BT Net Specials Archive

November 28, 2006

Taxing Times
The phase-out of central sales tax is yet another move towards ushering in the national goods and services tax (GST). The compensation to the states, in lieu of CST phase-out, will include revenue proceeds from 33 services currently being taxed by the Centre as well as 44 new services of an intra-state nature that will be traded by the states. However, VAT is the way forward, though much needs to be done to iron out the anomalies in the current VAT regime.

India, Ahoy!
Indian investments overseas are growing and how. For instance, total Indian investment in Latin America and the Caribbean has topped $3 billion (Rs 13,500 crore) so far. The latest investment is by ONGC Videsh, which acquired an oilfield in Colombia for $425 million (Rs 1,912.5 crore). Earlier, ONGC bought an offshore oilfield in Brazil for $410 million (Rs 1,845 crore).

Surging Inflows
Private equity (PE) investment in India more than tripled in 2006. PE firms invested $7.5 billion (Rs 33,750 crore) in 299 deals in India last year, up from $2.3 billion (Rs 10,350 crore) in 2005. Two of the most significant investments during the year were KKR's acquisition of the Indian software business of Flextronics International for about $900 million (Rs 4,050 crore) and Providence Equity Partners buying into telecom firm Idea Cellular.

Japan Calling
This is the age of Asian dominance, and fittingly, two Asian giants, India and Japan, are embracing each other for mutual advantage. The recent visit of Prime Minister Manmohan Singh to Japan has highlighted the fact that Japan is now, more than ever, eager to enhance and upgrade commercial ties with India. An analysis of the trade basket.

Inclusive Growth
To achieve a 10 per cent growth rate, and sustain that over time, the Eleventh Five Year Plan will emphasise investments in agriculture. Agricultural GDP has been growing (limping?) along at 2 per cent since 1996. A new strategy, including one for a second Green Revolution, is urgently needed to take India to the next level of development. An analysis.

Calling Rural India
There are over 170 million telephone connections in this country, but rural India is still lagging behind. Rural teledensity is only 3.5 per cent (against the national average of 16.6 per cent); not surprisingly, there are no telephone connections in over 30,000 villages. A look at the strategies being implemented to connect rural India to the rest of the country.

Flying High
The Indian aviation industry is growing at a rapid pace, thanks to air transport deregulation, emergence of new operators, lower fares and large untapped demand for air travel. The numbers tell an interesting story: India will require an estimated 1,100 aircraft. The average annual passenger traffic growth in India through 2025 is estimated at 7.7 per cent, well above the world average of 4.8 per cent and China's 7.2 per cent.

Bars Of Gold
The global gold industry is flourishing, largely fuelled by Asian demand and a weak US dollar. The boom is probably only halfway through since prices bottomed out in 2000. Since 1800, the boom and bust cycles have averaged about 10 years. While production is down, the value of gold purchased today is up 47 per cent from a year ago. The super-cycle of high metal prices is seen to be spurred largely by demand from China and India. An analysis.

Global Glut
Just-in-time inventories are turning into just-too-much at companies around the world; they may become a drag on global economic growth. Companies may idle workers and production lines to clear out the excess. Factory inventories rose faster than sales last quarter for the first time since 2001, according to economists. This time, companies have been caught by the slump in the US housing industry and the mid-year run-up in energy prices that undercut demand.

Trading With Neighbour
There are no takers for Hu Jintao's bid for a free trade agreement (FTA) with India, but the Chinese President's recent visit has come at a time when Chinese companies are aggressively eyeing opportunities in India. China and India signed a pact on investment promotion and protection. The two sides also set a target of raising the annual volume of their bilateral trade to $40 billion by 2010. An analysis of Hu's visit and the impact on bilateral trade.

The New Prescription
The clinical research industry is poised for big growth. From a negligible share in the late nineties, the market grew to $70 million in 2002 and is now valued at $100-150 million. The industry is set to garner $1-1.5 billion in revenues by 2010, says a McKinsey report. Amidst the euphoria over explosive growth, the sector is reporting a massive dearth of experienced clinical research employees. In other words, scaling up is a challenge.

Emerging Carbon Market
The global carbon trading market grew to nearly $22 billion in the first nine months of the year, more than doubling over the previous year. China and India are leading the clean development mechanism market, according to the World Bank. Up to the end of September, Asian countries accounted for 84 per cent of total volumes in the CDM market. India has a 15 per cent share of the market, up from 3 per cent in 2005.

Placements Aplenty
It's raining opportunities this year at the summer placements of management colleges. Global investment banks, consulting firms, etc., all are lining up to hire the best brains. Intern stipends too varied, depending on the location and jobs offered. For interns based in India, stipends for the two-month stint ranged from Rs 90,000 to Rs 4.5 lakh. International stipends ranged from $12,000 to $22,000. A look at the job mart.

New Games Biz
What are young, urban Indians playing? Computer and internet games are finding growing numbers of takers. With Xbox and other gaming consoles entering many Indian homes, the rules of entertainment are surely changing. There are a variety of game titles now available-including racing, sports, action and adventure. A guide for gaming enthusiasts.

Following Uncle Sam
US consumers have been one of the main engines of global growth for the past decade. But now, as America's housing boom threatens to turn into a bust, many forecasters expect the economies of China and the rest of Asia to slow. However, this time, the fate of the rest of the world will depend largely upon whether China and the other Asian economies can decouple from the slowing American locomotive. An analysis.

July 14, 2006

Child's Play
India is the largest kids market in the world. The Rs 20,000-crore market is expected to grow at 25 per cent per annum. The branded kids wear market alone is worth around $600 million and is estimated to touch $850 million by 2010. Over 90 per cent of the Rs 2,500-crore toy market is unorganised, and there is a huge potential for organised players to expand. An analysis.

The Net Effect
The spending on e-governance is expected to cross Rs 4,000 crore this year, according to a survey. This is 30 per cent more than last year's figure of Rs 3,014 crore. By 2009, it will touch Rs 10,000 crore. To put it in perspective, India spends close to Rs 1,00,000 crore on the social sector, and e-governance can speed-up government projects and plug leakages. A look at how the e-governance initiative is spreading in the country.

Secure Cyberspace
Many web sites contain design flaws, thus, exposing them to hackers. Much of the data indexed by search sites can be misused, and site owners may not realise that sensitive or confidential information is so readily available as part of a search index. As more businesses put up web sites, the danger of hacking is increasing. A look at how to secure web applications.

Rural-Urban Divide
The rural-urban divide continues despite a high growth rate. According to the 61st round of the National Sample Survey, apart from rural-urban wage differentials, gender differentials are very much a part of the present-day Indian economy. The urban regular wage earner earned Rs 194 a day, which was one-and-a-half times the rural average of Rs 134 a day in 2004-05. Interestingly, the wage gap is most pronounced among graduates. An analysis.

The Asian Agenda
Is a region-wide free-trade area a realistic goal? So far, 183 free trade agreements have either been signed or are being proposed or negotiated across Asia. The share of intra-regional trade has risen to about 55 per cent last year from 40 per cent in the early 1990s. Aside from trade in goods, there is a need to focus on free trade in services. Given the stalled WTO talks, it is vital for Asian countries to pursue further market opening and structural reforms.

Portable Numbers
With department of telecom setting April 2007 as the deadline for mobile local number portability, consumers are gearing up to expect better services. According to telecom regulator TRAI's consultation paper, 30 per cent of mobile subscribers are likely to port numbers. However, there is opposition from incumbent operators. In the United States, they moved the court, in Europe, they delayed the process till the regulator put its foot down. An analysis.

Rising Remittances
The remittances from overseas workers and professionals are soaring. Back in 1990, a bare $2.1 billion flowed in from overseas Indians, but by 2005 the figure had risen to $24 billion. In fact, India is now on top of the remittances heap; it accounts for a quarter of all remittances worldwide. According to the World Bank's Global Economic Prospects of 2006, transfers to South Asia outstrip traditional exports as forex earners.

The Multi-taskers
Modern families are racing to squeeze in more and more work into their daily lives, according to a study by Yahoo and OMD media firm. Computing and communications devices had people cramming an average of 43 hours' worth of activity into a typical 24-hour day by "multi-tasking". Mexico, India and China had the highest multi-tasking rates. The changing landscape of modern families may be a challenge for marketers.

Cutting Down e-Waste
Some 20 million to 50 million tonnes of e-waste are produced each year, most of which ends up in the developing world. Many technology firms are eliminating certain chemicals and offering recycling schemes to help customers dispose of obsolete equipment. Yet, there is a wide variation in just how green different firms are, according to environmental lobby group Greenpeace. A status report.

The Building Boom
Is an asset price bubble building up in the real estate market? Flats in posh Mumbai areas sell at the rate of Rs 50,000-70,000 a sq. ft. and housing plots in Gurgaon are going for Rs 1 lakh a sq. yard. This may sound like music to those who have been clinging on to their assets, it portends danger to buyers. The high real estate prices keep the majority out of the housing market and make the dream of owning a house more distant.

The Learning Curve
India's investment in education-as a percentage of GDP-is lower than not just of countries in the West but also some of the emerging economies, including China. The percentage of population in the relevant age group enrolled in higher education too is the lowest among countries with which it must compete. Clearly, there is a need to scale up substantially the physical infrastructure and attract better faculty by offering market wages.

Trading Times
Even as Prime Minister Manmohan Singh's economic diplomacy is taking new wings, here's more cheering news. Trade between India, Brazil and South Africa (IBSA) is set to touch $10 billion (Rs 47,000 crore) in 2007, an UNCTAD study has indicated. From a mere $200 million in 1998, Indo-Brazil trade touched $2.5 billion in 2005 and is expected to be $3 billion in 2006. India-South Africa trade similarly has grown to $4 billion in 2005.

Change In Climate
Industrialised nations' emissions of greenhouse gases edged up to their highest levels in more than a decade in 2004 despite efforts to fight global warming. The figures, based on submissions to the UN Climate Secretariat in Bonn, indicate many countries will have to do more to meet the goals for 2012 set by the UN's Kyoto Protocol. What are the implications for the world at large?

Flying High
Asia, led by India, will fly high. The region will witness the second highest growth in international air traffic till 2009, says a report by the Centre for Asia Pacific Aviation (CAPA). West Asia (which the report treats as distinct from the rest of Asia) is projected to grow the fastest. The report estimated a worldwide growth of around 5 per cent. In India, the number of international passengers is expected to grow 20 per cent.

The Middle Path
The middle income group (MIG)-those with an annual household income of Rs 2-10 lakh per annum-is expected to increase at 13.7 per cent per annum over the next four years against 12.2 per cent over the last four years, says NCAER. Further, the size of the lowest income class will shrink from the current 72 per cent to 52 per cent. This is expected to significantly boost the sales of consumer durables.

Net, Net Gain
Indians are taking to the world wide web in a big way, outpacing the US and China in terms of online population. The total online population, aged over 15 years accessing the net, in India rose 7.8 per cent to 18.02 million in June, from 16.71 million in March. The growth in the country's online population outscores the rise of 2.7 per cent in the world's online audience size, which rose 713 million in June, from 694 million in March this year. A look at the unfolding revolution.

Surge In Exports
Indian exports are on a healthy track, touching $100 billion this year. Merchandise exports for 2005-06 rose approximately 25 per cent over the previous financial year. Exporters have widened their market base. In 2004-05, services exports grew 71 per cent to $46 billion and by January 2006 had surpassed the previous year's performance with 75 per cent growth. Interestingly, Indian companies are making gains in non-traditional areas like Africa and Latin America.

New Harvest
Reliance Industries, ITC, Godrej and Pepsi are just a few companies eager to enter contract farming in a big way. These companies are looking at the irrigated field of western Maharashtra to pursue investment plans. An analysis of how far contract farming has come, and what needs to be done to plough ahead. Will contract farming mean more jobs, regulated farming and changing crop patterns?

Soaring Suburbs
Suburbs are the new growth engines. Gurgaon, Noida, Thane, Howrah, Kancheepuram... the list is endless. With the realty boom continuing, suburbs are fast catching up with cities in spreading the consumer culture far and wide. With the rising population in suburbs, marketers now have a new avenue to spread their message. A look at how suburbs are leading the way.

Trading Days
The World Trade Organization talks may have failed, but developed and developing nations have very little to gain from stalling negotiations. Nations are already trying out new permutations and combinations in forming alliances, and regional blocs; free trade agreements are the order of the day. An analysis of the gameplans of various regional economies in furthering their interests.

E-Learning Takes Off
In the knowledge economy of the 21st century, the power of e-learning is unfolding at a furious pace. IDC estimates the e-learning industry is about $10 billion in size. Education over the internet is big business, and IBM, Microsoft, NIIT, among others, are raking in the moolah. Large banks and other training-focussed institutions and universities worldwide are turning to web-based classrooms for disseminating knowledge.

The Middle Path
The Indian middle class is seen as the driving force behind the retail revolution in the country as well as its future economic growth. Incidentally, this group, along with its counterparts in China, Russia, Brazil and other emerging economies, has outscored a host of who's who in the global arena in a list of Top 50 People Who Matter published by Fortune. A look at how the middle class has evolved over time.

Sailing Season
There's no two ways about it; India needs better port infrastructure. A beginning has been made on this front-more than Rs 55,000 crore is expected to be pumped into the sector. There are other problems as well: the growth contribution of the western ports is more than 68 per cent compared to 9 per cent in the case of the eastern ports. The sector now has the opportunity of putting its ship in order, correcting regional imbalances and starting afresh on an even keel.

Parade Of Professionals
A world trade organization committee has come up with suggestions to make licensing and qualification requirements and procedures more transparent and less restrictive for professionals. The push for mutual recognition of degrees wherever possible is good news for Indian professionals seeking work opportunities in the US and other developed nations. An analysis of the obstacles in the path of Indian professionals and the way forward.

Oil On Boil, Again
Oil is hitting new highs after a US government report showed strong fuel demand in the world's top oil consumer. Prices also drew support from international tensions ranging from Iran's nuclear ambitions to North Korea's missile tests. Adjusted for inflation, oil is more expensive now than at anytime since 1980, the year after the Iranian revolution. A look at how oil is affecting economies, and what's in store for nations.

Driving The Market
India is becoming key to the growth plans of global auto makers as its emerging market and low-cost manufacturing base offer an alternative to rival China. To cite just one example, Japan's Suzuki Motor Corp has said it would build a new compact car in India for Nissan Motor Co to sell in Europe. India's passenger vehicle market is only a fifth of China's, but is forecast to nearly double to two million units by 2010.

Date With Dragon
The 44-year-old freeze in trade relations between India and China across the 14,600 ft Nathu la border thawed. For the moment, trade would be restricted to 29 items for export from India and 15 for import. There are demands that the border trade should widen to full-fledged Sino-Indian bilateral trade that can actually benefit the economies of both nations. A look at the wider trade options for both the Asian giants.

April 30, 2006

Monsoon Tourism Takes Off
Tourism is the second largest industry in India, generating over 25 million direct jobs. In recent times, monsoon tourism has seen a big boom, thanks to price cuts in holiday packages, attracting budget tourists. With the south-west monsoon setting in, tourists are being offered a unique ambience of the season for unwinding and rejuvenation. A look at the new tourist season.

Outsourcing Pulse
The Indian medical transcription outsourcing industry is on its feet again. The latest Nasscom report shows at least 150 companies are engaged in medical transcription in the country. The sector is clocking an annual revenue aggregate of about $240 million (Rs 1,104 crore). There is more to come, what with hike in healthcare costs in the US and increasing regulatory emphasis on digitisation of medical records.

Small Is Beautiful
IBM, Cisco, Oracle, EMC, Microsoft, HP, Intel and other big companies are chasing small and medium businesses with diverse product offerings. According to market research firm Access Markets International, there are over 7 million SMBs in India. Their IT penetration is relatively low; less than 2 per cent of their turnover. Analysts suggest their information solution needs are growing at 150 per cent a year.

Widening Video Ad Market
The $12.5 billion global online advertising market is poised to grow. As broadband penetration increases, eMarketers are eyeing opportunities to tap the online video ad market, which is set to cross $1.5 billion by 2009. With major portals such as AOL and Yahoo re-inventing themselves to showcase more multimedia and interactive elements, sky seems to be the limit.

Flying High
Outsourcing is taking wings and how. Flight training is moving overseas with aviation boom creating a huge shortage of commercial pilots in India. The country will require anywhere between 2,500 and 4,000 pilots to fill cockpits over the next six years. Eyeing the market, institutes in the US, Canada and Australia are offering tailor-made courses. A look at the flying season.

New Look
The botox craze is on. Plastic surgeons' clinics are full. According to a recent report, more men in India are opting for plastic surgery than those in America. Executives, teachers, housewives are ready to spend big bucks on a variety of dramatic operations-nose jobs, liposuction, among others. With beauty becoming more than skin deep, here is an analysis on the new health market.

Checking Card Frauds
India is not the biggest market for credit cards, but it is among the fastest growing markets. Yet, scamsters have already started targeting the growing industry. With the result, credit card frauds are eating into the wafer-thin profit margins of banks and payment operators. Now, the banks, payment operators, and card manufacturers are trying to innovate safety features faster than the fraudsters can crack them. A look at the latest innovations in 'plastic' technology.

Talent Hunt
The rapid growth in the IT and BPO industry is expected to lead to a shortage of manpower in the coming years. Currently only 50 per cent of the engineering graduates in the country are employable. If the top IT companies continue to grow at the current pace they will absorb all of this. Experts argue that the government should take steps to improve the existing education infrastructure in the country.

New Prescription
The rapid growth in the IT and BPO industry is expected to lead to a shortage of manpower in the coming years. Currently only 50 per cent of the engineering graduates in the country are employable. If the top IT companies continue to grow at the current pace they will absorb all of this. Experts argue that the government should take steps to improve the existing education infrastructure in the country.

Food For Thought
After several years, India is buying wheat from international markets. The government has announced plans to purchase 3.5 million tonnes. The decision is prompted by rising prices in wheat markets where the government has been unable to compete with private domestic purchasers. A look at food trade flows, and what’s next.

E-commerce: The Road Ahead
With distances being bridged by e-commerce, the value of transactions across cyber space in India is projected to hit Rs 2,300 crore in 2006-07. The online business is proving to be a boon for new age entrepreneurs as this saves them the initial investment in a store.

Fixing FTAs
The debate on free trade agreements continues to rage. With Asean putting pressure on the Indian government to lower tariff on imported items, the opposition to FTAs is expected to grow. With even UPA chairperson Sonia Gandhi expressing reservations on FTAs, what is the best way to protect the domestic industry and the farm sector?

Trade With Neighbour
Bilateral trade between Pakistan and India almost doubled to cross the $1-billion mark last year. The $400-million increase in the year ending March 2006 was attributed to the launch of a South Asian Free Trade Area Agreement (SAFTA) and the opening of rail and road links. A look at the growth prospects between the two countries.

BRIC Vs The Rest
The BRIC (Brazil, Russia, India and China) nations should surpass current world leaders in the next few decades if they do not let politics prevail over economic issues. Experts caution that despite the vigorous growth, BRIC countries are vulnerable to losing direct foreign investment due to excessive government control and lack of clear rules for the private sector.

Tackling Trade Issues
With the missing of mini-ministerial deadline, and World Trade Organization talks in a limbo, developing nations are in a fix. India has made it clear to the WTO Director General Pascal Lamy as well as to the developed world that clash over farm subsidies by the us and Europe bodes ill for all. A look at the evolving trade strategies of the developed and developing nations.

Summer Rush
A buoyant economy, with increasing disposable incomes, is fuelling the growth in India’s tourism industry. More Indians are travelling now than they have ever done in the past. A look at what the tourism industry can expect this summer.

Labouring Market
Globally, a ‘flexible’ labour market seems to have become the mantra of those pushing for high growth. In India, an amendment to Industrial Disputes Act, 1947, is being discussed. Will it mean just hire and fire? A look at the issues and what they mean.

Will Indians Play?
The video and computer games market is now worth billions of dollars. As more and more Indian homes get wired, there are opportunities galore for the enterprising. Will India, known for its software and animation skills, be able to increase its market share in the global gaming pie?

February 13, 2006

Retail Boom
A retail boom is sweeping across India. As talk of opening up of foreign direct investment gains momentum, will single brand retailers show the way? With the growth of malls, multiplexes, and hypermarkets, is consumer really the king?  

The Big Crisis?
Millions of people in the world are deprived of potable world. With big water firms not keen on investing in poor countries, developing nations are at a loss to quench the thirst of their population. Is water the next big crisis?

Export Scenario
For the first time, Indian exports have touched the golden mark of $100 billion. That’s also an impressive 25 per cent growth in exports in fiscal 2005-06 over the previous year. A look at the sectors performing well, and those that are languishing.

Green Future
Agriculture contributes one-fourth of the country’s Gross Domestic Product (GDP) and has around 410 million people relying on it. Low farm productivity and lack of investment in farming have led to a decline in growth rate. A look at the farm policy and what lies ahead for the country’s hinterland.  

Health Check
India’s healthcare delivery mechanism may not match global standards, but medical tourism is set to boom in the country. Medical tourism can prove a real moneyspinner, but before that we need to overhaul the medical system. A look at what needs to be done to get the prescription right.

Wrong Call
Irate calls are a mainstay of customer service work in any country. Experts believe centres in India became targets of a vicious campaign a couple of years ago when the us economy took a nosedive. The stress caused by abusive calls is seen as one of the reasons for high attrition rates at call centers. A look at how BPOs are coping with it.

Insurance: The Challenge
India is poised to experience major changes in its insurance markets as insurers operate in an increasingly liberalised environment. It means new products, better packaging and improved customer service. Also, public sector companies are expected to maintain their dominant positions in the foreseeable future. A look at the changing scenario.

Trading With Uncle Sam
The United States is India's largest trading partner. India accounts for just one per cent of US trade. It is believed that India and the United States will double bilateral trade in three years by reducing trade and investment barriers and expand cooperation in agriculture. An analysis of the trading pattern and what lies ahead.

Road Ahead
A recent survey pointed out that India's roads, airport and port sectors require a steep Rs 2,60,000-crore investment in the next six years. To speed up infrastructure development in the country, a well-defined regulatory mechanism is the need of the hour. A look at the government policies in the sector and India's growth prospects.

Trade Battle Hots Up
The never ending fight between European Union and the US has taken another twist. The EU has threatened to impose up to $4-billion-worth of sanctions on the US, after the WTO upheld a ruling that the latter failed to end an illegal tax rebate for exporters. Analysts believe that us now has three months to act to avoid the reimposition of retaliatory measures. A look at the flare up.

The Security Angle
The use of information and communication technologies is often seen as a means for making improvements, but in practice it is not all good. The challenges and threats including manipulation, disclosure, modification, or damage and loss of data is also a part of it. Understanding information security is equally important for both developed and developing nations to protect their information assets. Will they be able to tackle this growing menace?

Campus Notes
After the Indian government's approval to the Indian Institutes of Management to set up shop abroad, IIM-Bangalore's ambitious plan to open a campus in Singapore is finally ready to take off. IIM-A is also taking the first plunge in Singapore as it plans to start a management course in collaboration with the Essec Business School. Is this phenomenon of Indian B-schools going abroad the next big thing?

e-Credit: What Next?
In most developing countries financial service providers are not yet in a position to use modern credit risk management techniques. Many developing economies still need to establish functional credit information systems in order to improve the quality of financial information. Will they?

BPOs On The Move
In the past two years, the BPO sector has recorded above 50 per cent growth year-on-year. The entry of new players has resulted in poaching of employees. Salaries at the entry level have risen 10-15 per cent, while zooming 25-30 per cent at the top level. A look at the changing trends in the BPO sector.

Rural Mural
The government has launched one of the country’s most ambitious efforts to tackle rural poverty. The National Rural Guarantee Scheme promises 100 days of work each year for one member from each of India’s 60 million rural households. A look at past schemes, and what the future holds for the masses?

November 3, 2005

Oil On Boil
A surge in oil prices to almost $70 a barrel on concerns about the restart of Iran's nuclear programme only hints at what may lie ahead? Experts believe prices could soar past $100 a barrel if the UN Security Council authorises trade sanctions against the Middle Eastern nation and Iran curbs oil exports in retaliation. A look at the unfolding energy scenario.

Scrolling E-Tourism
As consumers increasingly look for tailor-made vacations, e-tourism is taking a new shape. Now, search engines are allowing customers to find the best value or lowest price for air tickets and hotels. Here is a look at global trends.

'The Intel Brand Has To Move Beyond The PC'
As its marketing head for five years, he's credited with having turned the Samsung Electronics into a globally cool consumer electronics brand. For 51-year-old Korean-American, Eric Kim, Vice President & General Manager (and Head of  Marketing) , Intel Corporation, the challenge now is to change  how the world sees the chipmaker, not a PC-component maker, but the enabler of a digital lifestyle. On a recent visit to India, Kim spoke to BT's Shailesh Dobhal. Excerpts.

INTERVIEW WITH GIOVANNI BISIGNANI
After taking over the reigns at IATA, Giovanni Bisignani is in the cockpit directing many changes. His experience in handling the crisis after 9/11 crisis is invaluable. During his recent visit to India, Bisignani met BT's Amanpreet Singh and spoke about the challenges facing the aviation industry and how to fly safe. Excerpts.

"We Try To Create A Joyful Work"
K Subrahmaniam, Covansys President and CEO, spoke to BT's Nitya Varadarajan.

"It's Not All About Pay Cheques"
Pramod Bhasin, President and CEO, Genpact, speaks to BT's Archna Shukla.

"We Create A Company For First Timers"
Vineet Nayar, CEO, HCL Comnet, speaks to BT's Sahad P V.

"Every Employee Should Feel A Part Of The Success"
Aditya Puri, Managing Director, HDFC Bank, speaks to BT's Anand Adhikari.

"Never Go Public With Your Disappointment"
Niall S K Booker, CEO, HSBC, speaks to BT's Krishna Gopalan.

"Infosys Is A Fair And Democratic Employer"
Infosys CEO Nandan Nilekani speaks to BT's Rahul Sachitanand on the company's people practices. Excerpts.

"We Try to Create a Joyful Workplace"
Mindtree CMD Ashok Soota spoke to BT's Rahul Sachitanand.

"Some Churn Is Always Good"
C.P. Jain, Managing Director, NTPC, spoke to BT's Ashish Gupta.

"Our Purpose Is Enabling Human Potential"
Sapient's Co-Managing Directors Soumya Banerjee and Changappa Kodendera field questions on the company's culture to BT's Amanpreet Singh. Excerpts.

"I Don't Believe In Time Cards"
Sasken CEO and Chairman Rajiv Mody speaks to BT's Rahul Sachitanand.

October 7, 2005

Omnicom Growth Curve
 The Omnicom Group comprises three global advertising agency networks - BBDO, DDB and TBWA. In India, the presence is through RK Swamy/BBDO, Mudra and TBWA/Anthem. Omnicom Group Inc's Vice Chairman and President & CEO, Asia Pacific, Michael Birkin spoke to BT's Krishna Gopalan on the way forward for his conglomerate in India. Excerpts.

Jessop & Company rises from the ashes

Q&A: Dr Kevin Freiberg, author, on low-cost airlines

Global Franchise Architects plans to expand in India

Outsourcing to Symphony Services

The Philips India story

The rebirth of HR consultants

IT's newest dirty secret: over-invoicing

Perlecan Pharma: Dr Reddy's latest gambit

June 19, 2005

Retail Conundrum
The entry of foreign players, and FDI, could galvanise the retail sector and provide employment to thousands. Left parties, however, feel it would push small domestic players out of jobs. What is the real picture?

The Foreign Hand
Huge spikes and corrections in the BSE Sensex have lately come to be associated with the infusion and withdrawal of capital from foreign institutional investors (FIIs). Are India's stock markets becoming over dependent on FIIs?

Changing Equation
Mid-rung Indian pharmaceutical companies such as Lupin, Torrent, Strides Arcolab and others are looking at global acquisitions to bolster their product portfolios and growth prospects. Will the strategy pay off?

State Of Apathy
Lesson from Mumbai: India's cities are dangerously ill-prepared to tackle nature's fury. Here's what India's CEOs think of her urban hell-holes.

Fly Cheap, But...
Low-cost is the way to go for India’s booming airline industry. But is airport infrastructure ready for the coming flood?

Q&A: Dayanidhi Maran
In an exclusive interview to BT, the Minister for IT & Communications elaborates on 3G spectrum allocation and other issues dogging the sector.

Fuzzy Logic
Now we have two actors reading the day’s news on a leading news channel. Are we trivialising a serious genre?

Adieu, Cricket?
Narain Karthikeyan, Sania Mirza and Pankaj Advani, among others, could end cricket’s domination of India’s mindspace.

Bike Wars
The battle for dominance of India's bike market intensifies with Bajaj Auto's launch of the 175-cc cruiser Avenger at a competitive Rs 60,000. Its rivals, though, aren't sitting idle, and promise a virtual bonanza for the consumer.

Security Check
First, it was Mphasis. Then, the Karan Bahree sting operation by UK tabloid, The Sun. The bogey of data security appears to be rearing its ugly head in right earnest. How can the Indian call-centre industry address this challenge?

Redefining Consumer Finance
Jurg von Känel, a researcher at IBM's J. Watson Research Centre, 
and his colleagues are working on analytical software that would simplify consumer finance and make it more secure as well. An oxymoron? Känel doesn't think so.

Monsoon Business
The economic agenda for Parliament this session. And what it could mean for India Inc. if the Government actually manages to get some work done.

June 5, 2005

Sabeer Bhatia
The poster boy of the Internet boom is back, this time with a collaborative software product that he is touting as the next big thing.

Biotech's Allure
The Aditya Birla Group is reportedly mulling a foray in biotech. What is it about the sector that’s drawing India’s big industrial houses like the Tatas, Reliance, and now the Birlas?

Cognac: The Right Stuff
Hennessy gets serious about India with a study-trip-cum-launch on the heritage circuit.

TRI*M Dope
TRI*M methodology says: “happy employees = satisfied customers”. Meet the man behind it: Joachim Schariot.

May 8, 2005

Birds Of A Feather
How much are you willing to pay for intellectual matter? It’s the clash of the ‘penguins’. Penguin, Pearson’s book publishing brand, is all set to test stiff new price points for Hindi books in India. Linux, meanwhile, is still waving the ‘free information’ placard about. Which penguin do trends favour?

Lyrical Liril
Liril soap has gone in for a brand makeover, from package lettering to advertising libbering. The waterfall is now a bathtub, the hot swimsuit is now a red chilly, and the soundtrack takes a mid-twist. 

Plucky Santoor
For a brand of soap named after a musical instrument, Santoor runs a curious ad campaign—featuring a mother who defies age to retain her bridal look. It’s a theme that defies fads.

Café Diversification
This is not about the liquid, it is about the people who consume it, say café chain whiz-kids, and how they are engaged. This argument justifies an interesting variety of diversifications. But is this just a clever way to calm jitters from raw material volatility?

April 24, 2005

Formula Racing
First, it was motoring enthusiasts. Then, it was advertisers. And now, all of a sudden, it seems to be just about everyone around. Formula I racing is attracting interest in a country that's yet to get its first track. And it is altering expectations--of motoring infrastructure, to begin with.

Ferrari Ferment
Is Ferrari all about snazzy design of superb engineering? And how is it that the Formula I circuit is the only place this sports car brand seems to have anything resembling pole position?

Goodyear Gracious
Think Goodyear, think the Goodyear blimp in the sky. The brand remains associated inseparably with the idea of such advertising. But its origin as an accidental innovator is more appealing.

April 10, 2005

Fashionably Chinese
China, say marketers, the kind who believe in touchy-feely research, is better understood not by all the statistics that forever hold economists in thrall, but by what is actually going on in such arenas as fashion. So, what's going on anyway? Here's an attempt to find out. Through a thoroughly unscientific sample survey of China's fashion scene.

Versace
It's a name everyone who can spell 'fashion' has heard of, but a name very few in India can explain the actual significance of.

Jani-Khosla
This duo has been on the Indian fashion scene ever since anyone can remember. But what accounts for their longevity as a brand?

March 27, 2005

Into The Light
So-called ‘below-the-line’ promotional activities, which had gained much prominence in the marketing mix over the past few years, are suddenly under attack on several fronts. Here’s a look at the arguments against below-the-line, and at whether it means more bucks for regular old advertising.

Cola Cash
The cola season lifts off with a cash promotion from Coca-Cola to match a ‘secret agent’ promotion from Pepsi. 

Tea Rejuvenation
Branded tea marketing gets on to coffee territory, even as coffee brands go out to convert tea drinkers to the be any brew.

March 13, 2005

Selling Value Addition
So-called ‘below-the-line’ promotional activities, which had gained much prominence in the marketing mix over the past few years, are suddenly under attack on several fronts. Here’s a look at the arguments against below-the-line, and at whether it means more bucks for regular old advertising.

Loud Cloud
In the battle for cultural mindspace, the portrayal and perception of clouds can be quite revealing. Clouds tend to signify bad news in cold countries, good news in hot countries. But Hollywood is leaning the Bollywood way.

Bunny Habit
In the battle for marketing iconography, the portrayal and associations of rabbits can be interesting, too. On this front, whether it is the magician’s hat, magazine centrefold or alkaline batteries, the West wins.

February 13, 2005

F&B Mythbusting
Just what is happening in India’s booming food and beverages (F&B) business space? One helluva lot, according to Sujit Das Munshi, ED, ACNielsen South Asia. Log on for an exclusive column by him that doesn’t just look at ‘share-of-appetite’ trends that F&B professionals cannot afford to miss, but also junks some preconceptions of the Indian palate.

McSwoop
McDonald’s, with a new CEO back at heaquarters, is lowering a price bait to lure the budget-conscious Indian on-the-move bite-grabber. This fits into a broader strategy of multiplying customers that includes reaching out to McSceptics.

Black N' Blue
Johnnie Walker, having entered upper-crust Indian mindspace ever so discreetly with its understated Black Label campaign, is looking for a new path for its ambulatory ambitions. This time, it’s for JW Blue Label.

From Start To Finnish
Finland invites Indian firms to join hands in mapping the entire hardware-software value chain.

Budget 2005 Online Special
A special Ernst & Young report on the scenario in several sectors pre-Budget, and what they look like post-Budget 2005.

January 30, 2005

Turning One
National Commodity and Derivatives Exchange (NCDEX) has turned a year old. And what does it have to boast? Some 550 members and 5,500 users in 400 cities and towns in India. The average trading volumes are in the range of Rs 2,000 crore a day, and increasing numbers of people are getting interested in commodities—especially agricultural—trading.

Marks & Spencer
The retail brand has been involved in a curious takeover battle in the UK. In India, however, it is struggling with the very pertinent question of affordability. Is this brand trying to shake off its elitist tag by snipping prices?

Hanes
This is a brand very few have heard of in India, but has quickly broken the clutter on television through some aggressive advertising that both amuses and makes the viewer wonder. Has this brand a big future in India?

January 2, 2005

FDI Confidence
According to an FDI Confidence Index devised by the consultancy at Kearney, India is #3, up from #6 in 2003, just after China and the US. It sounds very impressive, but just what does it imply? Also, the FDI trend around the world needs to be turned around too. A roundup, online.

China Confidence
The AT Kearney report bills China as the topper of the FDI Confidence chart. Here’s a look at some of the reasons that this whopper of an FDI-puller remains such a hot draw across the world.

US Confidence
The US has always been a hot magnet for FDI, and the reason for that is the most obvious in the world: it is the world’s biggest economy. But that does not mean that the confidence level does not vary.

December 5, 2004

Cities On The Edge
Favoured business destinations Gurgaon, Bangalore, Chennai, Pune and Hyderabad could become, thanks to poor infrastructure, victims of their own success. Read in-depth articles on each city. Plus personalised travel logs. Only at www.business-today.com.

Moving On
Diluting stake in GECIS was like a child growing up and leaving home, feels Scott R. Bayman, President and CEO of GE India. In an exclusive interview with BT, he speaks his mind on a wide range of issues.

The New GECIS
Pramod Bhasin, President and CEO of GECIS Global, has ambitions of making the new-look GECIS the biggest and the best provider of BPO services in the world. He speaks to BT on his plans for the company.

Trends 2005

October 10, 2004

The iPod Effect
Now you see it, now you don’t. All sub-visible phenomena have this mysterious quality to them. Sub-visible not just because Apple’s hot new sensation, the handy little iPod, makes its physical presence felt so discreetly. But also because it’s an audio wonder more than anything else. Expect more and more handheld gizmos to turn musical.

Panasonic
What route other than musical would Panasonic take, even for a phone handset, into consumer mindspace?

Motorola
That the ‘sturdy device’ guys should turn to music is a surprise. Or maybe not. Is there synergy?

LG
That the ‘sturdy device’ guys should turn to music is a surprise. Or maybe not. Is there synergy?

Voice Of Bibliographica
Audio books didn't kill paper books. Then came the internet, and web 
books were supposed to be giving book publishers nightmares—till 
Amazon turned out to be the top website, and its chief effect was 
to send paper book sales soaring. So why is anyone still excited about 
audio book releases? Depends on the book's context.

September 12, 2004

Q&A: Montek Singh Ahluwalia
The celebrated Deputy Chairman of the Planning Commission speaks to BT Online on the shape of post-liberalisation planning to come. What prompted his return to India, what exactly is the Commission up to, what panchayats mean to India's future, and yes, the relevance of Planning in the market era.

Of Mice...
Mouse-click yourself any which way in cyberspace; why net-surfing plans are such a drag.

If Know Them Better You Must...
Go online for detailed profiles of The 25 Most Powerful Women In Indian Business. For that's the odd thing about power. No matter how well you think you've understood it, there's always something more that you would want to know. Do log on.

August 29, 2004

Farm As A Freeway
The World Trade Organisation’s latest agreement in Geneva has come as a relief to all those countries that had almost given up on Western countries reducing farm subsidies. At long last, they have budged on this sore point of the Doha round. But what about non-tariff barriers? Farm trading remains riddled with problems.

Sugar Trade
Sugar production has its own share of world trade quarrels. A non-sweetened look at the scenario.

Coffee Trade
A roundup of the second most valuable traded commodity in the world. That caffeine thing.

Oil Trade
A quick snapshot of the world’s most heatedly traded commodity. Oil. But not the Moby Dick kind.

August 15, 2004

The Bottle Is It?
With Neville Isdell the new boss in Atlanta, The Coca-Cola Company is busy reinforcing its bottling operations in its strategic scheme of global success. Distribution ‘push’ is the new game. But will this weaken the ‘consumer pull’ of its brand? Will it be more about chiller-space than mindspace?

Whiz Craft
Arrow has slowly been sharpening its appeal. Quiver constancy, though, could still take some time.

Durability Device
Durex is finally talking the brand talk. This may be a strategy that’s too compelling for rivals to ignore.

Ketchup Song
Heinz deserves credit for selling patience, originally, in an accelerating consumer world. Will it get any?

July 4, 2004

Q&A: Jim Spohrer
One-time venture capital man and currently Director, Services Research, IBM Almaden Research Lab, Jim Spohrer is betting big on the future of 'services sciences'. And while at it, he's also busy working with anthropologists and other social scientists who look quite out of place in a company of geeks. So what exactly is the man-and IBM's lab-up to?

NBIC Ambitions
NBIC? Well, Nanotech, Biotech, Infotech and Cognitive Sciences. They could pack quite some power, together.

Neuromarketing
Market research is extending its probing tentacles deep into the consumer brain. Is it any good?

Blind Tests
The classic cola-testing format isn't dead yet. Why blindfolds still help sell fizz.

Attention Span
Telecom, civil aviation and insurance share this in common: they are all markets that have government-imposed entry barriers for varied reasons. This alters the dynamics of competition in these markets, and in different ways. But still, they must all hope for a customer with a long attention span.

June 6, 2004

Market Research Jitters
Market research (MR) has its fans. But these days, you'd have to hunt high and low for them---the result, partly, of what the recent 'exit polls' have done to this statistical discipline's reputation. The problem: people, when asked, often tell you what they think you want to hear rather than what they really think.

Maggi 2 or 5?
Say 'Maggi', you get '2 minutes' in response. But the brand is talking '5' all of a sudden.

Groan Groan
The one '5' Indian can do without is the ghost of the Five Year Plan as central to the economic agenda.

Team Sense
Are smaller teams better teams? Does basketball display better teamwork than, say, football?

May 23, 2004

Competition As Ad Adrenalin
There is nothing like the adrenalin shot of a competitor you can't take your eyes off, according to many a marketer. Competition is just what every brand needs. Has competition from Joyco's PimPom lollipops, for instance, helped Alpenliebe turn in the advertising performance that makes it so popular?

Choice Contest
'Thanda matlab' Coca-Cola owes some of its success to the very very of Pepsi as an archrival.

Lo Limp Scene
Britannia advertising has its own spur in the competition offered by Parle-G, the topseller still.

Airwave Attention
Hutch's campaign achieved what it did in the context of strong airwave rivalry from Airtel's own.

May 9, 2004

Form And Function
Marketers of FMCG products are periodically accused of allowing their zest for 'form' overtake their concern for plain and simple 'function'. Meanwhile, right now, everybody agrees that the industry is in need of some innovative breakthroughs. But of form or function? Should this be an issue?

Tommy Hilfiger
Here's a fashion brand with an interesting identity crisis, new to India.

Vanilla Ice
Under pressure, the world's only 'real' cola takes an interesting new route to consumer mindspace.

Bacardi Mast
With this brand strapped to the mast, the white spirits ship won't be content passing unnoticed.

April 25, 2004

Q&A: Jagdish Sheth
The originator of the 'Rule of Three' and Charles H. Kellstadt Professor of Marketing at the Goizueta Business School, Emory University, has been conducting brand workshops in India. But being an Emory professor, of marketing too, the one question he can't escape is what he makes of the Coca-Cola Company's succession quandary.