Showing posts with label IIPM-News. Show all posts
Showing posts with label IIPM-News. Show all posts

Monday, July 29, 2013

Nirbhaya's Ballia

This place boasts of a Prime Minister called Chandrasekhar. It is also 'hometown' to India's most talked about gang rape victim Nirbhaya. Puja Awasthi travels across Ballia to find aspirational Bharat clashing with resurgent India

“Myself, Shilpi Pandey. I am prepare for BHU Mass Communication and journalism admission (sic)”, bubbles the 21-year-old who lives in Sri Ram Vihar Colony in Uttar Pradesh’s Ballia. Like Pandey, there is at least one member from every family in this midsized colony studying English at the branch of what is locally advertised as ‘India’s largest institute of spoken English’. Pandey spent three months -- two hours for five days every week — at the institute to fix a lack of confidence and came out convinced that she had finally set out on the path to a bright future, her ‘bright’ being a career in the television industry. “I will do whatever it takes and go wherever I have to,” she says with admirable determination once the conversation has settled into Hindi- a language she is more comfortable with.

Some 40 km from Pandey’s home, in the village of Medourah Kalan, that dream to make it big has propelled a few members from almost each of its 500 families to seek a life outside the district which offers few employment opportunities, despite being dotted by some 80 degree colleges. The victim of the gang rape that happened on December 16, 2012 in Delhi, belonged to one such family.

“When the incident happened, girls were scared to go to college which is 10 kilometres from here. But staying back is not an option. Development has not come to us. There is no future here”, says Paras Nath Yadav, the 40-year-old former pradhan of the village.

Yadav’s two brothers live and work elsewhere and he admits that had it not been for an early political initiation, he too would have quit.

Back in Ballia, Rajeev Kumar, the head of the political science department at the Shri Murli Manohar Town PG College sits in his airy, first floor office where a gleaming slim screen computer rests atop a dusty table, and explains that an acute feeling of insecurity is driving migration in the district’s 90 per cent-plus rural population. “Half of those who work as farmers do not own land. They suffer forced labour and sexual exploitation. Despite the river (Ganga) changing course, land surveys have not been re-done. Local elites have been permitted a free run in establishing unlawful control over land. Trapped in such dismal circumstances, low castes migrate with the hope that hard work elsewhere will allow them a chance at a decent life. In the case of the middle class, it is the spirit to exert which is at work”, he says. An example of that spirit having outpaced what the district has to offer is served by Kumar’s own work place where the library is in the process of being digitalised and the campus is being turned into a Wi Fi zone despite 10-hour electricity cuts being the norm. Below his office, girls make a beeline to fill in forms that will make them eligible for the state government’s free laptop scheme (aimed at those who cleared their class 12 examinations last year), but none of those questioned have an answer to how the machines will work in the absence of power. “That is why I want to get out”, says a science undergraduate. Fair point.

The push factors for migration (ie lack of employment opportunities) that work so forcefully in Ballia, are not unique to it. They spread across Uttar Pradesh, which makes up the largest slice of rural and urban interstate migrations that have contributed to adding approximately 22 million new people to the population of destination cities, of which Delhi remains the most popular.

In 1983, it was to Delhi that Badri Singh, the father of the gang rape victim migrated in search of a better life. Working double shifts as a loader with a private airline and getting less than five hours of sleep a night, he had made peace with the realisation that while the better life would skip him, it would definitely come to his three children.

It is the tantalising possibility of this promise that feeds the migratory stream despite lowly skilled migrants mostly ending up in ghettos and drawing the ire of original inhabitants of the destination city. The perpetrators of the December 16 crime in Delhi which rocked an entire nation, also migrants from small towns and villages, were the ugly consequence of a fading of that promise and the resulting economic, social and psychological deprivation.

Yet, with each generation, the illusion of the promise grows more fantastic.“In big cities, it is easier to get returns on your hard work. You are not known for your caste. Your qualification and your job speak for you”, offers 17-year-old Vivek Singh who is a first year student of commerce at a local college. He is aiming for a “MBA with good marks” after which he hopes to find a “manager’s job in a financial company”.  His reference point is an uncle who is in the army, not his father who is a teacher.

To underscore his point on caste, Singh says that while the whole world was raising its voice in support of the 23- year-old Delhi gang rape victim, in Ballia, she was still defined by her standing in the caste hierarchy. “We took out a candle march and burned some effigies, but there was constant talk about her caste, and about her parent’s failure to control her. Imagine that happening in a big city where factories are well developed”, he asks, connecting economic prosperity with a more inclusive social milieu.

In the course of a day spent in Ballia, this is not the sole disturbing observation on the Delhi gang rape victim. Says Ramendra Dwivedi, a local journalist,“There was a muted but palpable sense of resentment that a family of lowly standing had garnered undue attention. The question kya mila (what did the family get) was of greatest interest. The conflict between big city values and small city aspirations was marked.” Dwivedi’s observation points to the complicated relationship between migration and acculturation, a relationship burdened by loss, alienation, dislocation and isolation. It hinges on a complicated equation--clinging to the security of a native identity hawked through culture and caste-based associations while reworking old ties through an economic lens.

Much of the blame for the lack of opportunities lies with the government. In the cause and effect logic of economic activity, the absence of basic infrastructure has turned industry off the region. Thus, while the per capita income of western Uttar Pradesh stands at Rs 15,869, 21 districts of eastern UP have an income of only Rs 9,288 per person.

Industry experts believe that focused hard sell can improve the districts’ economy, as the western region is saturated with industries. In the absence of that focus, eastern UP’s income has remained worse than even that of Bundelkhand which with a per capita income of Rs 12,878 attracts special packages from the centre and the state—a regional anomaly that is explained in part by the more acute nature of distress in Bundelkhand where debt and drought have fuelled farmers’ suicides and captured political imagination. The state’s freshly announced ‘New Infrastructure and Industrial Investment Policy, 2012’ which offers 100 percent exemption in stamp duty and a capital interest subsidy scheme for industries set up in the eastern districts of the state, is yet to yield results. Only the proposed airport at Kushinagar has drawn investor interest for its tourism affecting potential.

More specifically, of the 104 Industrial Entrepreneurs Memoranda (IEM) the initial application for approval to start an industry, filed between April 1, 2012 and January 31, 2013, not a single one proposes an industry for Ballia or for any of the other eastern district except Varanasi and Sonebhadra. This is a telling contrast to Noida, which has attracted 35 new proposals. Even the 1,047 km Ganga Expressway—an access controlled eight lane project that was announced in 2007, to connect Ballia to Noida and thus fuel a more even growth, has been stalled in court.

Ballia’s most recent cause for dissent came from this year’s Railway budget which announced a bi-weekly train to Delhi, but selected its point of origin in Mau (71 kilometres from Ballia), despite representations to the ministry that a train be introduced from Ballia in memory of the bahadur beti (brave daughter) as she is locally referred to.

Krishna Kumar Upadhyay, better known by his moniker `Kaptan’ is the convenor of the Purvanchal Vikas Manch, a body demanding statehood for the state’s eastern region. He connects the example of the train to the other slights that are regularly handed to Ballia. “From the inability to procure land to the disinterest of entrepreneurs, from the non-feasibility of having a medical university to the administrative logic of not setting up a university —there is always a ready answer for why things cannot happen in Ballia”, he says as he prepares to leave for Delhi to press for a route change for the train and demand a 50 per cent reservation quota for Ballia on it.


Source : IIPM Editorial, 2013.
An Initiative of IIPM, Malay Chaudhuri
For More IIPM Info, Visit below mentioned IIPM articles

Saturday, April 27, 2013

"I only bother about production volumes"

C. S, Verma, CMD, SAIL – India’s largest public sector steel company and the second-most profitable in the business in India Inc., refuses to believe that dampened economic sentiments are making life difficult for Indian steel businesses. For him, 10% is how the trajectory of growth appears for the industry. He might be right.

B&E: Besides being one of the highest profit-makers in India Inc., in recent years, the Rs. 503.5 billion topline-earning SAIL has worked on marketing its brand. How important is the brand to the company and its stakeholders?
Chandra Shekhar Verma (CSV):
Today, branding activity in the steel industry in India is on the rise. And from September 1, 2012, the government of India will introduce the mandatory BIF standard, which will make branding compulsory for industry players. As far as SAIL is concerned, today, roughly 20% of our sales come from products that are branded. So, in times to come, brands and the power of branding will hold great importance for all in the steel industry. At present, we have more than 3,000 dealers and 67 warehouses across the country, so we expect branding to hitherto impact positively the efforts of SAIL as far as strengthening its front and back-ends are concerned. Investments in branding will also give us a distinguishing upper-hand over competition that is rising each day.

B&E: You mentioned competition – can you elaborate?
CSV:
Today, government policy allows free import of steel from overseas – therefore it is a case of survival of the fittest. And this is again where I come back to the branding bit. We had to create brand equity in the minds of customers. Due to the marketing activities in recent past, I can say that SAIL has got a brand awareness that is unmatchable. Whenever customers or government officials talk about steel, they talk of SAIL. And the popularity of our slogan which goes as, “There’s a little bit of SAIL in everybody’s life”, proves the how SAIL has been able to position itself in a cluttered market where there are more than six to seven big players.

B&E: India’s steel consumption grew only by 5.5% in FY2011-12 to 70 million tonne due to lower demand from industries like auto, FMCG and construction. This figure shows lack of investment in industrial projects. There is all the talk about a slowdown in the steel industry – what is your take on how your company has performed vis-à-vis the industry during FY2011-12?
CSV:
I don’t agree that either the Indian economy or the steel sector is facing a slowdown. India is a demand centre as far as consumption of steel is concerned, and even last year, despite an increase in production, we had to import steel to fulfil just our domestic demand. And the fact that the government has planned a total investment of one trillion dollar during the 12th Five-Year plan period is definitely an encouragement for investors and participating companies in the steel industry. Moreover, to achieve 1% growth in GDP, there has to be a growth of 1-2 times in production of steel. To be realistic, yes, we are not completely insulated from the happenings in Europe and US – the slowdown and crises across various markets have impacted India, but the fear of slowdown only lives in the mindset of people in this country. Today, the installed capacity of steel in India is about 82 million tonne a year, which is going to rise to about 140 million tone by the end of the current Five-Year plan and then to more than 200 million tonne by FY2020-21. The reason for a slowdown in the sector in Europe and US is that they are oversaturated economies and the low 1-2% growth in their economies cannot drive forward demand of steel. But if you look at growth of the steel sector in India it has averaged 8-10% over the past few years. And this growth will continue.

B&E: So you claim that the previous financial year was not a challenging period for SAIL?
CSV:
Challenges were there. They still are. But the growth of more than 8% in demand and production of steel in India over the past few years, due to the India growth story, has been more than encouraging for us. There are challenges galore. More and more players are entering the industry today. The market is a free import market so if we are not cost competitive, there will be imports from China. Today, the total installed capacity of steel in the world is 1.8 billion tonne. Of this, 50% capacity is in China. And China is our next door neighbour. So, if we do not control costs and therefore prices, there will be free imports from China. So there are many more such challenges in the industry in India, but the opportunities outweigh the threats. And this is really not the case with other economies in Europe. India presents a growth opportunity for this industry.


Source : IIPM Editorial, 2013.
An Initiative of IIPM, Malay Chaudhuri
For More IIPM Info, Visit below mentioned IIPM articles
 

Friday, April 19, 2013

B&E Indicators

PE investments up 24% in 2011

Private Equity (PE) firms invested $10,117 million over 441 deals in India during the 12 months ending December 2011, compared to $8,187 million across 362 deals during the previous year. These figures, which include VC (venture capital) investments and exclude PE investments in real estate, take the total investments by PE firms over the past five years to about $47 billion across 2,062 transactions.

IT – still the hot favourite

With 137 investments worth about $1,752 million, Information Technology and IT-Enabled Services (ITES) companies topped in terms of both investment value and volume during 2011. The Energy industry absorbed $1,651 million across 43 deals, while Manufacturing attracted $1,598 across 37 transactions. Engineering & Construction companies and Food & Beverages companies also attracted special investor attention during 2011.


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

Monday, February 04, 2013

Atleast, we spared their pants!

Two biggest M&As. Who lost? The shareholders. Who won? Mmmm...

When it comes to research, experts from KPMG to Booz Allen have already testified that a blood-freezing 66.67% to 78% do not work to create value or are outright failures. When it comes to examples too, the same holds true; the only difference being that in this case, we even know who the victims are! Let’s begin with the biggest M&A trophy, ever – the much discussed hostile takeover of Germany’s Mannesman AG by UK’s Vodafone Plc in February 2000, for a mammoth $183 billion. A year after the deal, the cultural differences had made living hard for the two families, and Vodafone had put Mannesman’s art collection up for sale (true!). Numerically speaking, today, the value of the duo, which once stood at $365 billion (on day #1, post-merger), stands stripped down to a pathetic $64.46 billion (as of April 27, 2009) – a fall of 83%! So why did the soup go sour? First, the deal was at ‘a wrong price with a wrong rationale…’ Ignoring issues of culture, even their business models differed. Vodafone’s concentration of wireless telephony was in stark contrast to Mannesmann’s focus on fixed-line services. Moreover, the logic behind Sir Christopher Gent (the-then CEO of Vodafone) paying a 55% premium for one Mannesmann share remains a mystery...

Then comes the next biggest from the M&A record book – the $167.4 billion merger between AOL & Time Warner in 2001, making the combine worth a gargantuan $260 billion in terms of Mcap, and the largest media & entertainment company in the world. As per the agreement, AOL shareholders held 55% of the merged entity, while the rest belonged to Time Warner shareholders. (Translation: the tuna had gobbled up the whale!) Getting straight down to statistics, today, the combine’s Mcap has fallen to a lamentable $26.7 billion – an appalling fall of 90% since the merger happened! So what really went wrong? Well, the biggest mistake with the merger was its very ‘timing’. It came just months before the Internet bubble burst in mid-2000, post which there was a huge decline in subscriber growth for AOL. First, it’s ad-revenues water-hole dried-up faster than water from a bottle cap in Sahara, and consequently, it underwent a massive goodwill write-off, due to which the company reported net losses of $99 billion for 2002 alone!


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

For More IIPM Info, Visit below mentioned IIPM articles.

Saturday, January 05, 2013

Say it in SEYCHELLES...

Celebrate life, make each day a holiday; At Seychelles, romance rules the mind and the thoughts, making you feel like an integral part of the entire romantic aura that surrounds the most beautiful archipelago in the world. Seychelles is a wonder of Mother Nature, a compilation of 115 exquisite white sand islands scattered in the Indian Ocean. Harmony, tranquility and serendipity being a way of life here, welcome to a holiday of a lifetime! At Seychelles, the two most famous islands are Mahe and Praslin, the former being home to the capital of Seychelles, Victoria. It has some of the most exotic beaches where one could fall in love all over again. It’s the perfect destination for a honeymoon or an anniversary; If you’re single then there’s nothing that would stop you from discovering the true romantic within you. Seychelles is a wonderland, specially created by God, where everything is conducive to love. Mahe boasts of around 65 picturesque beaches and some lush hills. Hire a convertible and set out for a long drive in the hills on the Sans Souci road, feeling the temperature gradually cooling as you meander in the mountains on a road that offers the most amazing view of west Mahe. View the tea plantations and take a mental picture of one of world’s most beautiful landscapes ever. From the bird’s eye view as you descend back to exquisite beaches and bays like Anse a La Mouche, a great place for a refreshing dip, feel the cool air blowing through your hair and open all your senses as you take in every bit of this beautiful island.

If you set sail around the wonderful island of Mahe, you would witness the magnanimity and benevolence that nature showered while creating this marvel of an island. Just like in your dreams, if you happen to drift a bit further in your boat, you’ll be lucky to find yourself in another paradise called Praslin. Praslin is the second largest island in Seychelles that is home to the Coco de Mer, an exotic palm which grows mainly in the Vallée de Mai National Park. For those who look for more than mushy, romantic evenings, can keep the candlelit dinners on hold and instead add some zing to their vacation by donning their adventure gear. Sports freaks can dive into the azure waters and pay regards to the exotic aquatic underwater life and can play with the cute and lovable turtles that swarm the shore, after a dip in the irresistible waters.


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

Friday, December 07, 2012

The web is where the heart is?!

Link-ups and break-ups… it’s all happening on the Internet.

With easy access to the Internet, it is said that people are coming closer. I’d say that with easy access to the Internet, people are becoming intimate! Activities like sports, music, dancing and painting have been substituted by chatting; and incase you assumed that this cyber addiction was limited to only youngsters, let me tell you that it is not. The reality is that it is not just kids or young adults who are obsessed with on-line friendships and cyber dating. Grown-up adults – including married men and women – are spending a great deal of time on sites like Orkut and Facebook, not just to keep in touch with long lost friends but to forge new relationships… and much more!

Shyla’s parents couldn’t have been more shocked on learning that their daughter wanted to marry a boy whom she hadn’t been dating, but had been chatting with. “How could I ever trust anyone who Shyla had met on-line where the scope of being pretentious is thoroughly explored for the sake of fun? How can one claim to have faith in a person you’ve only chatted with and not met?” squealed Shyla’s mom, while Shyla had a different argument. “I accidentally met Bhagat on-line. He was quite interesting and so we were constantly in touch. After a year of chatting we decided to meet. We continued to stay in touch on-line. Although we had met only thrice in three years, we grew fond of each other. Now, after three years of knowing each other, we have decided to get married”, said Shyla. Due to their unrelenting stand, the families had to meet and eventually, happily agreed with their decision. “On-line dating is a risky affair because there are little chances of one being serious about it. But on the other hand, it gives a huge scope of getting in touch with and meeting different people, especially for those who are looking out for a partner. Frankly speaking, I never trusted on-line relationships but there are always exceptions, like in our case!” exclaimed Bhagat.


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

For More IIPM Info, Visit below mentioned IIPM articles.

Thursday, December 06, 2012

You’d do ‘Neutron’ Jack proud!

Jobs cuts, during recession become a ‘necessary’ evil; and this is the only quick solution for companies...

The thrice-marrried, former GE CEO, Jack Welch could never find another reason to be happier. Excuse us here; we’re not talking about Jack becoming a father again (he has already celebrated 73 years glorious years on the planet for Chrissake!); but about others preaching the layoff culture at GE, many years after he quit GE (strict reference to his act of firing about 120,000 ‘bottom 10%’ employees). And it is his two ‘action-packed’ decades long terrific tenure at GE that on one hand deserves all the credit for a tub-thumping appreciation of 4,100% in GE’s market value (making it the most valuable company by 2001!) and on the other, seems to have created a model of leadership that fellow-American MNCs and those from the Eurozone & First World have begun to emulate. Yes, we’re talking about the lay-off announcements that were made in the past week; there was GM confirming 2,000 cuts, Caterpillar – 12,000; Pfizer – 19,500; Sprint-Nextel – 8,000; Intel– 6,000; Philips – 6,000; Corus – 5,500; Corning Inc. – 3,500; ING – 7,000; Texas Instruments – 3,500; Home Depot – 7,000; Microsoft – 5,500; Hitachi – 27,000; Ford – 1,200, UAL – 1,000… and the list continues.

Reacting to these announcements, an emotional US President, Barack Obama said, “These are not just numbers on a page... these are working men & women whose families have been disrupted and whose dreams have been put on hold…” Indeed, Obama puts his emotions in good light here, but are not these actions mere rampages sans rationale?

We need to question the very ‘fundamental necessity’ of job-cuts, especially with unemployment rates having grown meteorically from 4.7% in December 2007 to 7.2% in December (a 15-year high!) as per a January 2009 report by IHS Global Insight The report further suggests how during just the last four months, 2 million jobs were slashed – representing 80% of total cut during the current downturn. Worst, the report proves how, we are “just halfway to the total job loss anticipated during this cycle,” thereby forecasting the unemployment rate to rise above 9% by early-2010 (highest in 30 years). Surely, we are on the verge of making some ‘bitterly forgettable’ history! 
 
Source : IIPM Editorial, 2012.
An Initiative of IIPMMalay Chaudhuri

For More IIPM Info, Visit below mentioned IIPM articles.

Saturday, December 01, 2012

FAFA ISLAND RESORT

On a palm covered, uninhabited island, Fafa Island Resort is a pearl in the off-shore islands north of Nuku’alofa. The white sandy beaches, the turquoise lagoon surrounded by a coral reef and colourful fishes keep the natural beauty of this place alive. The stunning resort is a perfect blend of the natural environment and the modern requirements of it’s demanding clientele.

THE VIEW:
Spread on an 18-acre palm covered atoll, the Fafa Island Resort is setup on an uninhabited coral island in Tongatapu Lagoon. The resort gives its customers a spectacular view of the beach from their bungalows, and yes, if you’re bored then just step out of your bungalow and simply enjoy the soothing sound of the waves hitting the shore.

ARCHI TYPE: The resort is confined to 13 bungalows, each constructed with bamboo to give your bungalow a perfect beach house look. Also, your bedroom – which has been made just a step away from the beach – faces the sea for you to enjoy the beautiful scenery while you spend quality time with your loved one.

BON APPÉTIT: The resort is known for its unique contemporary Polynesian European Gourmet and especially for its seafood. And well, you needn't worry about the food menu. The menu, in fact, changes everyday and the food is prepared from the fresh products of the market giving you a delicious meal which is worth its price. Also, the perfect way to unwind is with some tropical cocktails which are served in the open-air bar just outside the resort.

AROUND THE CORNER: In-case you are looking for some souvenirs, especially the famous carvings and weaved products of Tonga, the shops outside the resort are a must visit as they not only give you the best of the products but also at prices hard to resist.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.

Wednesday, November 28, 2012

HOW ECONOMICS CAN

What’s the dirtiest secret about corruption? Just how little we know about it. Treasuries are plundered and kickbacks are paid, but the nature and scale of the world’s shady transactions largely remain a mystery to us. Luckily, a little economic detective work is all that is needed to expose the smuggling, cheating and bribing that is hiding in plain sight.

 What little systematic evidence we do have comes from surveys by groups such as the World Bank and Transparency International. But we economists are skeptical of what people say about corruption. It’s called “cheap talk” for a reason. And we’re especially suspicious of what people say when surveyed on sensitive topics such as bribery and embezzlement. It’s obvious that responses to the question, “How much did you receive or pay last year in bribes?” are of questionable accuracy. So it’s hard to know where it’s really thriving, let alone figure out what to do about it. But all is not lost. The hidden underworld of corruption often reveals itself in unexpected ways – and in situations that allow us not only to measure actual corruption but to test different methods of preventing it. All that’s required, it turns out, is a little economics and a dash of ingenuity. To truly understand corruption, we must watch what people do, rather than just listen to what they say. And as we’ll see, damning evidence, like cash-filled suitcases, often leaves footprints in the data for those who know where to look.

Economics is fundamentally about how people respond to incentives. So, if we forensic economists want to unearth corruption, we must look for situations where incentives for crooked rewards somehow translate into actions that everyone can see.

Price of political connections

Whether through hefty campaign contributions or cushy jobs for former politicians, corporations are constantly accused of trying to profit through political ties. (just think Halliburton or Russia’s Gazprom). But what’s the real value of these companies’ connections? If you ask politicians or investors, you’re likely to hear lots of denials. To get the truth, we could ask insiders to put some money where their mouths are, making them bet some of their own cash on whether particular companies are making back-alley deals with politicians to increase their profits. Raw financial self-interest would lead bettors in the know to reveal their true beliefs about corruption.

Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.

Acid test for Yeddyurappa

Karnataka Chief Minister needs to quell Bajrangi hate mongers and ensure safety to minorities

Since leading the BJP to power for the first time in Karnataka, B. S. Yeddyurappa has faced a volley of accusations. Attack on churches is the latest in the list. The attack coincides with BJP’s 100 days celebration of power in Karnataka. It started in a church of Dakshina Kannada district and took little time to spread to neighbouring districts of Udupi & Chickamagalur. The attacks were triggered by Orissa incidents and the allegations of conversion. The peg for the attack was the alleged distribution of ‘Satya Darshini’, a write-up in which Hindu gods were shown in disrespect. Even Bangalore was not spared; two churches were attacked in India's IT capital; this, after Chief Minister, Yeddyurappa’s assurance of taking strict action to control the situation. In a span of a week, more than 22 churches were desecrated. According to the opposition party leaders Yeddyurappa has completely failed in his duties. Minorities in Karnataka continue to reel under threat.

The CM is under attack from opposition parties. R. V. Deshapande, KPCC President & a former Minister told B&E, “It was unfortunate that the BJP government failed in handling the situation. Bajrang Dal and VHP are trying to disturb the communal harmony in the peace loving state. Continuation of such a situation was sure to discourage prospective investors in the state.” Opposition leader Mallikarjuna Kharge too seconded Deshpande's views.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.

Monday, November 26, 2012

Fractured infrastructure?

Only an efficient public transport system can reduce the usage of personal vehicles

Statistics have been conspicuously crowned as the king of lies. But the fact is that there is no other logical way to prove truth other than the damn statistics. Figures don’t lie and they definitely don’t when we say that lack of proper public transit systems and infrastructure leads to high usage of private cars in India.

This trend is most visible in urban areas. For instance, Delhi has a very high rate of migration. While the population continues to rise, the city has seen a marginal rise in the number of buses in the last four years. Result: the rise in personal vehicles has been 100%. China was facing the same problem till 2006. To solve this, they came up with Bus Rapid Transit (BRT) lines in 2006. The system has been a run away hit and presently 50% of the all the trips in Chinese cities are done through public transport, majority of which are through buses. On the same lines, BRT has been started in India but is still in the trial phase and its future remains uncertain. Japan is another classic case of this trend. The market for new cars in Japan has shrunk from 7.78 million in 1990 to just 4.13 million in 2007. The reason for this is lack of proper parking facilities and the efficient public transportation in Japanese cities.

Not that high number of cars is a bad thing, but too many of them create problems. Pollution, accidents, jams are just to name a few. Indian city roads on an average occupy 12-14% of total land area. It’s 10% in Mumbai and 6% in Kolkata. The same roads carry more and more vehicles which lead to jams and accidents.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.

Saturday, November 24, 2012

The Dark Knight!

Of all the July 4ths that Bennett hates, he’ll hate July 4, 2008, the most. While the nation rejoiced on this day, he had already been sentenced to 16 years in Federal prison the day before... all thanks to his Dark Knight acts at Refco

“I knew failing to disclose these filings was wrong. I know I was wrong. I deeply regret it,” is how Phillip R. Bennett pleaded guilty, with eyes full of tears, before the US District Judge Naomi Reice Buchwald, on February 15, 2008. And what was his crime? Well he literally killed a company!!! Bennett, the former CEO of Refco Inc., a New York-based leading financial services company, earned fame having made millions for thousands of his clients (even US Senator Hillary Clinton was one!). But there was the dark side to this knight... he mismanaged Refco’s clients’ equity and disguised $430 million of bad debts. During its heydays, Refco was known as the largest non-bank US futures commission merchant of commodities and futures. The company was founded in 1969 by Lt. Thomas Dittmer and his stepfather Ray Freidman (who also had a criminal record!) as ‘Ray Freidman & Co.’ in Chicago. It was eventually relocated to New York. Its base had swelled to 200,000 customers and $4 billion in assets by October 2005. Then doomsday occurred. Many experts claim that Refco’s flameout was one of the most spectacular financial failures in US history amid civil and criminal investigations. Between its IPO in August 2005 and its October 18, 2005 bankruptcy filing, more than $1 billion in investor capital evaporated from Refco’s coffers. Beat this, it took just four days for Refco to transform from being the world’s largest commodities and futures brokerage to a company worth nothing, making it the fastest crash of a publicly listed company ever!

Born in 1948 in Britain, Bennett graduated from Cambridge University and joined Refco in 1981. He became its CFO in 1983 & subsequently its CEO in 1998. Under Bennett’s guidance, Refco advanced into the fast-growing unregulated markets and drifted away from its traditional business of dealing with agricultural commodities. Under him, the company acquired 16 smaller competitors and grew its revenue base by an incredible 24% annually through 2004. What followed however proved him a ‘dark knight’ for his stakeholders.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.

Wednesday, November 21, 2012

BS YEDIYURAPPA: PROFILE

Battling huge odds and crass opportunism, Yediyurappa has shown time and again why he is the king

According to the agreement, power was to be shared. But JD(S) supremo H.D. Devegowda, intervened and Yediyurappa’s first stint as CM lasted for a mere seven days. But after that the rest is history.

“As an RSS member, my father came to Shikaripur (Yediyurappa’s constituency) in the mid-seventies. His day begins at 5.00 a.m. and ends well after midnight,” Vijayendra Yediyurappa, the CM’s son told B&E. He has fought for the rights of ‘bagar hukum’ (unauthorised cultivators), peasants and bonded labours and has exposed the food-for-work scam. “Without doubt, Yediyurappa is the face of BJP in South India,” concurs D.V. Sadananda Gowda, BJP state unit president.

But the road ahead is not easy. BJP’s powerful General Secretary, Ananth Kumar, has no love lost for him. Also, there are six Independents, who are currently the main pillars of the BJP Government in the state. But the unseemly squabbles over portfolio distribution could hardly be described as fortuitous.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.

Monday, November 19, 2012

Too Lee’ttle, too...

Lee’s exit looks positive, hopefully the law will take its course

‘Once bitten, twice confident’ – Though antipodal, the tad goes well with Lee Kun-hee, Chairman of the world’s largest electronic company – Samsung Electronics. Lee, son of Samsung group founder Lee Byung-chul, resigned from his post on April 21, 2008 following his alleged involvement in the slush funds scandal. And along with him resigned his son and heir to the company, Lee Jae-yong and Vice Chairman Lee Hak-soo. But before one thinks that the allegations against Chairman Lee might be a mite too heavy (as being opined by company insiders and even some analysts), one perhaps forgets that in 1996, Lee was fully convicted on the charges of bribing ex-presidents of South Korea. It was only a presidential pardon (!) that allowed him to return to the company, and that too, at the helm of affairs! But the bigger question now is, will Lee’s resignation actually work positively for the group? Or is it the clichéd tale of too Lee’ttle, too late?

An alumnus of George Washington University, Lee took over the baton in 1988. It was under his leadership that Samsung Electronics became one of world’s leading manufacturers of semiconductors. In January 2008, a special investigation was carried out, instigated by Samsung’s former Chief Lawyer Kim Yong-chul, after he issued public allegations of financial irregularities. Lee has been charged with hiding 4.5 trillion won ($4.5 billion) slush funds & clandestinely using it to bribe influential South Koreans and politicians. He has also been accused of siphoning off 112.8 billion won ($113 million) to his personal accounts.


Source : IIPM Editorial, 2012.

For More IIPM Info, Visit below mentioned IIPM articles.