International Projects Division, IIFT, said, “As one can see, after the economic slowdown in the US and Europe, Africa has come up as strong nation with wide opportunities. And IIFT has been entrusted with the responsibility of setting up a foreign trade institute in Africa and to improvise the quality of education by organising capacity building programmes.”

Read the original article here: http://www.financialexpress.com/news/at-a-glance/871932/0

MBASkool- Study.Learn.Share. :Online Marketing Partner for Quo Vadis 2011

2011-11-07T23:56:00.003+05:30

MBASkool.com is an upcoming platform for MBA Students and Business Professionals. MBASkool is an exclusive management education platform and is custom made for current students and alumni of B Schools. A Student or a professional can log on to MBASkool to read any business concept or download any management document. A user can ask management or general questions to the growing MBASkool community. He can watch the latest ads in the field of advertising, access a database of brands called brandguide, read various reputed B-School magazines or know whats going in the B-Schools through the MBASkool pages.

A student is not just a user but can also be an active contributor to increasing knowledge bank on MBASkool. Most importantly MBASkool is a free for all service.

What MBASkool Offers ?

The MBASkool online portal has tremendous offerings for the students and professionals. The main sections & feature of MBASkool are enlisted below:

· BUSINESS ARTICLES

MBASkool gives a platform to students and professionals to showcase their literary and knowledge skills. It has a collection of over 350 originally authored business articles on various management concepts and latest in the world of business in the field of Marketing, Finance, Operations, I.T., Human Resources and Strategy. The articles are authored by the MBASkool editorial team, management students and professionals selected through MBASkool Contests and “Write For Us” page. Every individual who contributes an article has their own “Author Page”, which shows a list of all their contributions. So far, MBASkool has over 50 authors from the top B-Schools submitting their original literary work.

· DOCUMENTS

Presentations, reports, case-study analysis, annual reports etc, which are created by students, form the backbone of the Documents section. The MBASkool editorial team takes utmost care while approving the documents so that all the submissions are relevant without any compromise on quality. The document section comprises of over 2200 documents in various categories like Finance, Marketing, Strategy, Operations, HR, General management etc. which can be accessed and downloaded for free by registered members.

· BRANDGUIDE

The “BrandGuide” comprises of the analysis of over 400 major brands in terms of their Segmentation, Targeting, Positioning, Logos, Taglines, SWOT analysis and Competition. The various sectors analyzed include Automobiles, Banking, FMCG, Telecommunication, Sports brands, Mobile handsets, Airlines, Energy, and I.T.

· MAGAZINES
Every B-School/club/committee take tremendous efforts in making and creating their own magazines but its viewership is limited to only their own students. The MBASkool “Magazines” section is an interactive platform for colleges, clubs and committees to showcase their magazines to the entire B-School fraternity. Some of the premier B-Schools associated with MBASkool are IIM Shillong, IIM Ranchi, IIFT Delhi, XLRI, NMIMS, IIT SJMSOM, JBIMS, KJ Somaiya, SIMSREE, SCMHRD, IMT Ghaziabad, Great Lakes, IIT Kharagpur etc.

· MBASKOOL COLLEGE & CLUB PAGES

The ‘College and Club Pages’ gives the colleges and their clubs the “Power to Share” in their own hands. These pages give the colleges the authority to control and manage the contents on their own exclusive page. Events, contests, contact details, articles, college/club updates, images etc can all be shared with all the Management institutions on MBASkool. Prestigious institutions like IIM Ranchi, NMIMS, IIFT Delhi, KJ Somaiya, IIT Kanpur etc are already active and buzzing on these Pages.

· FORUM

MBASkool Forum creates an online community for students and professionals to share their views, thoughts, queries etc with other fellow students globally. Discussions on the latest in the world of business to the most popular Group Discussion Topics, all are discussed in details by the registered members themselves.

· PRINT ADS AND VIDEO ADS

Since advertising and marketing is an integral part of business and management, MBASkool provides a collection of various print ads and TV commercials across the various domains in the field of business.

MBASkool FACTS & STATS

Launch Date	December 2010
Registered Members	7600+
Facebook Fans	10,650+
Business Articles	350+
Management Documents	2220+
BrandGuide	410+
Magazines	28 (16 B-Schools)
College and Club Pages	12 (6 B-Schools)

NOTE: The data mentioned above is correct upto 7^th November 2011 as per MBASkool.com

MBASkool Highlights:

MBASkool Team interviewed by prestigious media groups like CNBC18 Young Turks, I am starting, New Indian Express and Bangalore Mirror
NMIMS Mumbai invited Co-Founders Divij Saharia, Manmeet Sabharwal and Kartik Kumar to deliver a guest lecture on “Entrepreneurship”
Sponsorships

“Online Partner” of NMIMS Paragana 2011
“Online Marketing Partner” for IIFT Quo Vadis 2011
“Knowledge Partner” of HR-Uday NMIMS
“Media Partner” IIT Kanpur Prabandhan

Official tie-ups with colleges and clubs like IIM Shillong, IIM Ranchi, NMIMS, XLRI, JBIMS, SCMHRD, IIFT, IMT Ghaziabad, KJ Somiaya, NITIE and many more for Magazines and Pages
Contests had participants from IIMA, IIMB, IIML, IIMK, NMIMS, FMS, Delhi School of Economics, IIM Shillong, IIT, IMT and other premium B Schools.

MBASkool.com

“For The Thinkers Of Today And The Leaders Of Tomorrow”

Disclaimer: All the views expressed in the above article belong to MBASkool.com.

IIFT and its representatives do not have any responsibility for the claims made above.

IIFT Grand Alumni Reunion, 2011

2011-11-07T14:55:00.002+05:30

On 5th November, IIFT, Delhi campus hosted the grand alumni reunion for the year 2011. The campus had decked up with banners and bright lights as it welcomed its prestigious alumni and their family members.

The evening started off with the director Sri KT Chacko and corporate placement adviser/faculty alumni coordinator Shri Munish Bhargava addressing the august gathering. For the first time, two alumni of the year awards were given out. The first award for the alumni of the year-business executive was given to Shri K. V. Rao (MPIB batch 1984), a TAS alumnus and currently head of Tata Power, Singapore. The second award for the alumni of the year-entrpreneur was given to Shri Nand Kishore Rathi (MPIB batch 1985) who is currently the CEO of his own firm, Premium Apparels which is based out of Hong Kong and has revenues of over 40 million USD.

Following the awards, students from both the current batches of MBA-IB performed for the alumni. The evening culminated with a grand dinner hosted by the Director. It was a memorable experience for the alumni who got a chance to reconnect with their alma mater and a fanatstic opportunity for the current batch of students to interact with the alumni and fully appreciate the fact that they are part of a larger fraternity.

Quo Vadis 2011...15 days to go...

2011-11-02T15:04:00.002+05:30

The build up to IIFT's annual international management and cultural festival is in full swing. Events are being launched every single day and competition is heating up. Here is a list of the major events which have been launched already as part of Quo Vadis 2011.

1.) RanNiti

2.) Consigliere

3.) Green Mark

4.) Aahvaan

5.) Operazor

6.) International Paper Writing Competition

7.) Bajao

8.) Jack of All Trades.

Check www.iift-quovadis.com for new launches and further details about the competitions which have already been launched.

Quo Vadis 2011...website launched!!

2011-10-17T23:17:00.003+05:30

Quo Vadis 2011 website has now been officially launched....do check it out!!

LINK : www.iift-quovadis.com

IIFT Grand Alumni Reunion, 2011

2011-10-15T00:51:00.005+05:30

IIFT Alumni Committee cordially invites all alumni to the Grand Alumni Reunion on Saturday - 05^th of November 2011 at the IIFT, Delhi campus.

Quo Vadis 2011-RanNiti

2011-10-13T00:24:00.003+05:30

Socrates, the consulting club at IIFT, Delhi in association with Mahindra and Mahindra presents the flagship strategy event at Quo Vadis, 2011 - "RanNiti".

RanNiti will provide management students from across the country a platform where they can come up with market entry and growth strategies for Mahindra Farm Equipments in Africa-the business destination of the next decade. The rich African continent is the next frontier for global business and the competition will not only allow teams the thrill of competition but also the chance to work on a very relevant business issue.

Team Format:

Members: 2 to 3 members per team.

Round 1 : Online Quiz (Preliminary Round)

Online Quiz

Date : 15th October 2011

The first phase of the competition will feature 40 multiple choice questions on African Economy and Farm Equipment sector. Round 1 is open to students from all the colleges. Time duration for this round is 30 mins.

The quiz will be mailed to the team leader and would also be put up on the Quo Vadis Website.

Round 2: Case Study - The Approach

Date: 18th October 2011

This round will have the shortlisted teams to develop a five slide presentation stressing on the approach the team is going to follow. This presentation will ideally be a team’s plan of actions. This round will have only 20 Teams.

Round 3: Case Study - The Analysis

Date: 15th November 2011

This will be the final round where 5 shortlisted teams will be invited to present their detailed analysis in front of an eminent panel comprising of Industry stalwarts and veterans

All the shortlisted teams will be constantly mentored by experts from Mahindra and Mahindra.

Prizes:

1st Prize – Rs. 75000 + Goodies

2nd Prize – Rs. 50000 + Goodies

To and fro AC III tier class fares will be reimbursed as per the shortest possible route, to the finalists.

Event Blog:

http://www.ranniti11.blogspot.com/

Facebook page:

https://www.facebook.com/pages/%E0%A4%B0anniti2011/167791039974828

Tribute to Steve Jobs

2011-10-11T00:14:00.002+05:30

Though I had never owned an Apple product,I am a member of its huge fan base. Its indeed a sad news to learn that the oneperson who has revolutionized the way we thought of electronics, particularlymusic players and mobile phones - Steve Jobs - is no more alive.

What made Steve special and unique was hisability to marry art and science, and his vision about changing the way peopleused technology. A person who has transformed the electronics industry, and wasloved by his competitors because he had introduced many new unchartered productcategories and created a huge market in those categories.

Though a technologist, Steve is not anengineer and probably that was one of his strength. He had always thought ofthe providing new, unique and rewarding experiences to customers and it was theduty of the Apple engineers to meet his demands, and thus kept him focusedabout his new products and adding newer and unique features to them.

Thank You Steve for your words 'StayHungry Stay Foolish', they have had such a deep impact on me, they constantly keep me motivating to become a successful entrepreneur! R.I.P Steve !!

Quo Vadis 2011...the countdown begins..

2011-10-06T00:39:00.003+05:30

Indian Institute of Foreign Trade proudly announces the launch of Quo Vadis, 2011. Building on the grand success of last year's event, Quo Vadis, 2011 is all set to scale even greater heights: transcending boundaries and going international for the very first time. With a diverse and exciting line up of events that will challenge budding managers from top b-schools across the country and fantastic prize money and tons of goodies on offer from the top corporates of the country, things are going to heat up amidst the November chill in Delhi . However, it is not going to be only case studies, debates and quizzes. Unleash the rockstar inside you and let creativity flow at Quo Vadis, 2011. With exciting cultural competitions and a special musical night which will see performances from some of the top artists from the Indian music industry, Quo Vadis, 2011 is going to be an unforgettable experience. The place to be at, from November 18-20 is IIFT, Delhi. The countdown has begun...

Keep watching this space for more information.

Singapore Conclave: Amazing List of Speakers

2011-08-23T20:11:00.001+05:30

The confirmed list of speakers

Mr. Jignesh Shah - Group Chief Executive Officer, Financial Technologies Group (Owner of MCX and SMX)
Mr. Kasi Viswanathan – Regional Director, Noble Resources
Mr. Matthew Sullivan - Director, Energy Solutions, HSBC
Mr. Nicholas Trevethan - Sr. Commodities Strategist, ANZ Bank
Mr. Kiew Won lee – Structured Trade Finance, Bunge
Mr. Ho Meng Kit - Chief Executive Officer, Singapore Business Federation (SBF)
Mr. Vijay Iyengar - Founder & Former CEO, Agro Corp Intl (one of the fastest growing agri trading companies in the world)
Mr. K. V. Rao – Resident Director, Tata Power
Mr. T. K. Sengupta – Managing Director, MMTC Transnational Pte Ltd (MTPL)
Mr. Brad Ridge, CEO/Principal Partner, Grid Investment Capital
Mr. Manvinder Singh – Vice President, AFG Capital Management
Mr. Adrian Sim, Diamond Mine Capital

Over 130 corporate delegates comprising the Who’s Who of Commodities Inc. & the finest Trade Financiers of the world have confirmed their participation at the conclave!!!
Prominent names amongst them –
- Managing Director – Cocoa Platform, Archer Daniels Midland
- Global Co-head – Hedge Funds & Derivatives Sales, Royal Bank of Scotland
- Managing Director – Global Oil & Gas Group, Standard Chartered
- Senior Vice President – Enterprise Banking, Development Bank of Singapore
- Senior Vice President – Commercial Banking, HSBC
- Head of South East Asia, Eurex Frankfurt (Eurex is considered one of the "big three" derivative exchanges, along with NYSE Euronext Liffe and the Chicago Mercantile Exchange )
- Executive Director, KPMG Corporate Finance Pte Ltd
- Vice President, BNP Paribas Wealth Management
- Chief Executive Officer, Tata Capital Advisors
- Director of Policy, International Swaps & Derivatives Association
No explanation required.

The event is REALLY BIG !!!

Go IIFT Go !!!

IIFT's Truly International Event: Commodity Trading Conclave In Singapore

2011-08-23T20:09:00.000+05:30

Proud to be an IIFTian!

2011-08-19T09:47:00.001+05:30

We are proud to announce that IIFT, Delhi sits at rank 7 in this year’s BT-Nielsen rankings of India's Best

B-schools, and is at the top among the three non-IIMs to be featured in the coveted Top 10.

While other B-Schools have dropped down a rank or two, IIFT has moved up the ladder steadily from rank number 11 in 2010 and 17 in 2009. In the backdrop of the global slowdown and recession, IIFT has successfully maintained its status as one of India’s premier B-School.

Not only does IIFT scores high on Faculty (Rank 4) and HR/Function Heads Rankings (Rank 6), it is also the most preferred destination after six of the IIMs and ISB, Hyderabad.

The rankings were base on scores obtained in a perception survey polling 1,732 stakeholders (MBA aspirants, current MBA students, young executives, recruiters, functional heads and full-time B-school faculty) across 13 cities spanning the top 60 B-schools in India.

FDI in the Indian Retail Sector

2011-08-08T08:04:00.002+05:30

Author: Ratin Duggal

In 2004, the Delhi High Court defined ‘retail’ as a sale for final consumption and not for further processing. It is the final stage in the manufacturer to consumer cycle.

As per Press Note 4 issued by DIPP and consolidated FDI policy issued in Oct 2010, 100% FDI is allowed in the cash and carry wholesale trading and export trading category, under the automatic route. FDI up to 51% is allowed in the single brand retail category after approval by the Foreign Investment promotion Board (FIPB).

The third key point is what has the Walmarts and the Tescos sulking at India’s doorstep.

FDI is not permitted in the multi brand retailing category.

In July 2010 , the Department of Industrial Policy and Promotion (DIPP) under the Ministry of Commerce circulated a discussion paper on allowing FDI in multi brand retail. It does not provide any limitation on the FDI investment that can be done in multi brand retail. If implemented it will open doors to global giants who are waiting to take advantage of the growing Indian market. The share prices of Indian multi brand retail chains have seen an increase ever since news of this proposal hit markets. This clearly shows that notall fear the FDI that may come in.

In the current scenario unorganized sector accounts for nearly 93-95% of the total market share. The local haats and kirana shops dominate the markets and are a major source of employment for many. In fact after agriculture Indian Retail sector is the biggest employer and accounts for nearly 10% of India’s GDP.

The key points in favour of the opening up of the retail sector are greater accessibility to foreign markets and greater return for farmers. India is the second largest producer of fruits and vegetables but due to lack of proper infrastructure (like cold storage units) billions of dollars of food is wasted every year. Although 100% FDI is allowed in cold storage, the lack of FDI in multi brand retail has discouraged any major investment in this direction.

The risk we run by opening up the sector is that millions of jobs could be in jeopardy. Also after entering the market the greater buying power of these retail houses could limit the price received by suppliers thus killing many MSMEs. It might also have social impacts as the divide between cities and villages will become greater.

Initially these retailers will be allowed to operate only in six major cities and the challenges faced by them are huge. Will single brand foreign retailers buy out their Indian partners? Will the franchisee model cease to exist? Also will multi brand retailers be able to penetrate into the rural market where the personal touch of kirana shops and the rapport they share with customers pose a challenge?

Eventually the sector needs to be opened up to put India on the map as a destination for global food sourcing and to better prospects for farmers. The key question is when?

In my opinion with the increase in microfinance institutions and multi brand Indian retailers we might see an increase in the market share of the organized sector. Perhaps we need to give more time to the Indian retailers to develop and improve upon their own processes. Definitely a deadline should be drawn by the government to not only assure foreign investors of the government’s inclination to allow growth but also to ensure that Indian retailers clean up their act and concentrate on greater transparency and cost competitiveness.

In another 3-4 years the Retail market should be opened up to trigger the next phase of growth in the India Shining story. This will give time to Indian retailers to gear up for the foreign investors and also to the foreign MNCs to understand the market sentiment better.

First Month at IIFT

2011-08-06T18:25:00.004+05:30

Author: Dhruba Jyoti Chatterjee

MBA-IB 2011-13,New Delhi Campus

As I was walking past the Academic Block today, a bland piece of paper caught my attention. It said – Applications for MBA (IB) – 2012-14 (Full Time) available. I smiled. Not a long time back, I was one of the many aspirants seeking the right to call himself an IIFTian. Today, as I complete a month at IIFT, I can safely claim that I have completed (1/24) th of the journey towards that goal (Pardon me for the exaggeration, but the hangover of the business statistics quiz will take some time to subside!).

So, how has it been so far? The immediate responses from the heart are: Hectic, Demanding and Sleep-depriving. On most mornings, it becomes impossible to believe that water is chemically neutral, for it makes my eyes burn as I try to wash away the dreariness from them. The subjects haven’t made my life any easier. I now know how hard it is to ‘balance’ a balance sheet; the bell-shaped curve has made frequent appearances in my nightmares; I fail to see the difference between segmentation, targeting and positioning, beyond their spellings and pronunciations. In between shuffling the pages of the textbooks (cumulatively heavier than yours truly) and understanding acronyms/jargons/ fundae/formulae, I am also unlearning and relearning a few things; the alphabetical system, for example. In a world, where the evening begins at 23:59:59 and GAS is not just a state of matter, but part of your daily conversations and content for the answer sheets, alphabets have assumed a whole new meaning. The letter A doesn’t remind me of the fruit/product Apple anymore; nor does the ball represent the alphabet B. In my new world, A stands for Assignments, B for ‘Babloo ke Paranthe’, C for CV, D for Deadlines and so on and so forth. It’s easier to count the days when I faced a quiz than the ones when I didn’t. I almost feel the chairs greeting me as I enter the auditorium or the NCH, for I have spent more time with them than anyone else in the college so far. Yet, every night (technically morning) when I eventually hit the bed, I go down with the satisfaction of having spent the day productively, having learnt something new.

As I slowly find my feet in this new phase of my life, walking away from my comfort zone, I can see many others like me, frantically waving their hands – my new friends and mentors, welcoming me in this world of exciting challenges and wonderful opportunities. Well, the journey has just begun. And I am in no real hurry to finish it! Hopefully, we, the batch of 2011-13, shall make it a memorable one.

JAN LOKPAL BILL

2011-07-09T15:43:00.002+05:30

Author: Avinash Shandilya

The above statement defines the entire concept of the Lokpal Bill. The details about the Who and the What and the Where and the How have been all over the news. We have made a mockery of ourselves. Somebody who was a nobody has been raised to the status of being a Mahatma and the crusade titled Satyagrah. Excuse me, even Mahatma Gandhi would not have adhered to such banal commercialisation of something as pure as fasting for a noble cause.

The point which I would like to make through this article is the sheer irrelevance of holding the country’s sanctity to ransom and disrupting the functioning of the parliamentary body, when our parliament is the highest authority which frames laws. Civil society bonded together by their collective frustration against corruption (cases for which are popping up every week like the spread of mosquitoes during the rainy season at NCR) has taken the mantle upon themselves to have a complete overhaul of the system. It is true that a malaise exists in the system and we have all the right to be disappointed. It is our responsibility to take collective remedial actions as well. In the past when we did not do anything to counter corruption, we the general people blamed each other for the lack of pride in cleaning our own houses. Now that we are doing it, we are doing it under a shaky leadership and the connotations have been there for all of us to see.

The issue of the Lokpal Bill have been driven by political undertones. Lets try and reanalyse the issue from the perspective of a common man. Why do people like me and you need the Lokpal? Why do we need the Prime Minister to be under its ambit? In a few days time we will also fight for the Supreme court to be under the ambit of the Lokpal? People like me and you will not get a penny in our hands even if the black money, on the pretext of which the entire campaign has been staged, returns back. Since the issue has been raised, the government is trying its level best to bring all the tax havens onto the negotiation table. Agreements are being signed. India aspires to have a permanat seat in the UN. We aspire to be the new power bloc in the world. India has a cultural heritage of tolerance and that is what has helped us sustain as a collective unit. We are not hardwired to deal with issues in the some of our Middle east cousins or for that matter our arch rivals in the north treat us. We are a democracy and should be proud to be one.

Let good sense prevail. Let us try and give up the campaign to get what we want by putting a knife to the government. We have lots of people dying everyday in road accidents, out of diseases, out of sheer poverty and that is what needs to be brought to the fore. The rest will take care of themselves. We already have the Vigilance Commission We have the RTI. Both of these have been the brainchild of this very government and they are working so well. Let us raise our daily issues of concern which we see around ourselves to these organisations. Let them do what they have been appointed to do. They need our support. Let us not always try and undermine all the institutions which exist and claim to institute yet another committee with even more overbearing powers.

The government cannot and should not adhere to the demands for the Lokpal so soon. The issue needs further debate amongst the masses. Put up the draft for everybody to see. Let the enlightened community feel wanted. Let them be involved. Let the Parliament do its due. We do not need another committee, we need awareness amongst the masses to use the existing institutions well.

Importance of cross cultural sensitization in International Business

2011-07-08T01:11:00.002+05:30

Author: Nupur Gupta(2011-2013 batch)

Cross cultural sensitivity is the quality of being aware and accepting of other cultures. This is important because what seems acceptable in some countries can be rude or derogatory in others. A person who is culturally sensitive is aware that there could be differences between their culture and another person’s, and that these differences could affect their relationship and the way they communicate with each other. A culturally sensitive person would understand other countries’ traditions and ways of life, or attempt to learn and apply new understandings.

Cross cultural sensitivity is seen as an essential skill in today's world. Cross cultural awareness is important when dealing in international relations or trade. It can mean the difference between a brand succeeding or failing in international market. Some cross cultural barriers are body language, etiquette, establishing trust, religious beliefs and social habits.

The success or failure of a company, venture, merger or acquisition essentially depends upon people. If these people are not cross-culturally aware then misunderstandings, offence and a breakdown in communication can occur. The need for greater cross-cultural awareness is heightened in our global economies. Cross-cultural differences can lead to cross cultural blunders. Having a poor understanding of the influence of cross cultural differences in areas such as management, PR, advertising and negotiations can eventually lead to blunders that can have damaging consequences.

A company having understanding of cultures in other countries can manipulate marketing strategies accordingly and use them effectively. For example- the main slogan of coke is open happiness. But happiness is defined differently in different cultures. So it targets that and has different types of advertisements for different countries/cultures

Examples showing the importance of Cross Cultural Sensitivity and awareness are:

An American Company that manufactures golf balls packaged the balls in packs of four. They were successful and began selling internationally. However they were not so successful in Japan, where the number four holds the meaning of death.

When a soft drink was introduced into Arab countries, the Arabs didn’t buy it because the label had six-pointed stars on it and they interpreted it as pro-Israeli. When they printed another label in ten languages, the Arabs wouldn’t buy again because one of them was Hebrew.

Recognising the importance of cross cultural sensitization will help the company to understand the needs, preferences of customer for a product. A company won’t sell a product that would not be accepted by the people on cultural grounds. For e.g.-. if a package food company tries to sell beef in India, it might not be as successful as expected because cow is considered the sacred animal to Indians.

Communicating and working across cultures often presents huge risks for international businesses. Understanding culture of other country can help prevent wasted time, lost revenue and damaging misunderstandings which occur as a result of a lack of knowledge and understanding of the target culture. Understanding how people think and why they behave the way they do will help employees work more effectively, which in turn, will give the organisation a competitive edge over other organisations who lack this intercultural competence.

Cross culture sensitivity helps the company to understand the implications of cultural difference on business, understand how they are perceived by their international counterparts, communicate effectively across cultures and build successful cross cultural relationships.

We can impart the idea of cross cultural sensitivity to the employees by cross culture awareness training. This training offers participants with two types of training- One looks at a specific country or culture and how to do business with them. Cultural awareness training can make an important impact on any business or organisation wanting to maximize their potential internationally. With staff that can deal sensitively and effectively with clients, customers and colleagues from other cultures a business becomes more competitive and more profitable.

Thus, the idea of cross cultural sensitivity is inevitable in international business. For a company to be successful in international business, it should help the employees to be culturally sensitive. If different cultures are accepted by people of different parts of the world, then it leads to successful and profitable venture.

The Business of Business is Business

2011-07-08T01:04:00.001+05:30

Author: Ratin Duggal (2011-2013 batch)

When I hear social activists and NGO workers shout slogans and hog media attention to get corporate honchos to participate in CSR activities it makes me feel amused.

I understand that we all should give back to society once we reach a level where we can make a difference, but is it our duty? Is it the duty of corporate bigwigs to organise CSR activities, just to get these social activists off their back and the government from imposing taxes?

Charity as defined by the Oxford dictionary is “generous actions or donations to aid the poor, ill, or helpless”.

The key word here is generous. I would also like to mention here that an act can be generous only if it has the right intentions and starts off as a selfless act.

Many Businessmen feel pushed into making charities and indulging in CSR initiatives. The reason business exists is because the proprietors want to make money. It can be for many other reasons too, but certainly not to give away your money. Acts of generosity should only be invoked by something inside and not something external.

The Business of Business is Business. Business exists only so that it can generate more business. The hunger can never quite be satiated, but is it a sin not to be satisfied?

I agree that there are many scrupulous practices out there which show businesses as selfish operations with no concern for gullible customers. The customers too are very shrewd and if they are never questioned on their morality, then why are businesses?

It is an unsaid truth that most businesses run for profits alone and the brand building around it is to protect the customer from getting hurt by the true intentions of a business.

Yes, the corporates owe society but no more than society owes them. They create job opportunities, promote development and invoke aspirations in the public.

Society and businesses exist together because they need each other and not because they want to. So yes, there is no harm in pushing businesses to help in the betterment of society by giving aid, but it also isn’t wrong when businesses retaliate and refuse to give up their hard earned incomes.

The business of business is business and not charity, but to get businesses to contribute is society’s business.

IIFT shines at the Nissan Student Brand Manager Program

2011-07-07T22:27:00.000+05:30

Two students from the Indian Institute of Foreign Trade (IIFT) have been selected for the National Finals of Nissan Student Brand Manager (NSBM) program to be held at Mumbai next month. The final round of selection for North Zone was held at the IIFT campus with the jury consisting of eminent personalities from the Advertising and the Automobile fields such as Mr. Prahlad Kakkar, Ad Guru, Genesis Films, Mr. Harish Bijoor, CEO of Harish Bijoor Consults Inc, Mr. Hormazd Sorabjee, Editor of Autocar India Magazine.

Expressed Mr KT Chacko, Director, IIFT, “IIFT congratulates the winners and wishes them all the success in their endeavors. IIFT is glad to provide this platform for the selection and enable its own and other students to come up with effective and novel marketing ideas."

The other finalists include students from the Management Development Institute (MDI), Gurgaon, Xavier Institute of Management, Bhubaneswar (XIMB) and IBS, Dehradun.

Said Rathin Rawal, one of the finalists from IIFT, batch 2010 – 12 "I am thrilled. Having worked in the automobile sector, this event naturally generated interest in me. Presenting my ideas before stalwarts like Prahlad Kakkar and the possible opportunity of executing them in real life kept me motivated. The fact that it was held on my home turf - IIFT has been an added advantage."

This is the second year of the initiative by Nissan and this program invited applications from 150 colleges spanning across 15 cities in India. The company aims to target 1,200 entries for appointing 20 NSBM?s and the tenure of the program will be for a period of a six months starting from July to Dec’2011.

NSBM program is aimed at presenting a unique challenge to the students to create a niche for them and raise the standards of excellence for their future. The participants will get an opportunity to channelize their creative minds.

The 20-selected Student Brand Managers from across India are planned to play a key role in bringing brand Nissan closer to both - the student community and the public in general through innovative marketing initiatives. After undergoing training, the students will work closely with company officials on a variety of initiatives. Also each NSBM can get a “Nissan Micra” based on their requirements which will further help them to understand marketing activities of an automobile brand.

1st day at IIFT

2011-07-04T22:16:00.003+05:30

Author: Akshay Gupta (2011-2013 batch)

Here came 1st July 2011, my 1st day at IIFT, Delhi. With great expectations and hopes in my mind and with enormous energy I entered the campus of IIFT, Delhi the “IIFT Bhawan” located in the greens of the Aravallis.

The moment I entered the place I fell in love with this place all over again.. No this by no means is my second stint at IIFT..:), but because it reminded me of my school life.. I am not getting emotional by any chance, but I say so as it reminded of the greens of the Aravallis as it’s just a stones throw away distance from IIFT.

The day as it should start in any Indian B-School with the lightning of the knowledge lamp and an address by the honorable director of the institute, followed by load of people from the program director to the faculty, the students body president and so on.. Every minute that was passing by was making us realize the kind of effort and focus this course required from each one of us and it started to give me the feel of being an IIFTian and yes I felt it.. I am an IIFT 2011-13 batch student..!!!

It was on the first day that I got a chance to interact with each and every one of my batch mates, I found a lot many people who from the first look seemed to be fun loving and as cheerful and on the other hand there were few who from there first look had started to scare the hell out of me.. and these people were those extremely serious kind of people.. with loads of knowledge on their head and who made me realize on the very instance about where I am and what I have for competition…:(.

The highlight of the day started at 6.00Pm when the 2010-12 batch seniors started to pour into the auditorium. These were those guys who had been with us all throughout the GDPI and the selection process, hats off to these guys… I knew at the back of my mind that now the real “Fun” is going to start.. yes this was the IIFT flagship PDP sessions, the sessions which would give me a hang of the “B-School culture”, the culture of sleepless nights, of working in groups, the feeling of “loving” your blazers and tie at 45 *Celsius temp.. and it was indeed as I had expected..:( .

The first day gave me a hang of what I will be experiencing in these 2 years of my life. The rocked totally, it drained all the energy out of me that I had been saving for so long.. But, still I was liking.. As that’s the way it happens at IIFT.. Go IIFT go….!!!

Los Conquistadores : 2009-2011 Batch

2011-06-12T22:16:00.008+05:30

They have not only bagged enviable profiles, lived their lives joyfully here but also stood out warriors when the time came to test their managerial acumen, the IIFT batch of 2009-2011 have mercilessly conquered the B-school competitions. They excelled in competitions focusing on Marketing, Finance, Strategy, Consulting, Quizzes, B-plans, Operations or a combination of them! Grabbed the first position at The Mahindra War Room 2010, the biggest B-school competition in India, were the runners up in Reckitt Benckiser case study held at FMS, winners of Masuk Prasar held at IIFT in association with Tata Motors, the list goes on and on.

To have a glimpse of some of the major achievements of the batch, please click on the following link:

http://www.iift.edu/iift/achievers.asp

You people will definitely be an inspiration for 2010-2012 batch and many more batches to come. Kudos to you and all the very best for the future!

IIFT to Launch Foreign Trade Institute in Kampala

2011-06-01T09:59:00.002+05:30

In one of the first forays by a government institute into the multi-billion dollar foreign education market,the Indian Institute of Foreign Trade (IIFT) will set up its first overseas campus in Kampala,Uganda.The business education and foreign trade institute will partner with Uganda Management Institute to set up the India-Africa Institute of Foreign Trade (IAIFT).It will be one of the 19 educational institutions that India will help establish in Africa following the 2008 India-Africa Forum Summit.Africa needs a lot of capacity building,especially for managing foreign trade, said KT Chacko,Director IIFT.The Indian institute will provide faculty and will train local teaching staff as a new campus is built by the Ugandan government.Short-term courses and training classes will begin by November this year.Pune University was the first government-run educational institute to set up an international campus,in the United Arab Emirates.However,private-sector players such as Manipal Group have set up a number of foreign campuses across locations such as Dubai,the Caribbean and in Kuala Lumpur over the last two decades.International ventures together contribute almost 60% to the total revenue, said Anand Sudarshan,CEO,Manipal.We are looking to expand in Africa but have not finalised on a location or a partner, he added.Manipal Educations revenue is expected to be $250 million in the coming fiscal.Even private vocational and skills training enterprises are eyeing the global education market.In February this year,Global Talent Track (GTT),which makes students corporateready through additional career-focused training,launched a training centre in Shanghai.The Intel Capital and Helion Venture funded company,which was set up in 2008,has centres in Malaysia as well.

PS: The article was published in TOI. dated 31/05/2011 by RADHIKA P NAIR, BANGALORE

Here is the Link http://lite.epaper.timesofindia.com/getpage.aspx?articles=yes&pageid=7&max=true&articleid=Ar00702&sectid=5edid=&edlabel=ETBG&mydateHid=31-05-2011&pubname=Economic+Times+-+Bangalore+-+Corporate&title=IIFT+to+Launch+Foreign+Trade+Institute+in+Kampala&edname=&publabel=ET, it opens when u r logged in the e-paper.

Mumbai Chapter meet held successfully

2011-05-22T22:25:00.002+05:30

The IIFT Mumbai Alumni Chapter meet concluded successfully on May 14, 2011 at the Indian Merchant Chamber, Churchgate, which saw an enthusiastic response from alumni of many batches. The evening, which was well planned and organized by Abhishek B V and Nikhil Sabharwal, executive members of the Alumni Committee, saw the participation of The IIFT Alumni Society’s Executive Council.

The event started with an introductory note from the chapter head Mr Rajiv Gatne, who thanked the alumni for devoting their time for the meet. It was followed by a small address by our Director Shri K.T.Chacko to the alumni and noted that alumni are the biggest assets of the college. The corporate video of IIFT was presented by Anil Kolla, the student Alumni Coordinator, which was followed by a power point presentation of the last year activities and the calendar for the next year.

Mr Bharat Merchant (Batch of 1972) was the senior most alumnus to attend the chapter meet and was presented with a memento by the chapter head Mr Rajiv Gatne. It was followed by an exciting ‘Business Quiz’ hosted by the MC of the evening Mr Umang Chittalangia, which invited the participation from many of the alumni. Gifts were given for each correct answer. The evening culminated with dinner and drinks.

The two caricature makers in the venue made the evening even more memorable as many of the alumni got their caricatures sketched by them. All the alumni in the chapter meet were given a ‘passport wallet’ as a token of memento for attending the chapter meet.

IIFT on NDTV

2011-05-04T11:25:00.001+05:30

NDTV Show @ IIFT Campus: B-School Budget

Venue: Our very own Atrium.

Looks amazing!!! Isnt it??

El Clasico series - Part 4

2011-05-01T17:15:00.004+05:30

So we are all set for the UCL semi final 2nd leg(El Clasico number 4 in little more than 2 weeks)

at the Camp Nou. Before this Real Madrid has won 1, Barca 1 and one resulted in a draw. Going into the match Barca has an advantage of playing at home with 2 away goals at hand. In the first leg, it was a deadlock which was broken by Pepe's dismissal which seemed to turn the tide in Barca's favour and they went ahead when Messi turned in Ibrahim Afellay's cross. Messi then added a fabulous second when he ran 30 yards before slotting in.

Real Madrid's defeat at the Bernabéu by Zaragoza – José Mourinho's second league defeat at home inside a month after a nine-year unbeaten run – gave Barça a chance to stretch their advantage at the top to 11 points but they were beaten by Real Socieded later on Saturday. Real Madrid coach Mourinho rested several first-choice players, including Real's top scorer, Cristiano Ronaldo, and Xabi Alonso, ahead of Tuesday's Champions League return at Camp Nou, where they will aim to overturn Barcelona's 2-0 advantage from the first leg.

For the 2nd leg, Pepe is suspended and then there are players in danger of missing the final if

booked - Alves, Mascherano for Barcelona and for Madrid, they are Arbeloa, Adebayor, Di María, C.Ronaldo, and Albiol.

To improve their attacking ambitions, Mourinho may play Kaka in an attacking central mid-field role. Madrid is one of the world’s best teams on the counter. In fact, they are much more than a team that depends on the counter. For much of the season Madrid has dominated the ball and retained possession for long stretches. In addition, Madrid have been quite dangerous when they’ve been able to turn the ball over higher up the pitch and then break at speed. Their pace and technical ability makes them very adept at transitioning from defense to not only attack extremely quickly but to do so in numbers.

Tactically, Alonso plays a key role in the midfield as Pedro and David Villa are for Barca. Alonso is a fine passer but he’s not particularly strong at shielding the ball or dribbling. With Villa and Pedro pressing the full backs, Barça will be able to break Madrid into two horizontal pieces by pressing Alonso and forcing Khedira to build up more of the play. This will require both Xavi and Iniesta(who might not play) to defend vigorously on the press, which they fortunately accustomed to doing.

The Barça wide players must press and disrupt the Madrid full backs as they seek to initiate play. Pedro in particular will be critical for Barça because one of the signfiicant advantages Barça have is Pedro’s work rate compared to Ronaldo’s. Pedro will need to not only pressure Marcelo but will then need to track back to support closing down the partnership between Marcelo and C. Ronaldo.

Which leads us to the final way Barça must defend – one of their best defenses in this match will

be to possess the ball and to do so with as few errors as possible. One of Madrid’s greatest

problems in this match will be - How to generate attacking opportunities in the way they are

accustomed to against a team that possesses the ball for so long and infrequently makes mistakes in possession.

Some Catalans see Barcelona as their "national team" – despite the presence of foreign players such as the Argentinian Leo Messi and Brazil's Dani Alves. Some Madrileños see it as the sporting embodiment of "anti-Spanishness". It is a state of mind that harks back to the days of General Franco, when Real Madrid was seen as the establishment club. Barcelona, almost as a corollary, became a symbol of Catalan resistance.

For them this is war, a set of proxy battles between the Catalonia region – of which Barcelona is

the capital – and mighty Madrid. With a draw and a victory apiece so far, the bruising campaign

will not be settled until Tuesday.

The first leg saw Mourinho openly criticising Barca(for their "theatrics)and UEFA(for "supporting" the Catalans). I have heard/seen people making baseless comments that UEFA supports Barca as UNICEF are their sponsors. But here I want to make clear that UNICEF does not sponsor Barca. Rather it's the other way round i.e. Barcelona FC funds UNICEF.

Anyways, hoping for more football and less of an action packed movie in the last Clasico of the

season.

Amateur movie review : Midnight Cowboy

2011-04-03T13:31:00.002+05:30

I chose to watch this movie as it was suggested by Pinaki Sir in class. And as he rightly said, the

movie is depressing, and leaves one with a paranoid feeling. I still wonder why Midnight Cowboy was slapped with an X rating. The film was nominated for seven Academy Awards though, becoming the first and only X rated movie to win Best Picture(they used this for promoting the movie). John Schlesinger won Best Director, and Waldo Salt won Best Writing - Screenplay Based on Material from Another Medium.

Midnight Cowboy is all about one of the essential myths: The eager youth comes from the country to the city, and his simplicity and freshness are ground up in the urban jungle. Joe was a simple-no-ambition dishwashing Cowboy on the road to nowhere. In this small nothing town he might have been the top stud with women falling all over him. Realizing "the only one thing I ever been good for is loving" he concocts this naïve idea that he's going to quit his job.

Joe Buck happens to meet Ratso(Rico or Rizzo), a person entirely outside his experience. Like a rat, he makes his own way in the city, hated, asking no favors, living the life he knows. The characters are very different yet they complement each other really well. The only reason being- there is no other way to turn.

Joe is very much a daydreamer. The film is constructed with a series of flashbacks and dream sequences that are triggered by as much as an incident reminding Joe of something "similar" that happened to him. Joe's biggest misstep is buying into the images and words he sees and hears. His worldview seems to have been formed through John Wayne's movies.

Midnight Cowboy is a movie that destroys myths and demonstrates the difficulty of trying to attain one's dreams. Joe's great misconception of media leads to broken dreams, promises, and hopes when Joe tries to live his version of the American dream. The film wastes no time in pointing out Joe's lack of intelligence, style, class, tact, quick thinking, brainpower and so on make him unable to succeed in a place he doesn't understand in the least.

Joe's encounter in the dark movie theater with the kid with hornrims was seriously damaged by Schlesinger's flashbacks,which I think, were a serious weakness in the movie. I can never be sure what went on with the girl in Texas, or what Joe's grandmother was up to, but that doesn't matter. Experiences like those in Joe's background should have produced a masochistic, impotent figure, which don't fit into Joe Buch as we see him.

In the end, Midnight Cowboy is a devastating movie and doesn't care about sending the audience home happy. As a whole though, the film is hardly all gloom and doom because the friendship between Joe & Ratso and sequences that show their dreams shed some light on even the darkest of circumstances. Even the concluding sequence is painful. As Joe and Ratso make their way to enjoy in Florida, Ratso passes away in the bus. The people know something serious has occured but they don't get much bothered and some old women are shown as doing makeup as they get ready to get down at Florida.

The movie reminded me of the innocent, innocuous village people's experiences once they step into a metro city and it really does give you a mental beating. All in all, a depressing movie filmed in a cutting edge style that shows even dreams with low expectations can have a high price.

IIFTians Blog: Truly a Global One

2011-03-25T20:29:00.004+05:30

Click on the image below that displays the blogs stats to enlarge it.

Rest its Self Explanatory.

Go IIFT Go !!!

My 2 cents on union budget

2011-03-24T11:12:00.002+05:30

Author of the Post: Kumar Raunak
Batch : 2010-12

It has to be a magnum opus budget
We need some big ticket reforms
Divest hindustan machine tools, bsnl,mtnl, RBI,IIFT,clearing corporation of India and use the proceed to bring down fiscal deficit to 3% and revenue deficit to nil.
Initiate a system of direct cash transfer for cabinet ministers so that they do not have to wring their heads to siphon off money(read 2g scam)
Bring down the transaction cost of stashing away your money abroad by actually allowing banks like swiss bank to open a dedicated branch for this in India itself.
Along with 100%FDI in multi brand retail allow 100% FDI in politics so that eminent personalities like sarah palin, berlusconi, etc can launch their own parties and bring about a tectonic shift on the indian political landscape.
Single window clearance for all turnkey infrastructural projects like mayawati's statue.
Signing of free trade agreements with chad,mali, niger, afghanistan etc because in this case as is taught in the IE class the dead weight loss to the society would be less.

Happy Women's Day @ IIFT

2011-03-09T12:26:00.005+05:30

Author of the post: Jasmeet Kaur Grover
MBA(IB) 2010-12

We all know the importance of the various women in our lives but yet we generally forget to appreciate them for the same. Koshish, The Social Awareness Club at IIFT gave an opportunity to all the guys of the 2010-2012 batch to convey this appreciation to the girls of the batch in the form of special write-ups for each girl on International Women’s Day. These write-ups along with flowers were left at their doorsteps to surprise them in the morning. All female faculty members were also given a card and flowers to appreciate their hard work and dedication.
This initiative of Koshish brought a smile on the face of these wonderful women, who found this to be a very thoughtful gesture.

IIFT cultivates the future minds for Carbon Consulting in the Green Conclave 2011

2011-03-07T21:35:00.001+05:30

Author of the post: Suneet Choudhury
MBA(IB)2010-12

In focus of promoting the Indian Carbon Consulting Industry, IIFT, India’s premier B-school, took the initiative in focus with PAT: Perform Achieve and Trade by organizing “GREEN CONCLAVE 2011”. The baton of this strategy lies with the Carbon Consultant who would help the industries modify their processes to make them energy efficient.

IIFT was witness to one of the most contemporary debates in International Business involving the scope of carbon trading and consulting from an international as well as Indian Perspective. Conducted by Socrates (Consulting Club at IIFT DELHI) , this discussion had a healthy mix of industry stalwarts , delegates interested in carbon consulting , as well as the students who were curious to gain insights about a field which is still in its budding years.

The discussion was between three different industry experts from a different domain but with a common interest in PAT. It was moderated by a highly experienced professional who has been involved in projects involving carbon credits for several years now. Mr Tapan Chowdhury, Head, Fundraising, Care India was the moderator for the event. The panellists included Mr Nitin Zamre MD India ICF International (Climate Change Consultant), Mr Ajay Ahuja, General Manager Sun Microsystems (IT Professional) and Mr Birjendra Sangwaiya, Principal Consultant Emergent Ventures (Climate change Consultant).

The discussion started with the agenda from the moderator that the “Industry needs to play a major role in developing a sustainable model for carbon credits in India”.

Nitin Zamre focused on the fact there is no current climate related target as of yet which has been stipulated by the government. He gave us a brief overview of the PAT scheme and stressed on the fact that it is not a one size fits all model. Some of his notable quote which came out were “If everybody overachieves in gaining carbon credits, then there won’t be a market for carbon trading” which indicated that it was theoretical possibility that everyone achieves equivalent emission cuts

Ajay Ahuja brought about the IT industry’s perspective into focus. He stressed on the role that it industry had to play in reducing carbon emissions and make its technologies more efficient. With increased usage of it infrastructure across industries it was imperative that IT technologies should in corporate greater power savings, in order to make it a green technology. His most impact full quote was “The cost of operating power of servers is more than the cost to buy them” indicating the need of the hour was to find energy efficient solutions in order to make business a sustainable and green model.

Birjendra Sangwariya an IIFT alumnus principally discussed on the world carbon trading market, whether they are linked to each other, and the existing standards and registries. He discussed on the regulatory changes which might come into factor in order to bring a unified model and a consultant’s role in the entire scenario

This discussion ended with questions on a few major issues like the scope of unification of carbon credit schemes across the world, life cycle of these schemes and costs of implementation, export –import of these credits in the international market, role of cloud computing in reducing carbon emissions

It was an eye opener in terms of how much crucial role controlling of carbon emissions will play in the future of industrial sectors , and the role of the consultant involved in climate change solutions.

IIFTians win the competition WINBIZ 2011 at GIM

2011-03-03T17:59:00.001+05:30

Goa Institute of Management (GIM) hosted a competition Case Study “WINBIZ 2011” sponsored by TATA Motors. From among the top B-Schools in India, seven teams made it into the finals. The finalists were from IIFT Delhi, NITIE Mumbai, MICA Ahmedabad, IIM Shillong, NIIE Mumbai, GIM Goa. Finalist teams presented the case in front of esteemed panelist from TATA Motors. Team from IIFT Delhi came out as winners with cash prize of Rs. 20000, one PPO and two PPIs. NITIE Mumbai was the runners up.

The team that won the competition was from second year at IIFT. The team members were Abhijit B, Mayank Kumar and Atanu Sarkar.

Vaibhav Srivastav and Aman Oberoi make IIFT proud at 'DARE' 2011

2011-03-02T22:11:00.004+05:30

The following article was published in Business Standard :

The team from IIFT, India’s premier B-school, won the first prize at 'DARE' - an International B-School marketing Quiz hosted by bollywood superstar Shah Rukh Khan. The winning team comprised of two prodigiously talented students Vaibhav Srivastav and Aman Oberoi who defeated participants from over 190 colleges across the country.

DARE’11, organized by IIPM is more than just another quiz as it is a perfect synergy of an international meeting ground for the very best of the planet’s business and management students to meet, ideate & vie for honors while challenging their marketing wits and acumen.

This intelligence combat was carried on through Zonal, National and International levels where top national and international teams from colleges like London Business School, Duke University and Booth University, California had to compete in the Pre- Quarter Final, Quarter Final & Semi Final at the IIPM International Campus in New Delhi. From which six finalists comprising of four National and two International teams made it to the Grand Final held on 23rd February 2011 at “Parkland Exotica” in New Delhi. Winners Vaibhav Srivastav and Aman Oberoi, who did wonders at the Quizzing Arena of IIPM, are first year IIFT Delhi students. The students were awarded with a cash Prize of Rs 2.5 lakhs, two Yamaha Motorcycles, two canon Printers, two Videocon LED televisions and two Nokia phones.

“It is a proud moment for IIFT to receive such recognition and I congratulate both the winners. This is just the beginning of their successful journey and I wish them greater success ahead. IIFT promises to provide all the support required to their students for setting another series of milestones,” said K. T. Chacko, Director IIFT on the team winning the DARE’11 Quiz award.

A totally different experience!!!

2011-03-02T19:48:00.003+05:30

Author of the post: Rohit Mittal
MBA(IB)2010-12

When a very dear friend of mine told me that he has started a new manpower training & staffing outfit in a city on Haryana-Rajasthan border and invited me to conduct interviews at the job fair they were organising, I was not very excited. One reason for was the hectic schedule I have now a days, with all the classes, preparations for international round of Al Gore Sustainable Technology Venture Competition & other projects. Others were the poor road conditions, cold & patchy connectivity.

However on Friday, when last class got over, I thought about it and decided, What the heck! lets do it. So I quickly packed my bag and hopped on a bus to the place. The journey was uneventful and quiet. I reached around 1 AM and almost immediately went to sleep. After getting ready, we reached the venue of job fair which was a government degree college. A lot of people had come to the fair because of some really wonderful advertising.

After gathering understanding of the complete process, I got the brief about the qualities to look for in the candidates and got down to the work. We were basically doing the preliminary interviews for retail & call center companies who had come for recruitment.

Interviews were an eye opener to say the least. It also helped in breaking a lot of myths about shining India and quality of life for Indians. Although people had graduation degrees, still they found it difficult to express themselves well. Lot of the candidates had pursued year long computer diplomas from private institutes in the hope of improving their lives but majority were duped and were given sub standard education. Some people wrote English as a language in their CVs but were unable to frame even 5 simple, correct sentences.

Though I also found some gems who were working hard to gain knowledge and improve their status in society. One fellow had lost his father long back and had worked alongside education to support his family from a young age. Another was a topper and was also trying to complete his studies. In fact, this quality was displayed by most of the candidates who were willing to work hard to achieve something.

This kind of experience was very new for the people as they had not had any such exposure earlier. Thus they had talent & the determination but were raw. This is what my friend’s outfit is working: to bridge the gap between the available talent & needs of the industry. This is something unique which will provide people with the opportunity they have been looking for and help them improve the quality of their life.

For me, as I said, this was an eye opening experience and gave me a lot of insights into the mind of “still developing” India. I gained a lot personally by interacting with so many people which is going to be useful for me during MBA and beyond.

P.S. Needless to say, hospitality was superb and I really had a great time at the friend’s place

Gurcharan Das @IIFT in NDTV Mega Show ‘B-School Budget’

2011-03-02T15:43:00.004+05:30

The Union Finance Budget 2011 is presently one of the most talked about issues with India growing at phenomenal rates accompanied with the evils of inflation and high fiscal deficit. To discuss, suggest and improve upon the measures that can be taken by the finance minister, some of India’s brightest minds from the top B-Schools and the stalwarts from the corporate and economy descended on the campus of the Indian Institute of Foreign Trade, Delhi, India’s premier B-School in International Business in a B-School Budget show organized in association with NDTV. The Guests included Mr. Gurcharan Das, noted author, economist and a public intellectual and Mr. Sunil Godhwani, Chairman and MD, Religare Enterprises Ltd, who aired their opinions about the Budget.

NDTV, in its special series of shows on the Budget, came down to the IIFT campus to conduct the B-school Budget show. Manisha Natarajan and Siddharth Patankar were the anchors for the show and students from IIFT, MDI Gurgaon and other premier B-schools participated in an interactive discussion on what to expect from the budget. The show was broadcasted on both NDTV Profit and NDTV 24x7 on the weekend before the budget.

The first agenda to set the ball rolling was black money and corruption, one of the hot political potatoes in current times. They deliberated on the huge impact that it would have if corruption were to be completely wiped off the economy. In response to one of the questions asked on the corruption front, the speakers held the opinion that corruption was indeed a huge menace. “India grows when the government sleeps at night”, quoted Mr Gurcharan Das, depicting the potential that the parallel economy possesses.

The discussion then shifted to the other big concerns facing the economy i.e. inflation and fiscal deficit. The views of the student community to this end were amply reciprocated by the guest speakers who also felt that the measures were long overdue to tame the present rates of inflation and improve the efficiency in the distribution of the proposed benefits to the people at the bottom of the pyramid. Measures like UID and direct cash transfers were discussed so as to ensure that the intended benefits reach the target population.

Finally, the show came to an end with a wrap-up on what the students and the speakers felt was the one biggest expectation from Pranab Babu. While one of the students outlined his top priority to be the creation of ‘infrastructure of opportunity’ involving the 3E’s of education, employment and employability, another wished for better reforms for the real estate sector. Some wished for a reformist budget rather than a political budget while some wished for a more encouraging environment for retail and FDI investments.

All in all, the show was a grand success and both IIFT Delhi and NDTV look forward to many more such positive associations in the future.

You can watch the video here

Amateur movie review : Yeh Saali Zindagi

2011-02-12T15:26:00.003+05:30

Director : Sudhir Mishra

Story : The film has parallel stories of two gangsters, Arun (Irfan Khan) and Kuldeep (Arunoday Singh), who get their love life entangled with their criminal misdemeanours. Kuldeep is assigned the job to kidnap Shyam who is supposed to get married to the daughter of the Home Minister. And he kidnaps Priti(Chitrangda Singh) along with Shyam as they believe she is his fiancee. Arun decides to get Priti out of the trouble but realizes that he will have to help Shyam too to see her happy!

Review : When I think of this movie, the first thing that comes to my mind is Sudhir Mishra flooding my memory with a lot of names I'm unable to figure out who was given which name except for Mehta, Arun, Kuldeep, Bade and of course Chote(who comes in a transgender form towards the end. What/Why was that?!!) . Another notable thing is the Delhi lingo used in its purest form :) Teenagers who find that actors are actually using their favourite vulgar words would feel proud but no one else would. It was just too much and seemed to be out of context a lot of times.

I was also confused with a complex story line. Well if the idea was to relate/contrast the lives of Arun and Kuldeep why couldn't it have been done as simply as in Taxi no. 9211. And how can one attempt to make a humour out of a murder under Indian circumstances! The movie that comes to my mind in this regard are The Godfather and Pulp Fiction(and it wasnt humour exactly) and we all know the perfection of those classics.

Irfan Khan steals the show as the despondent lover, who is ready to sacrifice his life for a woman who is confused whether she loves him or not. Aditi Rao Hydari and Chitrangda Singh do quite justice to their respective roles and especially their looks.The interesting thing was that it was shot in and around Delhi. It's nice to see that movie makers in the recent years have shed the Mumbai obsession in their films when it comes to show gangsters.

The movie is dragging towards the end. Our gang was just passing the time making fun of each other when Irfan Khan went through his last moments. In short I felt as if the director was trying to club many hollywood concepts into a single Bollywood movie.

I know these comments dont gel with the general perception. So comments invited...

Grand Alumni Reunion- reliving the good old days

2010-11-14T23:45:00.003+05:30

The day 11/13/2010 became one of those memorable days when one gets back to reliving, re-cherishing and rekindling with not just the friends, the faculty members but the places like the dhabas, the top of the world, the classrooms, the hostels, the mess and every inch and bit of the times one considers as the best moments ever lived in life.
The day was the Grand Alumni Reunion of IIFT, a momentous occasion for people spread across different parts of the world to take time out from their highly busy & successful careers to come back to their alma mater and feel the sense of belongingness that they could only get being an inseparable part of IIFT.

The day included cultural programs from not just the IIFT students but a special cultural program by SHIVOHAM Institute of Performing Arts- Natya Dhwani, a fusion of classical and contemporary dance.
Then as per the tradition, there was Citation for Alumnus of the year - 2010 followed by presentation of the Award.

The Alumnus of the year went to Mr. D. P. Singh – Managing Director (Sara International Limited). In his address, he shared his anecdotes of the times he lived at IIFT and the kind of foundation it laid ahead for his career. Listening and connecting to his thoughts was an awe-inspiring experience for most of us. He also talked about the need for people at such pinnacle of the careers to give back to the society and to connect to their alma mater.

From the current students perspective, it was really inspiring and the best platform that they could get to interact freely at a one to one level and share ideas and gain insights about not just the careers but light-hearted chit-chats to connect being a part of the IIFT family. For an institution with such a long and glorious span of 47 years, the alumni is one of the strongest and the most fundamental institution to look up to and motivate oneself and feel the pride of being an IIFTian and say aloud with all the enthusiasm in the world GO IIFT GO !!!

Truly, it was a night to remember.

National Consulting Symposium-2010

2010-10-25T18:26:00.003+05:30

National IT Symposium

2010-08-26T10:51:00.002+05:30

Fin Weekly 2nd August - 8th August

2010-08-15T03:22:00.000+05:30

group no. 7 (Cashonova Members 2012)

Ankit srivastav

Parndeep ahluwalia

Aatish kumar

Maneet tendon

Akshay subramaniam

Krishna kaushal

Industry wise analysis

1. Telecom Industry:

a) GSM operators owe Govt Rs 451 Cr: Bharti Airtel, Vodafone, Reliance Communication and other GSM telephone operators owe government over Rs 451 crore in license fee and spectrum charges.

Bharti Airtel owes the highest amount of Rs 135.11 crore in spectrum charges and another Rs 0.44 crore in license fee dues. Vodafone had an outstanding of Rs 71.77 crore towards spectrum charges while R-Comm owes Rs 48.54 crore towards license fee.

The Govt has so far collected Rs 70,000 crore from telecom operators in license and spectrum fee.

b) Zain receives $295.4 mn from Bharti for Africa sale: In June, Zain and Bharti closed a $9 billion deal for the Kuwaiti firm's African assets excluding Sudan and Morocco. Zain had received $7.87 billion after the closing, and said it would receive a further $400 million within 12 months after completing other formal requirements. The amount received is part of the $400 million, a Zain spokesman said. The remainder $100 million is expected to be received within the next ten months, the statement said.

c) Android set to overtake iPhone: Android is taking the smartphone market by storm. Android would have a 19.4 percent share of the market, compared to 15.9 percent for the 62 million iPhones that are predicted to be sold by 2012.

d) For MNCs, India's artificial intelligence is hard to ignore: For the first time in the history of IBM, a non-US lab was asked to lead a Big Bet. The mobile platform is a huge focus area for IBM with 60-80 research projects under way globally. The Indian Lab was chosen to lead this effort due to both the size of the local mobile phone market that adds nearly 10 million users every few months and the innovative research that has come from local centres.

e) Rival brands see opportunity in BlackBerry, Nokia woes: According to estimates by Strategy Analytics, the installed base of smartphones in India is about 7 million. The segment constitutes around 3% of India’s total mobile phone market. The government’s scanner on BlackBerry’s and Nokia’s messaging services may have ignited security-related concerns about the future of push email and messenger services on mobile phones in India, but the industry believes such services will not take a hit.

On the contrary, mobile phone brands like HTC, Samsung and Acer feel this could be a blessing in disguise for smartphones with similar capabilities.

2. Auto Industry:

a) Hyundai to ramp up production capacity by 12 pc: The country's second largest carmaker, Hyundai Motor India said it will increase production capacity by about 12 per cent to 6.7 lakh units per annum at its Chennai facility. The company is expecting to sell 3.4 lakh units in the domestic market this year compared to 2.9 lakh units in last year.

Earlier this week, the country's largest carmaker Maruti Suzuki India launched a 1,000cc variant of its best seller Alto, mainly to lure customers opting for Santro, i10 and General Motors' Spark. It, however, decided to continue with the 800cc Alto to offer more choices.

b) Mercedes plans to enter small towns to drive sales: On a roll following its highest-ever sales in a month and for the first seven months, luxury carmaker Mercedes Benz will aggressively target Tier II and III towns across the country as well as Indian corporates.

There is pressure building in top Indian companies like Infosys, TCS, etc, for a change in their car policies. When senior executives of these companies go abroad, they routinely use luxury cars but not in India. For Benz, the two major drivers for sales in India in the future are this mindset change among Indian companies and demand from Tier II and III towns. 15-30% of total sales is expected to come from upcountry (Tier II and III) cities. Among the states, with strong demand from smaller towns and cities are Gujarat and Kerala.

3. Service Industry:

a) Indian IT industry slams US move to hike visa fee: The Indian IT industry slammed the US government's proposal to sharply increase visa fee to raise funds for its border security needs.
The Border Security Bill, which was passed by the US senate will have a significant impact on the Indian IT sector, as it aims to raise about $600 million by increasing fee for H-1B and L-1 visas.
The proposed hike is expected to be about $4,500 per visa from $2,500 currently.
The impact on Indian IT firms is estimated could be as high as $200-250 million per year.

b) CAT 2010 duration to be increased: The test will be held over a longer test window of about 20 days in 33 cities this year. Since the duration of the test will be longer, the number of centres in which it will be conducted will come down.

c) Shortage of 1.2 mn teachers in India: Sibal: In some states, it was found that all deployment (of teachers) is done in one school while there are no teachers in others. We need to redeploy teachers so that there is equal distribution of teachers

4. Banking & Finance Industry:

a) ICICI, HDFC Bank violating norms on recovery agents: Govt: The Govt has received several complaints against private sector lenders including HDFC Bank and ICICI Bank of violating RBI guidelines on engagement of agents to recover loans. On the remedial measures, RBI has issued detailed guidelines to banks on engagement and training of recovery agents. Banks have been advised to ensures that the recovery agents are properly trained to handle with care and sensitivity particularly in aspects like hours of calling, privacy of customer information etc.

b) Banks not following RBI norms for opening no-frill accounts: FM: Government today admitted that certain banks were not following guidelines on opening no frill, zero balance accounts in rural areas and said efforts were being made to make banking facilities available to remotest part of the country through various means.

c) Govt asks banks to speed up loan disbursements under PMEGP: The government on Wednesday asked banks to speed up disbursement of loans under the Prime Minister's Employment Generation Programme (PMEGP) to meet the target of financing over 59,000 projects in the current fiscal. Under the PMEGP, urban and rural entrepreneurs in the general category can avail a subsidy of 15 per cent and 25 per cent on the project cost. In the case of weaker sections of society, a 25 per cent and 35 per cent subsidy is provided to urban and rural businessmen.

Fin Weekly 2nd August - 8th August

2010-08-15T03:20:00.003+05:30

Group 14 of Cashonova 2012 members

GENERAL

Tata set to pick up successor; Reliance eyes shale extension

Friday, August 6, 2010: The hunt for the Ratan Tata’s successor is very much on. Vice chairman RM Krishna Kumar’s statement on the election of the successor by March 2011 has set the stage for the biggest corporate announcement. Now will it be the celebrated CEO Pepsi co. Indra Nooyi, the conservative Citibank CEO Vikram Pandit, popular Arun Sarin or the next Tata- Mr. Noel Tata, only time will tell…

On the other hand, the oil giant Reliance goes on to acquire its third shale gas asset for $392 mn. The amount of $340 mn would be paid up immediately, allowing Reliance access to a source of 3.4 trillion cubic feet of estimated gas.

Corruption clouds CWG

Thursday, August 5, 2010: It seems IOA is on a hunt for fresh talent and the deals for the big CWG coming this October seem to be the means deployed for it. For how else, can one explain an interior design firm D Art winning a Rs 93 cr deal for furniture. This aside, the political unity seems to be the benchmark for the CWG. Head IOA, Mr Kalmadi, extended an overlay contract worth Rs 231 cr . to Deepali Design and exhibits, linking long to the BJP person Sudhanshu Mittal. Now this is not all, luxury spans the games like never before, with rented water jugs costing Rs. 2145, the treadmills for Rs. 9.75 lakh which cost Rs 7 lakh for the buyout and rented tables Rs. 8776 apiece.

Fiscal deficit Cut: Govt. asks Rs 54589 cr more

Wednesday, August 4, 2010: The Rs. 1 lakh cr earning from the spectrum sale is less than enough for the government. It has asked parliament for an additional Rs 54589 cr for spending on unforeseen items like special police force for the naxal hit area, rural development, education and compensating oil companies for selling fuel below market rates. The government had actually asked for Rs.68294 cr out of which Rs. 14000 cr is to be funded from internal savings.

SEBI asks ADAG top officials to depose

Tuesday, August 3, 2010: SEBI has asked top executives from ADAG companies Reliance infra and RNRL, including Mr. Anil Ambani, to depose before it after the officials could not reply to the show cause notices issued to them. The issue seems to be concerned with Pluri, a foreign institutional investor in the two companies via participatory notes (PN). The company seems to be involved In the erstwhile investigation pertaining to siphoning off funds from the foreign accounts of the two cos and being invested in the companies via PN.

CEOs do self appraisal; IRDA puts an axe on margins

Monday, August 2, 2010: CEOs of India Inc probably are very happy with their performances. Top executives pay rose 33% against 25% profit growth in 2009, a year where employees faced salary curbs and bonus withholds. The big names include Apollo Tyre’s Omkar Kanwar, JSW Steel’s sajjan Jindal and Crompton Greaves’ Thapar among others. In an another development, private insurers face IRDA axe on margins via new Ulip guidelines. The impact could be severe as many private insurance cos look to offload nearly a million agents this year.

CORPORATE

GMR to raise $200 mn from Macquarie SBI Infra

Friday, August 6, 2010: GMR airports Holding Ltd, the wholly owned subsidiary of GMR Infrastructure, is set to raise $200 mn from MSIIL as compulsorily convertible preference shares. The equity then can be as high as 39.05% for MSIIL. GMR Airports Holding is valued now at Rs 2400 cr based on this transaction. It holds 9% in Delhi Airport. The money it will et from this investment will be spend on expanding the airport business further.

M&M may bid for Ssanyong

Thursday, August 5, 2010: M&M may bid for South Korean SUV maker Ssanyong in which it had showed interest 7 years ago but had backed out. The board is observing the movement and after some more information is obtained, the decision is likely to come up by August 10 deadline. The Mahindra group with this acquisition aims to establish as the most dominant player in the UV segment with its Scorpio, Xylo and Bolero already there in the market. Also the range of the cars made by Ssanyong is higher and hence does not clash or competes against that of the Mahindra’s existing offerings.

Tatas, Mizuho to float growth fund

Wednesday, August 4, 2010: Tata Capital and Japanese Mizuho will tie together to float growth fund in India. For investment $100 mn out of a total $500 mn will come from the partners and for the rest Japanese and the companies from the Middle East will be targeted. The fund will be managed by Akhil Awasthi along with MD Praveen kale and six other members. The companies also plan to raise another $500 mn for its other three themes, i.e. healthcare, special situation and innovation.

Gail net jumps 35%; HCL Consortium wins 1k cr project

Tuesday, August 3, 2010: Gail India has reported a net jump of 35% in profits despite paying subsidies of Rs. 445 cr this year. Going forward, the company plans to invest Rs 23k cr in expanding its existing pipeline structure. HCL Consortium is set to provide food coupon based public distribution in Madhya Pradesh. It will address nearly 10 million families and the data will be share with the UIDAI.

Biyani restructures financial services biz; HCL eyes growth

Monday, August 2, 2010: Kishore Biyani is keen to restructure its financial services business. The current equity holding in the NBFC will be divested to a new holding company, Future financials which will have ICICI veteran V Vaidyanathan as a co-promoter. Sameer Sain, the VC for the financial arms has already resigned to pave way for Mr. Vaidyanathan. HCL, a top IT company, will not compromise on margins going forward with the growth plans. The company further wishes to be proactively present in Europe to spot opportunities early and aims to bring its BPO business to profitability going forward.

ECONOMY

Foreign individuals may enter market directly

Friday, August 6, 2010: Foreign individuals may enter the market directly, if the recommendations of a report by UTI AMC chairman Mr. Sinha are to be accepted. The report suggests stricter disclosure norms with a permanent bank and trading account, but proposes to open the market directly to foreign investors. It also suggests freeing the limit structure of the sectoral investments of these players. The norm will bring about greater transparency in the system as against the already existing concept of participatory notes..

India and 4 other nations to revive Doha talks

Thursday, August 5, 2010: India has formed 11 panels which will try and expedite the failed negotiations of the Doha round. The panels will report to the various committees already in place, which will take up the matter along with China, Brazil, US and the EU team to reach a mutually beneficial agreement. Whereas India has tried earlier to bridge his gap in 2008 and via a mini minister meet in 2009, the attempts have till now eluded India. But the effort merits consideration as the expected benefit from the talks lie in the range of $282 bn.

Government keen on implementing Saral GST

Wednesday, August 4, 2010: Government is all keen to implement Saral tax regime for indirect tax es, as in the case of direct taxes so that there is high compliance. Earlier, where all the big corporate businesses were required to go mandatory audit, government now seeks to have a selective audit, which is seen as a breather. But getting the results audited by CAs would be the onus of the corporate tax players. However whether there is an agreement in the meet of the State FMS needs to be seen.

Post offices to be future banks

Tuesday, August 3, 2010: the concept of post offices bank can soon be a reality. RBI which has emphasized the need for financial inclusion sees post offices as the next big opportunity. With 1.55 lakh branches, functioning as a quasi bank taking savings and transfer of money will soon be able to provide credit. The decision however needs to be taken in consultation with the cabinet.

GST poised for further delay after BJP states opposition

Monday, August 2, 2010: BJP controlled states Gujarat and Madhya Pradesh opposed the constitutional changes required to implement GST. Currently states levy taxes on the retails levels of the goods, while Centre levies taxes on the factory gates and services. With GST, constitutional amendments need to be in place to change the structure. Government has proposed a joint council of representatives from state headed by Union finance minister to decide on the rates of GST. But this has evoked opposition from the states raising concerns of autonomy of the states in raising taxes.

BUSINESS OF BRANDS

Wooing the customers

Friday, August 6, 2010: Retailers now don’t just wait for the customer to enter and buy, or for that matter, only advertising to bring them to their stores. They now seek to build deep rooted relations with the customers. While Spencer’s has started recipe classes for the neighborhood women, Shoppers Stop is busy giving shopping and fashion tips. Another variation has the followers in Bata and Wills Lifestyle, which provide free delivery of the size of a model not found on a store and exists at any other store. The steps may have been different; the underline is still the same, wooing the customer to the stores.

Ambush marketing: a sound marketing strategy

Thursday, August 5, 2010: An interesting war of opinions is in place over the recent ambush marketing of dove over P&G’s Pantene. While one set of thinkers believe that it is the long term plan that helps the company’s brand image and these sorts of marketing tactics are just diversions. The contradiction however comes in the fact that nearly 60% of the population is below 30 in a country like India, and the youth surely does not like tired boring products. The move has to be fast and the brand should be cheeky.

Time for cash and carry retail

Wednesday, August 4, 2010: Bharti Walmart, which has two stores in Punjab, is set to open 12 stores in the next year. Carraefour, the French giant has also secured property in various cities to open cash and carry stores. Tesco, with its Indian partner, is also set to open up its retails stores this year. Currently where the organized retail market is only $25 bn of the total $450 bn, the scope for getting a pie in the market is huge. The current norms allow 100% in wholesale, 51% in single brand retail and none in multi brand retail. Metro however sees even this as a huge distribution. The wholesale market is big and there are numerous retailers in the form of the kirana owners, small restaurants and small and medium businesses.

Cars the buzz this July; VW faces supply crunch

Tuesday, August 3, 2010: July has been the month of sales for most car companies. While Maruti crossed the 1 lakh sales figure second time this year and a 33% rise in sales YoY, Hyundai registered second with a 24% growth. Toyota, due to launch Etios this December, on the other hand recorded a thousand bookings for its newly launched model Altis Diesel. VW which launched Polo seems to be facing supply crunches in India as it did not expect monthly demand to be as high as 2500 units. The company has asked the vendors to scale up capacity, but the task is difficult considering the impact on quality

Designed to Succeed

Monday, August 2, 2010: Design thinkers like Aditya Dev Sood and Manoj Kothari-who founded Onio Design- are changing the board room structures. Design thinking or changing and consolidation of brand around design and mapping of company functions is a concept in the current business scenario. Traditional problems of branding have been addressed by the thinkers by continuously engaging with people and designing a perceptual mapping which finally leads to the brand architecture. But the onus lies not only in graphical designing, but the creation of equity.

ED VIEW

Politics of protest in Kashmir

Friday, August 6, 2010: Author Najeeb Mubarki, in this editorial on Kashmir emphasizes that the recent crisis in Kashmir is a reflection of the Indian political and the public aspirations. The sheer use of force this time and the perseverance of the Kashmiris alert everyone that the ordinary Kashmiri wants a long standing solution to its sufferings and problems. The presumption that the language of force is the only one that is going to work is a misinterpretation of the young learned Kashmiri mind. The author feels that the brute force used this time, especially on children and old people is way too much and it seems that the force may have settled down this issue this time around, but is not going to be the solution going ahead.

Where the world got it wrong, India got it right

Thursday, August 5, 2010: World economy is in the fear of a double dip recession, feels Roubini, who predicted the financial crisis in the first place. The non-tightening of the policies, and rising debt in the advanced countries could lead in another panic situation as of Greece. Nearly 91 banks in Europe carry this debt and should this be defaulted, a recession is in vogue. In India , on the other hand, the scenario is just the opposite. Savings are rising and the growth is poised at 8.5 – 9%. This is going to be all the more better because this time Indian banks have reduced their exposure to foreign debt and the belief in the Indian growth story is strong.

Stocks vulnerable in short term, set to rebound

Wednesday, August 4, 2010: Author Sunil Kewalramani believes that the short term indicators of US defaults, sovereign rescheduling may have an impact on the growth of the companies and hence stocks in the current short term scenario. He however believes that like Spain’s football team, companies have also planned, thought and implemented themselves. With quarterly results of various companies rising, potential growth of the emerging economies and easy interest rates, stocks are bound to give increasing returns next quarter onwards.

Technology Vs Security

Tuesday, August 3, 2010: The growing use of technology in terrorist activities whether it be the 9/11 incident or the 26/11 Mumbai incident demands attention. With technology, a few individuals can sabotage the freedom of the whole country. Numerous examples of such concerns are visible in today’s world- ban of mobile phones, the ban of pencil export to Iraq for fear of use of graphite are some of these. But the author still remains bon-committal saying that where a knife can kill somebody, in the hands f a surgeon can save a life too. The debate meanwhile remains inconclusive.

Confused Signals

Monday, August 2, 2010: The RBI’s move to increase differentially the repo rates and reverse repo rates draws a critique from the author Mythili Bhusnurmath. The author says that the actions do not seem to reflect the commitment of controlling inflation. The reason for promoting growth doesn’t seem to go in sync as the inflation on the demand side needs to be constrained. The banks will obviously not resort to borrowing from RBI as the first resort as there are options of inter-bank borrowing already available. The fear of draining liquidity after the spectrum allocation is only a short term concern, as demand will pick up once the government starts to spend. In light of the growing monster of inflation, according to author, the issue of short term liquidity should not have impacted the long term concerns of modest inflation growth

NATIONAL MARKETING SYMPOSIUM 2010

2010-08-12T22:39:00.000+05:30

Tezi Mandi II

2010-08-07T21:52:00.004+05:30

How it Works

Trade in stocks in Nifty
Buy/Sell will be allowed between 5 pm – 9 am
All share prices will have to be traded at the closing NSE prices of the day
Only cash prices will be taken
Mail your trades
Excel sheet will be forwarded shortly, just fill it and send it
All will be given a fixed amount of
notional money and brokerage charges will apply

Benefits

Knowledge enhancement. It will instigate us to read finance and make an effort to understand it
Winner will get a prize money of Rs. 1000 and runners up Rs.500
It will help in trading in stocks in the real world
Applications of classroom learning in a practical way

If you are INTERESTED, please drop in a mail to tezimandi.iift@gmail.com
The game will start from the next Monday 9th August and continue till Friday 14th August
For any clarifications, please write to the above mentioned address

Regards
Ankur M. Dhebri (+91-9910847901) amdhebri@gmail.com
Saurav Tibrewal (+91-9311580251) sauravtibrewal@gmail.com

IIFT National HR Symposium 2010 a grand success

2010-08-07T19:44:00.001+05:30

The Indian Institute of Foreign Trade on Friday successfully conducted the National

HR Symposium at The Park, Kolkata. The famous Park Street was buzzing with excitement

as delegates from the corporate and academia touched down one after the other here at

The Park. The sponsors and the event partners had ensured that the Symposium was

well promoted. So IIFT was all set at 0900hrs to receive the delegates and begin with the

proceedings.

The HR Symposium and its theme –‘Re-engaging the Lost Talent’ assumed even

more significance coming close on the heels of one of the most devastating recessions of

human history. The recent past has seen such a phenomenal erosion of trust between the

employee and the employer that many a workplace were almost transformed into a place

that bred insecurity, fear, mistrust and hatred. The definitions of organisational challenges

have changed dramatically and dealing with this chasm between the employee and the

employer occupies the forefront of organisational strategy at present.

The eminent speakers highlighted this challenge again and again with various

examples from the industry, in general and their own organisations, in specific. They also

dealt with what strategies they adopted to tackle such organisational challenges, what

remains to be done in future and how the role of the HR Manager is evolving by the day.

The first session dealt with ‘Bridging the Trust Deficit’ in organisations and what it

meant for the HR managers. Inefficiency has been slowly creeping into organisations as

the employees feel victimised and believe that they’ve been treated unfairly and unethically.

On the other hand the employers feel that the employees are not performing their duties

with all their heart and keep personal interests before organisational interests. Also, as

the economy is stabilising and improving the employee demands much more than just

pay and perks. He wants to be respected, loved and cared for by the organisation s/he

works for. Now the wants of this ‘HR talent’ are not to be ignored, and preventing the loss

of this talent is primarily the responsibility of the HR Manager. Hence an open dialogue

between the concerned parties, without any hidden agenda is vital. The role of the HR

professionals isn’t just to recruit, train and appraise, but it is to “add value to business”, and

HR talent is an integral part of that value. Hence the approach towards the HR policy has

to be more strategic than ever. Talent needs to be actively reengaged and respected by

the management and it needs to be communicated to each other thorough small gestures

of mutual trust. Also innovation as the sole driver of organisational growth in the future was

discussed elaborately.

The second session’s topic was ‘Retention of Human Capital – Matching

Expectations with Incentives’. With attrition hitting hard below the belt, many organisations

have learnt it the hard way that the retention of quality HR is highly important and even more

challenging in today’s economic scenario. Research has shown that “Vitamin M” (Money)

on its own isn’t enough to match the expectations of the HR, there need to be a complete

overhauling and restructuring of the present incentive system so as to deliver value to the

employee, only then can the organisation dream of delivering value to its customers. Also, “if

you hire for money, then you also lose for money”, hence incentives need a comprehensive

relook.

The event concluded on the note that it is important to create an atmosphere of love

and respect within the organisation and hence generate a positive energy that’ll drive the

complete management functions in the most effective manner.

Fin Weekly 26th July - 1st August

2010-08-03T01:16:00.002+05:30

GENERAL

R-Power stuck in D6; Noel next Tata International MD

Friday, July 30: The priority list for the next D6 gas flow does not feature R-Power as a recipient. This spells out trouble for the dreams of Anil Ambani, an ambitious 8000 mw gas power projects throughout the country. However, sources say that that list expected next year could include R-Power. The cos. that feature in the first list include GSPC’ Pipavav Project in Gujarat, GSVCL project in Hazira in Gujarat, Lanco’s project in Kondapalli District Phase III, Bawana Project, Kashipur project and GMR’s Vemagiri Project.

Noel Tata, in a move that bolsters his application for the top post scheduled to be taken over two years hence, is named the MD of Tata International in Africa. Mr. Tata has spearheaded Trent to a success story before this.

Banks take RBI cue to hike deposit rates

Thursday, July 29: After the apex body raised the key rates, the banks have taken steps to increase the deposit rate. This will help banks to get funds to carry on their investment spree, and facilitate fund management and deployment. The lending rates, however, will not be impacted since the banks benefitted from the cheap funds after the crisis and they fear a further deceleration in demand…

RBI Checks on Inflation

Wednesday, July 28: RBI, the apex body in deciding key rates hikes repo rate and reverse repo rate by 25 and 50 bps respectively. The new rates stand at 5.75% and 4.5% respectively. The rates reflect tightening of money to the banks and hence leave less money ultimately available with the public. The Governor though feels that increase in demand will offset the effect and the growth will remain sturdy…

Singh Bros out of Parkway; RBI spells growth, to curb inflation

Tuesday, July 27: Singh bros, who recently let go off Ranbaxy to concentrate on Fortis, have pulled out of Parkway. The move ensures they make Rs. 340 cr on an investment of Rs. 3800 cr. However analysts feel that this was a good move by the Singh Bros as they had already pushed the price to $3.8 per share and a price above $4 would have made the deal unviable for them. Malvinder Singh, Chairman of Fortis HealthCare, however affirmed that the group strategy of expanding in Asia, as shown by their purchases in WockHardt and Piramal HealthCare, would continue…

Trouble for Raja, CVC probes in

Monday, July 26: A. R. Raja, the telecom minister is in deep trouble. The Central Vigilance Commission, the anti- corruption body has set up an enquiry in the mishandling and alleged corrupt practices of the DoT. Some of the allegations include the loss of Rs 60000 crore loss to exchequer by allocating 2g spectrum at cheap prices, allowing two big players to operate on both the platforms, inaction against players having non-operational or notional licenses and blocking up spectrum. The probe is yet another addition to the already spiced up issue…

CORPORATE

RMW to buy out Inox; HCL Tech beats Street estimates

Friday, July 30: Reliance Media Works (RMW) has put up a bid to buy 67% stake in Inox after a bloody battle ended for Fame. The offer price is a whopping Rs 120 a share for the share which is valued at Rs 71.95 in the market. The promoters are allegedly asking Rs. 140 a share for the buy out . HCL Tech beat street estimates of a loss after peers Infosys and TCS posted decline in profits. Net Profits rose 3.7% to Rs. 341.8 cr. and net revenues up 17.8% at Rs. 3425.4 cr…

Pepsi reshuffles top team; Mahindra posts good results

Thursday, July 29: Pepsi reshuffles the top team. Praveen Someshwar will now head beverages and Punita Lal would be the CEO of the non-carbonated beverages JV with Tata Tea, a business with huge potential growth. Meanwhile M&M posted results that beat market expectations. Profits rose 40% to an impressive Rs 562 cr. and the sales were up 21 % at Rs.5124 cr. QoQ in the Apr June quarter…

RIL in news; L&T net up

Wednesday, July 28: RIL, the company with the highest weight on the bourses, is once again on expansion mode. While it drills two more wells in KG-D6 basin, its polyester business is once again being brought back to life as they acquire Bombay Dyeing plant for Rs.300 cr. The investors are yet to put their approval to the deal. Meanwhile L&T, India’s largest engineering company has posted a net profit of 15% at Rs. 666 cr. and a net sales increase by 6.5% at Rs. 7913 cr. QoQ in the FY11 first quarter…

Parkway slips ,Fortis justifies; Tech Mahindra slips the telecom ladder

Tuesday, July 27: In an exclusive interview to ET, Malvinder Singh of Fortis Healthcare justified the move to exit the bidding for Parkway against Khazanah. He agreed to his interest in parkwaty and the rationale to bid the price to $3.8 a share, but resisted the temptation to enter a bidding war in light of the shareholders’ interest. Tech Mahindra, on the other hand, grew marginally at 105 to post profits of Rs 144.31 cr. QoQ, a figure lower than expectations. Vice Chairman Vineet Nayyar, accepted that the telecom business was under pressure but emphasized that the revenues still were in comparison with peers operating in telecom segment...

Vodafone goes big on Essar; PSU disinvestment mixed

Monday, July 26: Vodafone has big plans in the mobile internet segment. It wishes to buy more stake into its JV with Essar and has valued Rs. 3400 cr as the net worth of Essar’s holding. Essar can still hold its 33% stake or may go to the public to offload its stake, but the extra premium it gets in the Vodacom price is too lucrative to be given away. In an another event, whereas the FPO for SAIL goes on hold as the necessary clearances are not secured, the FPO for Engineers India Ltd. has an FPO band set up at Rs 270 to Rs 290 per share. Notably, the government still holds 90.4% stake in the state run enterprise…

ECONOMY

Infrastructure difference between 8.5% and 10% growth: Rajan

Friday, July 30: Raghuram Rajan, economic advisor to PM, says that India can achieve 10% growth if infrastructure is given a fillip. However, given the current state India could grow at 8.5%. He emphasizes on catching the export growth, a balanced economy and controlling huge expenditure…

Core Sector grows the slowest at 3.4%

Thursday, July 29: The predecessor to the IIP numbers, core sector grew the slowest in this June at 3.4%. This has been mainly due to a drop in the cement and steel growth, which again is because of the mansoon effect. Going forward the growth scenario looks bleak as factory output too declined to register a growth of only 11.5% in may…

RBI still a big say in regulation

Wednesday, July 28: After a spat between RBI and IRDA over Ulips and the ordinance to resolve conflicts by a committee headed by Finance Minister, has now a twist again. RBI Governor will now head the committee as Vice Chairman. The dispute if between any of the four regulators, RBI, SEBI, IRDA and PRFDA will come to the committee after first reporting their dispute at a committee chaired by RBI Governor.

India’s sovereign rating upgraded; Sugar prevails over ethanol

Tuesday, July 27: Moody’s, the international rating agency has upgraded the sovereign rating of the company from Ba2 to Ba1. This has been done in the light of lower fiscal and revenue deficit expected, measures in petrol price subsidy and high expected GDP growth. The move will facilitate greater investment into the country. In news too, the EGoM have decide the price at Rs. 28 for ethanol to be paid by the oil companies to the sugar industry. Although this is higher than the price of Rs 18 as demanded by the oil companies, sugar definitely has the laugh over ethanol this time…

M-banking to be the buzz; Rupee down, IIP in transition

Monday, July 26: M-banking is probably the solution that the cabinet secretariat has in mind. In consultation with RBI, the secretariat wants the mobile services in banking to extend from merely checking balances in accounts to offer other services as mobile money transfer, extending its reach to the rural areas and tie up with mobile SPs for the same. Rupee, on the other hand slips to Rs 47 a dollar on account of macroeconomic conditions in the US and imports showing faster growth as compared to exports. The much awaited new IIP index which aims to reduce the fluctuations and changes the base year to 2004-05 is underway. Lets hope it gets implemented soon…

BUSINESS OF BRANDS

Big South Indian chains hold high; Amazon kindle gets cheaper

Friday, July 30: Big South Indian retails chains like Shri Kannan in Coimbatore, Shri Murugan in Chennai hold high in vicinity of national players like Big Bazaar and Reliance Retails. The reason among many is the familiarity and the local understanding that carry these chains among the most valuable in customers’ mind. Amazon’s e-book reader Kindle now comes at $139, a rate slash from #$189 earlier. Bless competition and free economy…

Merc to end tie up with Tata; Maruti fixes over Alto

Thursday, July 29: Mercedes is stated to have its own paint shop in India, earlier the only tie up they had left up with the Tatas. The JV that broke up finally this year with Daimler exiting 5.3% in Tatas after Tatas offloaded the share in JV around 2000-01. However, Daimler believes that the relations between the two groups are very cordial. Maruti in another setback to its cars has called back nearly 6000 Altos which were tweaked with the new engine. The engine reportedly has an oil leakage which is being fixed by recalling the Altos recently.

Desi, the call in the handset market

Wednesday, July 28: Desi brands like Micromax, Zen, Intex and Spice have hit the hardest in Nokia’s coffers. With a poised 27000 cr market in India, the local players have successfully registered their presence in the low and the mid end market. Next on the cards are the smart phone and 3G phone. With a smartphone in the vicinity of Rs 8000, Intex is going to set the market on fire and the share of the smartphone in the overall sales may well swell up to 37-40% from the current 10%...

Dabur on buying spree, Landmark makes profit

Tuesday, July 27: Dabur on its first ever overseas acquisition buys Turkish hair and skin based corporation Hobi Kozmetik for Rs 324r cr. The deal is expected to be completed by the third quarter of FY11. The company’s net profit ending first quarter FY11 was up 20.5% at Rs. 107.39 cr. QoQ. Landmark group, the owner of Lifestyle International and several other format stores as a group is expected to post profits for the first time this year in its total period of operation. This is facilitated mostly by the spring up of Lifestyle International to profits.

Kraft eyes Indian biscuits; Toyota the small car market, and Zynga the web

Monday, July 26: It seems like India is the most happening place in the business world. The cake which has recently become too big has its share for nearly everybody. Kraft, second largest foods company, is in talks with Cremica and Surya Food & Agro to mark its presence in Indian biscuits market. No wonder, they want this distribution to happen through the Cadbury’s distribution network, a company they recently acquired. Toyota, the world’s largest car maker is to come out with Etios, its small car specially designed for the Indian market. In fact, the tagline is self explanatory-“World First, India first”. For all those who love FarmVille and Mafia Wars, the maker of these online FB games, Zynga eyes the online gaming space in the coming years. Well Amazon, Google and eBay be better on their toes…

ED VIEW

Organised Retails , an option to try

Friday, July 30: Sumant Sinha, from a financial advisory firm, argues that modern retail needs a revamp and there is a need for organized retails. He believes that no doubt the efficiencies will improve, customer experience of shopping will improve and the kirana players will be able to sustain the storm. He believes a fast rate of growth may boost employment opportunities but the market needs to grow for it.

Controlling Inflation

Thursday, July 29: The RBI’s move to increase repo and reverse repo rates is welcomed by Rajan Bharti Mittal, president of FICCI and the author of the article. He admits that the industrial inflation will very well be brought under control via the move to increase rates. High rates, less borrowing, less demand and low inflation. But the primary articles inflation, especially the food inflation is supply based. Poor PDS, fluctuating monsoons have all been a reason for fluctuating prices. The measures, according to author, lie in having better supply chain, allowing foreign players in the market and improving of the public distribution system alongside better procurement mechanism.

Disaster to Success

Wednesday, July 28: The disaster story in the world has always followed innovation and improvement. Take Titanic or Chernobyl, engineers have come up with better designs and not shelved into their cocoons. The disaster of the Great Depression and the most recent one again bolster the same theory. Swaminathan Aiyer, the author, believes that the recent oil spill should call for better designs and refutes the argument that Americans wish- banning off shoring of oil completely, a move that will raise the prices many times over.

Importance of capital inflows

Tuesday, July 27: Chetan Ahya, a managing director at Morgan Stanley discusses the importance of the capital inflows into the country. Although the domestic savings serve as a huge fillip, the importance of foreign inflows should not be undermined. The author gives four reasons to support his point. Firstly, India needs capital inflows to offset its current account deficit. Currently the deficit figure stands at 2.9% of GDP. If the capital inflows slow down or dry up, exchange rates will depreciate significantly and domestic liquidity environment will tighten. Secondly, capital inflows are a high risk capital, and are an indirect indicator of the private corporate capital expenditure, a further signal of the growth. Thirdly, the current stock market is highly linked to the global equity markets. If the money is suddenly taken out or slows down, the confidence in the market falls affecting yet another source of funds for the private consumption. Fourthly, excessive capital inflows affect the cost of capital. The demand grows and if this suddenly stops, the companies face capital crisis and affects banking system in turn who are affected by defaulters and take a risk aversion mode. Safeguarding Financial Stability

Monday, July 26: Robert Shiller, the professor of economics at the Yale University, advocate the need for giving the power of avoiding the next crisis to the banks. He asserts that while the banks may not have anticipated the crisis, they worked in the right direction to control and reverse it. Although the view of the author is supported by the UK government, the US governments have worked in the opposite direction. They wish to vest the power to the Treasury Secretary, who in all political flavors may hamper the financial angle. The independence of the voter politics and a sound economy is obviously the appealing angle to the author. When in distress, let the experts handle the matter.

Abhishek kr. Deo Ashish Agarwal Ayush Goyal Kuldeep Kishore Rana Prashant Panwar Rohan Sreeraj sreekumar VR Shweta (2010-12 Batch)

EQUITY RESEARCH CELL

2010-08-03T00:11:00.005+05:30

Dear All,

It has been our pleasure to announce that Cashonova 2010 has launched an equity research cell recently.

Equity Research Cell is a body of all like minded people, who are interested in Finance, especially equity research and valuation.

Objectives

1. The main objective of Equity research Cell is peer learning. Our first step will be to learn valuation and equity research from scratch. Then, we will expand ourselves to other areas which will be discussed later.

2. To prepare the 2009-11 batch for the final interviews.

3. To leverage this concept to target more finance companies in the medium to long run.

Activities

1. We will be discussing the valuation techniques discussed in D and B workshop and the book by A.Damodaran.

2. Appling those techniques to some companies and coming out with valuation figures.

3. Any other discussions which the members feel are relevant.

The cell currently has 25 members and we hope this would certainly make a difference to our b school.

Thanks and Regards,

Team Cashonova

Jeevan Raju

Karthik Krishnan

Saurav Tibrewal

Inaugural Session: “The Consumer Retention Route to Enhanced ROMI”

2010-08-01T22:37:00.001+05:30

Keynote Speaker - Mr. Santosh Desai, MD & CEO of Future Brands

Session I: “Spoil for Choice – The Retention of Indian Youth”

Speakers:

1. Mr. Ashok Bajpai, General Manager - Taco Bell at Yum Restaurants International
2. Ms. Simeran Bhasin, Marketing Head - Fastrack & New Brands at Titan Industries
3. Mr. S Srinivas, GM Marketing - TVS Motor Company
4. Mr. Rahul Shanker, Senior Marketing Manager - Wrigley India

Session II: “Retaining the Exclusive Tag: The World of Luxury Brands”

Moderator for the Panel Discussion:

Ivan Coste-Maniere
Director - Marketing Department, Skema Business School, France
Director - MSc Luxury & Fashion Management, Skema Business School, France

Panellists:

1. Mr. Devasish Dutta, CEO - Gitanjali Lifestyle Limited & MD at MGPL Private Ltd.
2. Mr. Amit Dutta, CEO - Luxury Marketing Council India and MD & Founder at Luxury
Hues Consultancy Limited & Quintessentially Concierge India
3. Mr. Sandeep Vij, CEO - DDB Mudra Group at Mudra Communicatio
4. Ms. Ruchita Sharma, Head of Luxury Retail at the Bird Group & Head of Strategic
Planning at Globaluxia
5. Mr. Sudeep Chhabra, Head of Marketing at DLF Emporio
6. Ms. Roasie Ahluwalia, GM - Marketing Communications at Genesis Luxury Fashion
Pvt. Ltd.

Session III: “Charming their way to Consumer Loyalty – Th e Services Industry”

Speakers:

1. Abhinav Rahul, VP Corporate Communication at Max New York Life Insurance
2. Mr. Mouli Venkataraman, Head - Portfolio Planning and Insights at Nokia*
3. Mr. B Hariharan, VP Sales & Marketing at ITC Hotels*

* Confirmation Awaited

NATIONAL MARKETING SYMPOSIUM 2010

2010-08-01T22:33:00.003+05:30

“THE CONSUMER RETENTION ROUTE TO ENHANCING ROMI”

“Loyalty cannot be blueprinted. It cannot be produced on an assembly line. In fact, it cannot be manufactured at all, for its origin is the human heart – the centre of self respect and human dignity. It is a force that will leap into being only when conditions are exactly right for it – and it is a force very sensitive to betrayal.” ~ Maurice Franks

Let us begin with a simple question: Who gives a bigger return on marketing investment – an existing consumer of your brand who must be retained for the possibility of a future repurchase; or an uninitiated user who expands your consumer base and gives you volumes?

THE THEME – NATIONAL MARKETING SYMPOSIUM 2010

“T he c onsumer ret ent ion rout e t o enhanc in g RO M I” – Understanding Brand Loyalty, Efficient Measurement of Return on Marketing Investment (ROMI) and Strategies for Consumer Retention; including low cost IMC techniques aimed at consumer retention to facilitate a greater ROMI. A brief description of the various sub-themes mentioned above is presented in the following paragraphs.

UNDERSTANDING BRAND LOYALTY

As advertising spends break records after records, rivals are leaving no stone unturned to pull your consumer away from you. Besides this, post the deregulation of the Indian economy in the 1990s, the entry of some of the biggest international players in the market has presented Consumer India with a plethora of options to choose from. As clichéd as it may sound, an understanding of the underlying factors that drive consumer loyalty is becoming increasingly important for organizations facing a competition which is stiffer than ever before.

MEASURING ROMI

ROMI – Return on Marketing Investments; is a metric used to measure the overall effectiveness of a marketing campaign to help marketers make better decisions about allocating future investments. ROMI precisely signifies profitability generated for every rupee spent on marketing activities. Some of the parameters that it takes into account are: product positioning (market share), profitability (contribution/
EBIDTA margin) and marketing philosophy and aggression (Selling & distribution).

STRATEGIES FOR CONSUMER RETENTION

A growing top line for an organisation today is not a function of an increasing consumer base alone. Consumer involvement of existing users through engagement, feedback, variants, extensions, upgrades, value addition and a unique experience has become a critical aspect for a year on year sales growth of all successful organisations. The word of mouth publicity which results from all these activities often helps in transforming brands from the ordinary to the iconic.

On August 12, 2010 at The National Marketing Symposium at IIFT; some of the best minds from the corporate world and some of the brightest students in the country will unravel the mind of the consumer who is already connected to a brand.

We welcome you to join us in this discovery.

India:Third Largest Recipient of FDI

2010-07-30T17:32:00.001+05:30

In recent times a lot of attention has been given to FIIs and the extent to which their inflows or outflows have impacted the stock markets. But if India has to sustain its high level of growth and see more development, what it really needs is FDI. Foreign direct investment, that is. And in this regard, there are some positive developments. The United Nations Conference on Trade and Development (UNCTAD) believes that India would emerge as the third largest recipient of FDI for the three-year period ending 2012.

Infact, the country did very well in 2009 too. The FDI that it received last year totaled to US$ 34.6 bn. This catapulted it to the list of top 10 countries to have the highest FDIs. Indeed, India has been growing at a strong pace in the last few years. But there is scope for more growth. Infrastructure has to be ramped up and developments in many areas need to take place. And so, FDIs are certainly welcome. After all it is not 'hot money' prone to the whims of market movements. But is long term in nature with the potential to do the country some good.

New Dawn: Launch of Africa Business Cell

2010-07-22T22:19:00.001+05:30

July 21, 2010 became a historic day for IIFT as it became the first B-School in India to have an exclusive Africa Business Cell. An entirely a student initiative, it aims at promoting Africa which is beyond war, genocide and famine. It primarily aims at

• Increasing awareness about the vast business opportunities in Africa among the student community of IIFT
• Enhanced interaction among IIFT faculty & students, and leading African & Indian businesses and government officials

The inauguration ceremony was followed by a panel discussion on the theme, ‘India as partner of Africa in growth.’ The panelists included The High Commissioner Designate of Rwanda, The Charge d’affaires, The Embassy of Ethiopia, The High Commissioner of Gambia, The Ambassador of Tunisia, The High Commissioner of Eritrea and The General Manager, The Triton Group.

According World Economic Forum Report (2009), between 2001 and 2008, growth in Gross Domestic Product of the continent of Africa pegged an average of 5.9% annually. This was accompanied by substantial inflows of FDI (foreign direct investment), leading to almost doubling of FDI stock between 2003 and 2007. The McKinsey Quarterly Report 2010 also speaks of how macroeconomic reforms have reduced inflation, improved regulatory environment and opened economies to international business and trade. In this context, Africa offers immense business opportunities in agricultural commodities sourcing and trading, consumer goods, oil & natural gas, automobiles, education, health care, etc.

No wonder such an initiative focusing on Africa is going to bring immense learning and growth opportunities.Kudos to the Africa Business Cell Team and IIFT.

India's Opportunity in Africa

2010-05-25T11:46:00.000+05:30

Hello

I found this useul article in Economic Times regarding India's Opportunity in Africa.

Here is the link:

http://lite.epaper.timesofindia.com/getpage.aspx?pageid=14&pagesize=&edid=&edlabel=ETM&mydateHid=25-05-2010&pubname=&edname=&publabel=ET

Happy Reading!!

Regards,

Saurav Tibrewal

Is ICICI Bank committing a mistake in acquiring BoR?

2010-05-20T11:52:00.000+05:30

There is a saying in the modern corporate world, “Lunch or be lunch”. The quotation is apt with the recent trend of mergers and acquisitions. ICICI Bank, India’s biggest private sector bank is all set to make its third acquisition this year. After taking over Sangli Bank and Bank of Madura, it has offered to acquire Bank of Rajasthan. After HDFC Bank acquired Centurion Bank of Punjab in 2007, it is the biggest M & A in Banking Industry.

ICICI Bank has offered a swap deal of 25:118. This means that Bank of Rajasthan shareholders will get 25 shares of ICICI Bank for every 118 shares of Bank of Rajasthan. The swap ratio will value BOR at about 3000 crores which is nearly 1.5 times its current market capitalization. I would have mentioned almost double, had this post been written two days back.

Now, let us do an analysis of the merger with the little information we have. Has ICICI Bank taken the right decision to acquire BOR?

For the merger

1. Increased number of branches and presence in Rajasthan

BOR has currently 463 branches, which will take the tally of ICICI Bank’s branches to nearly 2470 after merger. More than that, it will give the acquirer much needed sizeable presence in northwestern desert state of Rajasthan.

2. Encountering competition

ICICI Bank is facing stiff competition from HDFC Bank and also the resurging Axis Bank. To remain as the top private player, it needs to grow bigger and what better way to grow than the path of acquisition.

Against the merger

1. Expensive Deal

ICICI Bank has valued BOR at a whopping 3000 crores which is much more than its market capitalization. It values the acquired bank at 2.9 times the book value in comparison to 1.89 times, which is the Indian Banking average. At a time, where the picture of global financial world again seems to be shallow with Greece crisis, this expensive deal may decrease EPS of ICICI Bank.

The market gave its judgment on the day of announcement when the shares of ICICI bank were down by over 7% and BoR’s shares hit an upper circuit of 20%. The shareholders of BOR are to reap benefits as their per share value has been valued at Rs. 188.42 as compared to Rs. 80 on the end of17th May, the day previous to the day of announcement.

2. Cultural Differences

BOR, though being a private bank, has been managed like a public sector bank, where the jobs were safe and the productivity per employee was low.

ICICI Bank may probably pay them higher but again the expectations to perform will go up. Even, the average age of employees in BOR is around 40 as compared to young age group of ICICI Bank. BoR had a profit per employee of Rs Rs 2.89 lakh for the financial year up to March 31, 2009, compared to Rs 11 lakh for ICICI Bank.

The staff union at BOR is opposing the merger and has even threatened to take legal action against the promoters, if the merger goes ahead.

3. Ownership not transparent

Tayal Family had been the promoters of Bank of Rajasthan holding 28.6 percent stake in the bank. But according to a SEBI order, they, in coalition with related parties, set to hold 55% shares in the company. Tayal family has been barred by SEBI ti access capital markets and deal in securities.

The SEBI investigation is in progress and thus the possibility of a scam in the said bank cannot be ignored.

4. RBI guidelines violation

A penalty of Rs. 25 lakhs was imposed on them for violating RBI norms of illegal acquisition of immovable property, non compliance with Know Your Customer guidelines, deletion of certain records and data in Bank’s IT system.

Thus, in a nut shell, it can be said that all is not well with the bank and it was highly mismanaged. After the merger, ICICI Bank may have to bear the brunt of many such things.

5. Low operating income

Bank of Rajasthan’s profit has increased over the years. But still, it has a low EPS and net profit margin. The profit till nine months ended in a negative of Rs. 44 crores for nine months ended December 2009 against a profit of Rs. 117 crores in the year ended March 2009.

Thus, the above indicates the pros and cons of this merger but apparently it seems that the arguments against the merger are higher. We have seen certain expensive deals in the recent past which has affected the acquirer in a pretty big way. Will this merger also go down as one of the worst deals or will ICICI bank prove analysts and critiques wrong needs to be seen?

By-
Saurav Tibrewal
MBA (IB) 2009-11 Batch
IIFT, Delhi

Logistics & Shipping Magazines, Blogs , Websites Links

2010-05-14T17:42:00.000+05:30

Here are few magazines , blogs and other websites and resources for logistics and shipping.

Enjoy Reading

Magazines

Others

Blogs & News Papers

Will add more as an when i get

Know the risks before taking the equity call

2010-05-13T10:46:00.000+05:30

Equity investment is associated with various kinds of risks.To be successful,an investor must identify these risks and understand their implications,says Nikhil Walavalkar

TWO planes colliding into two towers half-way across the world brought down financial markets all across the world.A fortnight-long dry spell is enough for share prices of some companies to tank.Markets are meant to react to external events.Some traders make a killing by betting on such events,but a majority of retail investors emerge losers.

Equities,by their very nature,are susceptible to all kinds of risks.The reaction of the domestic market to the financial crisis in Greece is the most recent instance of how globalisation has increased linkages between Indian and overseas markets even if there is no direct connection between the economies.

Broadly,investors have to contend with two sets of risks one pertaining to the markets or systemic risk,and the other specific to the company.Here is a look at how the risks impact returns and how to handle them.

MARKET RISKS

You cannot ignore market risks while building a portfolio.There are instances,where all the company specific factors are in place but the price is not right,making it a risky bet, says Chetan Parikh,director of Jeetay Investments.During a market rally,a boom phase creates a situation where an investor buys shares at a price far higher than what the company is worth.In a downturn it is the other way round where irrespective of a companys performance the price declines.Price volatility arising out of broad market movements is attributable to systematic risk.There is no one solution to this risk and diversification does not help.If you can keep your calm and pick stocks at lower levels then you are likely to face limited loss when the markets fall,as there is enough margin of safety.Some investors prefer to buy put options if they are worried about market health and have a huge portfolio.

MANAGEMENT RISK

Lending money to a dishonest person brings with it the risk that he may default.The same holds true for dishonest managements.There are instances where companies keep coming out with announcements of new projects followed by pump and dump operations.Despite the regulatory crackdown,investors lose their money as they are forced to exit at near-zero value.It makes sense to ask about those you are getting into business with.Track record of the management is a must check point.It makes sense to let go an opportunity from an unknown entity and instead invest in well-managed company with a good investor-friendly track record.

BUSINESS ENVIRONMENT

This comprises economic environment and regulatory framework.Corporate earnings grow along with the growth in the real economy.It makes sense to keep a track of the growth in real economy.But if the regulators decide to change the rules of the game,such changes could impact the fortunes of companies.Especially in highly-regulated businesses it is imperative that you keep a track of regulatory changes,as it may have its repercussions on margins and volumes.

RISKS RELATED TO BUSINESS MODELS

Not all companies in a sector work in the same manner.They may have focus on certain markets,certain geographies and certain customers.A pharmaceutical company engaged in contract manufacturing will have different risk-reward than that of a researchdriven company.

To gauge the possible impact of any variable on a companys earnings,investors must have a good understanding of the business model of a company.This can be acquired by visiting company website and reading annual report of the company.If you are bullish about a sector,it makes sense to diversify your holding across business models within that sector to ensure that there is less risk involved in a concentrated portfolio.

GEARING RISKS

In a rising interest scenario,a company with high level of debt faces increased risks.As the interest rates rise,the interest burden also increases,taking its toll on the bottomline and adversely impacts shareholder returns.The worst scenario happens if the existing debt of the company matures in times of credit crunch,leading to terrible situation for the company.

It makes sense to go for companies with net positive cashflows.One can also look at zero debt or nominal debt companies, says Kunj Bansal,CIO,Sanlam SMC Investment Management India.If you are keen to go for a debt ridden company,ensure that the valuations are really low to ensure that you have some margin to fall back.

GEO-POLITICAL RISKS

Though the companies you invest are listed on Indian stock exchanges,they need not earn all their revenue in India.There are many companies that earn their revenue overseas.It is better to understand the geo-political framework of the countries.Especially in countries where democratic governments do not exist the risk is high.Recent issue of volcanic ash in European skies grounded airline shares.This underlined the risk associated with such low probabilityhigh impact black swan events.Diversification is the only way out here.It makes sense to have some meaning full diversification by investing in markets sharing low correlation with each other.

FOREIGN EXCHANGE RISKS

Companies earning their revenue or paying for their raw materials in foreign currency run the risk of fluctuations in foreign exchange.At a time when the global markets are turning more integrated,it is imperative to have a close look at the foreign exchange movements.A weak local currency is helpful for an exporting company,but makes the life miserable for a company that imports its raw material but cannot Risks associated with equity markets.The only solution to this problem is to identify earnings sensitivity at various level of cross currency rates and accordingly take positions,other things remaining the same.

The reward of investing in stocks depends on how well you steer clear of risks or manage the risks that you really cannot avoid.If you find it difficult,you will be better off allowing entities such as mutual funds to manage your money.

Source: Economic Times, New Delhi, 13th May 2010

Europe in a mess

2010-05-06T00:23:00.000+05:30

Europe in a mess

With the size of the Greek economic quandary dilating from that of a cow to an elephant day by day, economists and others around the world are beginning to ask the same question in their minds – “will Europe hold together?”. Greece, the birthplace of the Western civilization, now is becoming more and more excruciating for the ECB, IMF and the other EU economies.

It is not a secret anymore. The fiscal deficit of Greece has touched uncontrollable levels. Hopes of recovery are fast diminishing, even among the Greeks themselves. In a near catch-22 situation, Greece has only two options to come out of this gloom – dramatically increase tax rates, or drastically truncate social expenditure, both of which will result in more tears than smiles, given that unemployment is already looming at about 10%. In fact, a line of rationale tells me it’s better for Greece to remain idle and allow itself to become insolvent, than to opt for either of the remedial measures mentioned above – a classic instance of the cure being more bitter than the pain.

Perhaps, one wonders, Greece may have been spared of this curse had it not been a member of the EU. And the logic behind it stems from fundamental macro economics – had Greece retained its own currency the “drachma” instead of switching to Euro, it may have been possible to devalue it at this juncture, so as to boost exports, which would have brought in more tax money to the Greek government. This is not possible with a common currency.

The rest of the EU is in an equally deep mess. Some are favouring a loan to save Greece from insolvency, while others, headed by Germany, strongly oppose the idea. “What is the point of giving money to a government that has failed to manage its own money?” asks Berlin, and I too endorse the same opinion. Berlin also fears that this might become a habit, as there are a number of economies lined up in queue, waiting to follow the footsteps of Greece – Spain, Portugal and Italy to name a few. (Obviously Germany has little faith in the Obama-style bailout packages).

EU’s growth rate has not been appreciable either. Foreign investments into the continent are decreasing, as Europe is becoming less and less attractive to do business. Many Europeans themselves have come to realize that the future does not belong to the white man, but to the yellow man and the brown man (yes, I’m talking about the Chinese and the Indian).

Fraught with so many reasons to frown, and none to smile, I wonder if even a FIFA world cup victory would bring a smile in the land above the Mediterranean.

ET in the classroom

2010-05-04T09:46:00.000+05:30

BEGGAR THY NEIGHBOUR POLICY

What is beggar thy neighbour policy

The beggar thy neighbour policy refers to a policy that aims at addressing ones own domestic problems at the expense of others trading partners in particular.

What are the instances of such a policy

The most popular forms of a beggar thy neighbour policy are in the areas of foreign trade and currency management.Conventionally,countries often impose tariff barriers and restrict imports to protect their domestic industries.However,with globalisation,such practices are not popular.But to achieve its domestic policy objective,for instance,encouraging exports,central banks devalue or encourage the depreciation of their own currencies compared to its trading partners to retain their respective competitive edge.Sometimes economies compete in encouraging appreciation of their currencies to tame inflation at the expense of hurting income in the exporting countries.

Is China adopting a beggar thy neighbour policy

Many economists,especially in the US,say China has deliberately kept the value of its currency low to forge ahead in exports.But in this case,more than the competitors,the importing country,US,is complaining because more than anything else,cheap Chinese imports are hurting its domestic economy.

How do current economies policies compare

Currently,the raging concern among most emerging market economies in Aisa is spiralling inflation on account of rising global commodity prices.Central banks in most economies,including Indias,are (though not necessarily planned) encouraging appreciation of their respective currencies.This is helping them curtail inflation arising out of imported goods as imposing tariff barriers is perceived to be against the principles of free trade.Such a practice hurts export earnings of the countries from where such imports are sourced.But the impact also depends on how crucial such exports are for each economy.

What are the limitations of such a practice

In certain cases,such a policy may prove counter productive.If,for instance,even the competing country counters one policy move,of say,depreciation (to protect exports ) then such a practice may not have desirable results,especially the countrys imports are not price elastic (the imports are essential and not dependent on prices) and instead could end up hurting the trade balance through higher import price and resulting in inflation in such economies.

Source: Economic Times, 4th May 2010

Pushing China into revaluing its currency risks toppling the global recovery from its stabilising axis. Instead, Washington should face the crisis it

2010-04-16T11:02:00.000+05:30

THE battle with the US over China’s exchange rate continues. When the Great Recession began, many worried that protectionism would rear its ugly head. True, G-20 leaders promised that they had learned the lessons of the Great Depression. But 17 of the G-20’s members introduced protectionist measures just months after the first summit in November 2008. The Buy America provision in the US’ stimulus bill got the most attention. Still, protectionism was contained, partly due to the World Trade Organization.

Continuing economic weakness in the advanced economies risks a new round of protectionism. In the US, for example, more than one in six workers who would like a full-time job can’t find one.

These were among the risks associated with the US’ insufficient stimulus, which was designed to placate members of Congress as much as it was to revive the economy. With soaring deficits, a second stimulus appears unlikely, and, with monetary policy at its limits and inflation hawks being barely kept at bay, there is little hope of help from that department, either. So, protectionism is taking pride of place.

The US Treasury has been charged by Congress to assess whether China is a ‘currency manipulator’. Although President Barack Obama has now delayed for some months when Treasury secretary Timothy Geithner must issue his report, the very concept of currency manipulation is flawed: all governments take actions that directly or indirectly affect the exchange rate. Reckless budget deficits can lead to a weak currency; so can low interest rates. Until the recent crisis in Greece, the US benefited from a weak dollar-euro exchange rate. Should Europeans have accused the US of ‘manipulating’ the exchange rate to expand exports at its expense?

Although US politicians focus on the bilateral trade deficit with China — which is persistently large — what matters is the multilateral balance. When demands for China to adjust its exchange rate began during George W Bush’s administration, its multilateral trade surplus was small. More recently, however, China has been running a large multilateral surplus as well.

Saudi Arabia also has a bilateral and multilateral surplus: Americans want its oil, and Saudis want fewer US products. Even in absolute value, Saudi Arabia’s multilateral merchandise surplus of $212 billion in 2008 dwarfs China’s $175 billion surplus; as a percentage of GDP, Saudi Arabia’s current-account surplus, at 11.5% of GDP, is more than twice that of China. Saudi Arabia’s surplus would be far higher were it not for US armaments exports.

In a global economy with deficient aggregate demand, current-account surpluses are a problem. But China’s current-account surplus is actually less than the combined figure for Japan and Germany; as a percentage of GDP, it is 5%, compared to Germany’s 5.2%.

Many factors other than exchange rates affect a country’s trade balance. A key determinant is national savings. US’ multilateral trade deficit will not be significantly narrowed until America saves significantly more; while the Great Recession induced higher household savings (which were near zero), this has been more than offset by the increased government deficits.

ADJUSTMENT in the exchange rate is likely to shift to where the US buys its textiles and apparel: from Bangladesh or Sri Lanka, rather than China. Meanwhile, a rise in the exchange rate is likely to contribute to inequality in China, as its poor farmers face increasing competition from the US’ highly subsidised farms. This is the real trade distortion in the global economy, one in which millions of poor people in developing countries are hurt as the US helps some of the world’s richest farmers.

During the 1997-98 Asian financial crisis, the renminbi’s stability played an important role in stabilising the region. So, too, the renminbi’s stability has helped the region maintain strong growth, from which the world benefits.

Some argue that China needs to adjust its exchange rate to prevent inflation or bubbles. Inflation remains contained but, more to the point, China’s government has an arsenal of other weapons — from taxes on capital inflows and capital-gains taxes to a variety of monetary instruments — at its disposal.

But exchange rates do affect the pattern of growth, and it is in China’s interest to restructure and move away from high dependence on export-led growth. China recognises that its currency needs to appreciate over the long run, and politicising the speed at which it does so has been counterproductive. (Since it began revaluing its exchange rate in July 2005, the adjustment has been half or more of what most experts think is required.) Moreover, starting a bilateral confrontation is unwise.

Since China’s multilateral surplus is the economic issue and many countries are concerned about it, the US should seek a multilateral, rules-based solution. Imposing unilateral duties after unilaterally labelling China a currency manipulator would undermine the multilateral system, with little payoff. China might respond by imposing duties on those American products effectively directly or indirectly subsidised by the US’ massive bailouts of its banks and car companies.

No one wins from a trade war. So, the US should be wary of igniting one in the midst of an uncertain global recovery — as popular as it might be with politicians whose constituents are justly concerned about high unemployment, and as easy as it is to look for blame elsewhere. Unfortunately, this global crisis was made in the US, and the country must look inward, not only to revive its economy, but also to prevent a recurrence.

(The author,
Joseph E Stiglitz,
is University Professor at Columbia University and recipient of the
2001 Nobel Prize in Economics)

Source: The article appeared in Economic Times, Mumbai edition, 16th April 2010

Pehel an Initiative

2010-03-17T17:53:00.001+05:30

This page is a platform where socially concerned people can find stories, articles, thought-provoking videos, shortfilms, facts, etc about the various issues faced by our society. We request people to upload any socially relevant videos, photos, articles or links on this page that might be useful in creating awarness about issues that need people's attention & support. We would also provide information about a few NGOs working in these fields for users to know and get connected to

Visit the Page - Pehel

Team
Akshay Moorty
Prashant Chiluka

Surbhi Nalwaya

Made as part of Rediff Contest. Team is in top 10 finalist from India.

2010-03-08T02:07:00.000+05:30

A Marketable Budget!

2^nd March 2010- The Kolkata wing of ‘Cash-O-Nova’, the Finance club at IIFT, organized a panel discussion on Union Budget 2010-11. The distinguished panel comprised of Dr. Ajitava RayChaudhari, former Head of Economics Department at Jadhavpur University, Mr. Gopal Aggarwal, Indirect Tax Consultant, PricewaterhouseCoopers and Mr. Chetan Panchamia, Head, Equity Research Division, Eastern Financial Ltd. The discussion was moderated by Dr. Ranajay Bhattacharya, an Economics graduate and Fulbright scholar and also a popular professor at IIFT.

Dr. Bhattacharya stated that like every year the current budget too reflected the tussle between economics and politics. He set the tone by stating that this budget was “less popular” than the previous one. However this view was opposed by Dr. RayChaudhary who stated the dual problem of growth and inflation that India faces and said that only innovative budgets would be the way out. He explained how strong social programmes and the rise of the Indian middle class had helped fuel demand but due to poor monsoons we had short supply. This was causing the inflation and he thought only long term measure such as projects under Bharat Nirman like building roads and in general agriculture infrastructure would be the way out. He stressed that budget being basically a one year plan could not cure the problem of inflation; rather what it could do is set the road map for the future. He also emphasized the need to remove the subsidies unless it was absolutely ensured that it benefitted the intended persons. He welcomed the idea of Unique Identification number (UID) programme as a solution to this problem. He did criticize the hike in indirect taxes as this would hit the poorer people more than the middle class and rich.

Mr. Aggarwal voiced a similar opinion on the increase in indirect tax. He reiterated that while the change in slabs made the budget a good one for the middle and high income families, the poor were not incentivized enough. However, he lauded the fact that the honourable finance minister had set a specific date (April 2011) for the Goods and Services Tax (GST). He saw this as a step which will remove the cascading effect of the various excise tax, customs tax etc. He also spotted a trend of a fall in the excise tax and increase in service tax. He said that this was an indicator that India was slowly but steadily moving towards service taxes. He rated the budget a modest 7 on a scale of 10.

Stock market’s reaction is an important indicator of the marketability of a budget and according to Mr. Panchamia the budget was a very marketable one. It not only addressed the question of fiscal consolidation but also stated that the aim was to get the fiscal deficit down to 5.5% of GDP. This was in fact what the market was looking forward to hear as this would mean a better rating from credit agencies, thereby ensuring more inflow of FII. However he did mention that the oil subsidy had caused the debt market to give thumbs down to the budget. He was of the view that markets would be bullish as long as we avoided global pitfalls.

We also witnessed a very good discussion at the end of the session with the floor been thrown open to the students. Prof. RayChaudhari pacified the concerns raised by the students regarding overheating of economy by emphasizing on the importance of technological development. He favoured more focus on developing infrastructure over doling out subsidies. Mr. Chetan was optimistic regarding the disinvestment of the PSUs and Mr. Aggarwal felt that there was a high probability of IT tax cuts being extended by the turn of the year. The session was closed on a positive note with the speakers reasserting that there were definite benefits from this budget such as the bringing of the GST. The final assessment termed it a budget on expected lines and definitely not a path breaking one.

By: Sayani Ghosh

MBA(IB)

2009-11, IIFT

Kolkata

Piggybacking on Comics

2010-03-05T17:43:00.000+05:30

written by Janani Kandaswamy

Imagine Asterix deriving his strength from Maggi soup in-stead of druid‘s potion, or Calvin playing with a Lego toy instead of Hobbes. Sounds preposterous? Maybe not. With a lot of fore thinking and planning, marketers are targeting a huge segment of customers by capitalizing on the unique place that comics hold among various age groups.

Using comic characters to reach across to children allows the advertisements to become a part of their world. Bubba the cat, for instance is the mascot for Cadbury India‘s bubblegum brand Bubbaloo. Chandamama also figures in Parle‘s strategy of promoting the multi-coloured confectionery Poppins.

What is so attractive about comics as a marketing media for children?

Comics are an integral part of childhood. The intensity of children‘s engagement with comics is very high.

Comics brands such as Tinkle, Amar Chitra Katha and Double Digest are contemplating the idea of tying up with automobile and consumer durable brands. ACK Media, the owner of these comics has already churned out comics featuring LIC India, Kirloskar Brothers Ltd and the National Stock Exchange. An-other brand called Virgin comics is keen to extend its services to a lifestyle brand and a consumer products company. In the coming years there is bound to be more marketing oriented companies following the comics route of attracting young consumers.

On the other end, adults are also being targeted by advertisers. The best example would be Google who marketed their internet browser chrome through an online comic book created by Scott McCloud. The book explained the inner workings of chrome and was de-signed as a printed comic for journalists and bloggers. With good presentation, thought, useful information and easy language it created the awareness which led to a firm entrenchment of Chrome in the minds of its potential users.

With the arrival of comics as a reliable means to garner attention for a product, the marketers have to refine the groundwork they do before zeroing in on a particular medium (web/print etc). There is no single comic for everyone. So creators need to initially identify the type of people who are likely to enjoy it. Once the general audience is identified, they have to deter-mine the influencers in that group and what social media they tend to gather around.

Keeping in mind the success of comics as a marketing medium, we might just get to see our favourite comic characters assuming the roles of brand ambassadors. Now wouldn‘t that be refreshing!!!

bald eagle losing out to the red dragon....

2010-03-03T22:08:00.000+05:30

America ain't competitive nor innovative no more......... fears Thomas Freidman......

a good read...

http://www.nytimes.com/2010/03/03/opinion/03friedman.html?partner=rssnyt&emc=rss&utm_source=twitterfeed&utm_medium=twitter

Cheers

RBI Ex-General Manager Delivers a Talk on Workings of the Central Bank

2010-03-03T19:20:00.000+05:30

19^th February 2010, Kolkata : Cashonova the Finance Club of Indian Institute of Foreign Trade, Kolkata organized a lecture by Samirananda Roy, retired General Manager, Reserve Bank of India. Mr. Roy has also served the government of India in various other capacities. Presently he is working with Disha Consultancy, a trust set up under the aegis of ICICI Bank and engaged in imparting financial education among poor people.

The lecture took us on a historical tour of the country’s central bank. Mr. Roy having served the organization for quite a long period of time presented an insider’s view of the organization. Beginning with the evolution under the colonial masters, the talk encompassed the post reform era of the Indian economy as well. The brief history of the organization was peppered with several anecdotes involving Mr. Roy and his seniors which added a personal touch to the discussion.

The lecture gave the students an insight into the various roles and responsibilities of India’s central bank. He reiterated the role of the central bank in the socio-economic affairs of the country. The students were made aware of the numerous obligations of the central bank and the importance of an overarching mandate being handed over to it. The role of RBI during different period of times and the implication of the policies as enunciated by it was made amply clear. “If the central bank of the country earns profit then country’s health is not good.” Such profound observations clearly led the students in appreciating the larger picture and interrelationship between business of the central bank and its impact on economy.

The lecture was interspersed with thought provoking questions by the students continuously thus making it seem more like a dialogue. The talk was drawn to a close with a vote of thanks and the presentation of a token of appreciation by the club coordinators.

By: Mritunjay Kumar

IIFT, Kolkata MBA(IB) 2009-11

Budget Analysis Session

2010-03-03T04:18:00.001+05:30

Corporate Relations Committee of IIFT organised a budget analysis session on 2^nd March 2010. The objective of the session was to analyse various aspects of the budget from different perspectives. The speakers who graced the occasion were

1. Mr. Mohit Satyanand, who is an entrepreneur & Investment Advisor and is also a columnist with Outlook India,

2. Mr. M G Ramachandran, who is an Associate Director, PWC -Tax & Regulatory Services,

3. Prof. Rajan Ratna, Centre for WTO Studies, IIFT.

Ms. Madhuri Ghosh, the co-ordinator of CRC, introduced the speakers to the audience of over hundred.

Mr. Ramachandran started the analysis with his presentation. He elaborated all the changes made in the tax laws – both direct and indirect.

Next speaker was Prof Ratna who pointed out the fact that the budget was not for Aam admi. He justified his opinion by saying that the goods on which the excise duties have been cut like set top boxes, LCD TVs, mobile accessories are not what an ordinary man use heavily in his daily life. He also stressed on the fact of monitoring the funds allocated to various schemes.

The final speaker was Mr. Satyanand who is also a graduate from Delhi School of economics. He stressed upon the economic and political impact of the budget. He opined that the finance minister has taken a very optimistic assumption that fiscal deficit can be controlled by 3G auctioning and disinvestment provisions. Mr. Satyanand also said that we need to restore world confidence in India which is quite low at this point in time. This can be interpreted from the fact that the 10 year bond yields are trading at 7.92 % whereas in an unstable economy like Greece, it is trading at 7 %. So, Government could have done something to make world realise that India is a safe haven for investments.

After the discussions, the floor was opened for questions. Doubts over hike in MAT, rationale behind extra deduction by investing in Infrastructure bonds, deregulation of oil prices etc. came up, which was solved in a very comprehensive manner by the distinguished panellists.

At last, the vote of thanks was given by Madhuri and bouquets were presented to the speakers by the IMF (student body) president Arakkal Vedhus and Ms. Ishaani Gandhar, the convenor of CRC.

The session was very useful in the sense that three different speakers from diversified backgrounds helped us to understand the budget from three separate angles.

My first Holi-day

2010-03-02T00:10:00.000+05:30

[Original Version @ chawlamit.blogspot.com. Reproduced on March 1, 2010]

I've never played Holi in the last 25 years of my existence. Here's how it changed today.

0500 - Went to sleep after finishing AOE.

1000 - Loud Music from Buffy's giant speaker wakes me up. Try to sleep again, curse Buffy - but still can't sleep.

1010 - Never take advice from Singh Saab on such important issues. I was scared to go down and have breakfast. But he convinced me that nobody other than Buffy is playing Holi downstairs.

1015 - I go down in the lift. Sneak till the mess door. But that was the farthest i could go. Manjari smears tons of color on me. After exhausting all color that she had, gives me a saintly advice to remove my spectacles. Then IMF Prez takes charge. Insures that his rival Prez has eaten more color than his breakfast.

1020 - Forget Breakfast. Its time for revenge. I ready myself for counter attack. Apply an insane amount of oil, and jump in to the battlefield.

1025 - Now outside. These people haven't left a square cm of my original skin color. I'm looking like every one else now. Multi-colored.

From then onwards, i allow nobody to look less colored than me. Later, we launch an attack on seniors. They start tearing each others clothes. We pick up the tradition quickly. Within 20 mins, all guys are topless. Then, after a photo session and dancing, we decide to call it a day.

1300 - The longest bath of my life starts. All different color blends come out each time i pour a bucket.

1400 - No food inside or in vicinity of campus. We embark on a long trek to search for food. With me are Singh Saab, IMF Prez, Stallion, Koshish Tiwari and Papa Ghosh. What aggravates the problem is lack of ricks and buses. We walk till Mezbaan - closed. Move on towards IIT - Nothing. Finally we spot a bus, and fortunately its going to Saket

1500 - So, we reached Saket in 1 hr. At least McD's didn't disappoint us. We ate like famished beings. Found ricks on our way back. And happily slept from 1600 - 1830.

1830 - Made calls to all friends and family. Over in 30 mins.

1900 - The search for food continues. I must add, we always happen to eat at the most unexpected places for the sake of food variety. Now, me and I-Prez don't maind wandering around. The third person always pays the price for our adventurous journeys. This time it was Papa Ghosh.

2000 - Instant shortage of ricks again. Even JNU is closed. On top of it, we got lost in the vast campus. Finally came out after walking 4 kms. But, Mezbaan was directly opposite to the gate and it was open. But, a huge waiting line outside.

2030 - Papa Ghosh has had enough. We are now at Al Kauser, Munirka. But there are no waiters to take our order. Prez tries to exert his influence on the manager but he refuses to budge citing staff shortage. Papa Ghosh decides never to come back here again.

2130 - We are done with the food now. It was quite delicious for our hungry souls. Papa Ghosh has cooled down. He may come here again. We get into another rick. Old songs playing. And the gentle breeze. Enough adventure for the day.

2200 - Suri calls for TT. Even Doctor has started playing, it seems. Skipped the CB group meeting to play.

0000 - Just finishing the blog. One of the best days in IIFT. Back to work.

2010-02-27T03:23:00.000+05:30

SIMPLYFYING THE BUDGET

We had huge expectations from Budget 2010. It was a difficult task for Mr. Mukherjee as he had to satisfy people’s needs as well as control the fiscal deficit.

Let us analyse some of the major points of Union Budget 2010 (Fiscal Year 2010-11):

1. Change in tax slabs

Tax Slabs 2009-10

Tax Slabs 2010-11

Rs. 1,60, 000 – Nil 1,60,000 to 3,00,000 – 10%

3,00,000 to 5,00,000 – 20%

5,00,000 + - 30%

Rs. 1,60, 000 – Nil 1,60,000 to 5,00,000 – 10%

5,00,000 to 8,00,000 – 20%

8,00,000 + - 30%

Analysis – Pros: Relief for common man. If a Person earns Rs. 10,00,000, he has to pay Rs.154000 as tax in 2010-11 compared to Rs.2,04,000 which he would be required to pay in 2009-10.

Cons: May Result in loss of revenue for the government. But looking from a different point of view, it has been seen that as and when the tax brackets have been widened, no. of persons paying taxes have increased. So, it might not be a negative at all.

2. Reduction of Surcharge on corporate tax

The surcharge on corporate taxes has been decreased from 10% to 7.5%. If a company pays Rs.4 crores as tax, it has to pay Rs.40 lakhs as surcharge. Now, it has to pay Rs.30 lakhs as surcharge.

Pros: This is a welcome step as far as corporates are concerned. More disposable income will result in investing in new projects and ventures, which in turn will create more jobs.

Cons: It will result in loss of Government’s Revenue.

3. Increament in Minimum Alternate Tax

Last budget, we saw a hike in MAT rate. This year too, FM has increased the rate from MAT from 15% to 18%.

Pros: Increase in Revenues for Government as companies have to pay more tax (MAT) now.

Cons: Extra burden especially for medium and small enterprises because it has been seen that many of them fall under MAT bracket.

4. Extra deduction if invest in Long Term infra bonds

Apart from deductions under section 80C, if a tax payer invests in long term infrastructure bonds, he can get a deduction upto Rs.20000.

Pros: Huge boost for infrastructure sector. For a taxpayer, he can save tax upto Rs.6000.

Cons: Cannot think of it right now.

5. Excise Duty increased

Excise Duty (the tax that has to be paid on manufacturing of goods) has been increased from 8% to 10%. It is being seen as a rollback of fiscal stimulus.

Pros: Augment Government revenues.

Cons: It will inflate prices of goods.

6. Extra excise on petrol and diesel

Extra Excise duty of Re.1 will be charged on petrol and diesel.

7. Service Tax unchanged

Service Tax has not been touched. It remains at 10 percent. FM has intimated that more services will be brought under the reach of the Act.

Pros: Relief for taxpayers. Its increment could have hurt taxpayers in a big way. From mobile bills to restaurant bills, we pay service tax on many items that we are using.

Cons: Cannot think of it at present.

8. Licenses will be given to private players and NBFCs to enter into banking foray

Pros: More Job opportunities will be created. Financial Inclusion will be strengthened.

Need: Strong monitoring

9. Direct Tax code and GST given a deadline

10. Government determined to raise Rs.25000 crores from Disinvestment

Mr. Pranab Mukherjee estimates the fiscal deficit of India to be at 5.5 % for 2010-11 and 4.8% the year thereafter. Fiscal consolidation is on cards as it was evident from certain hard decisions that were taken during the budget.

Stock Market gave a big thumbs up to the budget as it looked progressive and also offered higher disposable income in the hands of the consumers.

Swaminathan Aiyar, the economist rated the budget and gave 6 out of 10. He said it is a middle road budget. FM has promised to control the deficit but was disappointed on certain fronts. Hiking fdi limit in insurance sector to 49% and reducing public sector share in PSU banks etc. were unheard of.

All in all, it was a budget where Finance Minister has given signs of financial stimulus rollback and has also given reasons for a common man to smile. (Smokers will be unhappy though as cigarettes will be costlier). I would give 7 out of 10 for this budget.

Please note the views expressed are personal and open to disagreements and criticisms.

Saurav Tibrewal

Co-ordinator, Cash-o-nova, The Finance Club

Indian Institute of Foreign Trade

MBA(IB) 2009-11 Batch

Contact: 9311580251

Budgets and the BSE

2010-02-25T13:11:00.000+05:30

heya buddies,

with one budget already having been announced, and another just poking its head round the corner, we are in for some sparks in Dalal Street.

How about initiating a discussion among ourselves about the various sectors/stocks that are set to make or take money for/from the Indian investors?

Many of us are investors ourselves, and it would be good fun to put to use our FM and SAPM knowledge and predict the betas and gammas and correlation and co-variances that is gonna be kindled by the Union and Railway budgets.

Inviting your opinions/predictions/forecasts on the road ahead for BSE and NSE w.r.t. the budget impact, from all the finance enthusiasts, equity researchers, CFAs of IIFT.

I for my part believe the cement sector is gonna be the best best for the upcoming fiscal, and is gonna repeat its sunshine performance of the last 2 years. We may expect a modest growth of 6-8% (anything but modest, ain't it?). ACC, Gujarat Ambuja and India Cements look pretty attractive to me. And for those who wanna play safe and earn modest returns (this time i really mean modest), "mid-cap" is the mantra.

Your views and predictions guys?

Cheers

One Night at Ventimiglia

2010-02-24T18:30:00.000+05:30

Surojit shares his experience

Keeping up with the snapshots from Europe, here is one of the most enlightening experiences I have ever had. It painted a very different picture of Europe, far different from the dazzling lifestyles that we are so used to hearing.

Last week was the winter break in France, and a few of us took up the opportunity to travel to a few neighboring countries. Animesh and I decided to explore Italy. So on last Tuesday night, we set off on our own 'Italian Job'. Now, all trains from France to Italy go through a small coastal town called Ventimiglia. We took a train from Nice and arrived at Ventimiglia at 12 midnight. Our connecting train to Milan was at 4:30 in the morning. So there was a long, cold wait at Milan. Little did we know how fast time would fly.

Imagine! We get off at Ventimiglia at midnight. It's freezing cold. And as we enter the station, the first thing we hear is BLARING LOUD PUNJABI MUSIC!!! I mean, this is some nondescript Italian town, far from the sunny fields of the pind. It's 12 in the night. And Punjabi music!! WOH!! We look around and find this dimunitive guy, all huddled up in his jacket, sitting in one corner of the platform, with the sweet voice of Whatever Singh emanating from his mobile phone. Believe me, when you haven't seen an Indian for a long time, iis thrilling. Shy at first, he finally came up to talk to us.

'Pakistani?' Imagine that. He thought we were Pakis. Turns out there is reason for that. Most Indians holidaying through Europe don't usually travel budget (or with atleast such low budget as us). That route is mostly traversed by Bangladeshis and Pakis, who mostly engage in manual labour.

Anyway, we got talking. This guy has had the widest experience in Europe. He's Indian, name's Jogga, and works as a house painter in Paris. Doesn't have a visa or anything. So how did he come to Europe, one might wonder. He took a plane to Cuba (with a Cuban Visa), and in the stopover at Amsterdam, he got out of the plane and came out of the airport. Of course, he promptly got arrested, and spent 2 months in jail. Then, he somehow bribed his way out and went to Paris, and started working. Now he cannot go to back to India from France (no visa!!!). So he travels frequently to Italy, where Visa processes are lax. He is trying to prove that he stays in Italy so he can get the Italian givernment to give him a Visa!!! In fact, he just got chased down by the Italian police that very evening in Ventimiglia station. He managed to give them a slip and was back at the station trying to get a ticket to Milan. Now that's called living on the edge.

And that was not all. In the course of the night we met 3 friends travelling to France (or atleast trying to). One was an Afghan, the second a Palestinian, and the third an Arab. Now all these guys were in the same state as Jogga - no passports, no papers, and not a cent in the pocket. In fact, the Italian police had given the Afghan 5 days to get out of Italy. So he is fleeing to France. Turned out the guy was an interpretor for the NATO soldiers in Afghanistan, and had managed to smuggle himself into Europe through Turkey. In true Italian style, someone conned him a 150 Euros in Udinese (in Italy). Left a bad taste (and more) in the mouth. All three were completely frustrated with Europe, and really homesick. The Palestinian guy has a French wife, but is willing to leave her and go back to his home. All 3 of them were actually hoping to get arrested so they can be deported back to their countries.

Now, here is an fun fact for you guys (since we are studying Trade). It's not very easy to get deported. It costs 6000 Euros, and you will only get sent to GUESS WHERE. Oh yes! GREECE!!! Further procedures from there on. Getting arrested is the easy part.

If you think only Asians are in a bad state, you'll be dead wrong. Even the white have their problems. There was a French guy we got talking with. Now this bloke has come from Australia, where he went to get a job. But couldn't, because of his knowledge (or the lack of it) of English. But he is a musician, and was carrying a bongo of some kind, and a long horn (which is an aboriginal instrument from Down Under). Hometown in Marseille, Antoinne (his name), was trying to hitchhike his way back home. He actually asked us if he could make some money in Nice or Cannes to get a ticket to Marseille. He had had not eaten for two days, so we offered him some biscuits we were carrying. In return, he offered us a smoke. And considering a pack of smokes here cost 4-5 Euros, that's saying something.

So you see, not all that glitters is Europe. There is the other side of the story too. And hopefully you've enjoyed reading this one.

Cheers!!!

His earlier post: It's not all fun & games at the exchange program

Consolidation in Indian Telecom Sector... is it possible?

2010-02-23T15:17:00.000+05:30

Hi friends, in light of the panel discussion we had today on the Indian telecom sector, I would like to initiate an informal discussion amongst ourselves, wherein we can all post our views.

To begin with, I beg to disagree on the replies given by one of the speakers w.r.t. the possibility of consolidation of the existing players. As we all know, the Indian telecom sector has space for only about 4 to 6 players. But currently there are about a dozen firms fighting it out there, engaging in a price war that is probably more violent than that of the Coke-Pepsi one which occurred a few years ago. And to make things worse, Norway's Telenor is trying to butt in too, in order to have a share of the astronomical growth rate of the market.

I don't think a consolidation is possible in the near future, and here are my reasons:

a) No company is small enough to be acquired. I may of course, be wrong, but I think even Idea Cellular, one of the relatively smaller players, is too expensive to be bought out in entirety by say a Bharti or a Reliance Mobile. Also, given the lucrative market scenario, any company would fight tooth and nail, and exercise all the "poison pill" strategies it can think of, to prevent itself from being acquired.

b) I think an alliance (like the Kingfisher-Jet Airways)is a far more probable and likely to happen than a consolidation, wherein the players can form a sort of agreement among themselves to reduce competition and have a "win-win" for themselves (the current price-war is all but benefiting us customers, and not any of the telecom companies). We are witnessing that the big players are coming up with ways and means to compensate their rapidly declining market share to minnows like Aircel and Uninor - Airtel is already aggressively expanding its overseas arms (read Warid Telecom/MTNL/Zain and what not!!). It is only through such an alliance, will these companies be able to compete without further eroding each others' ARPUs.

In light of the above, please let me know what you guys think. Do pour in your opinions, ideas, strategies, etc. which may possibly be adopted by our telecom companies. (Do not forget that MNP is also an upcoming threat for most, if not all, players).

Cheers

Predict your Budget

2010-02-22T19:30:00.001+05:30

Hello All

What do you think Mr. Mukherjee will present in this year's budget on 26th February 2010. Your prediction can be on any area related to budget. Please reply via comments.