Who wants to do business here anyway?

India has been ranked 134th out of 183 countries for the 'ease of doing business', tought for the analyst who think India has globalised and libralised from red tape since last two decades. The poor performance emerges from the lack of sanctity of the contract system between the players. Be it corruption or speed money this is rocking the business world in dealing with Indian system of functioning. No matter what we do, it is failing in keeping the promises. The example of Common Wealth Games (CWG) mired with controversies refuses to pay to its international suppliers, coursey, Kalmadi and Co. The 14.0 Lakh crores worth MoU signed in Gujarat, would take years to materialise, the system is pathetic. The small and medium enterprise cannot think to survive in this scenario. Govt and their department just does not hounour the contracts, it takes numerous communications to get through your money.

As someone rightly points INDIA is business logic ' I'll Not Do It Again'.

Even though Anna's anti graft movements has raised the corruption, this Diwali could not be less merrier for the Govt. officials, who lapped up gifts, with both hands. Some even heard to have supplied gold and silver bars to the state secraterate in Gujarat. Just to boost business the gratidute is given to the babus and political masters, to ensure your ability to do business in India. The state govt's is also no exception in accepting the speed money from over the table in country. The fearlessness of the system would not go just because Anna and Co wanted, because it feeds on self, the system is prone to such attitude.

India cannot expect to have 'Arab' revolution or Capturing of Wall street, we can at best 'tweet' to rest in our residences, allowing the poor traffic walas to take his share of cake. The political system right from the local councellors to the state cheif, is marred with steep rise in rates post diwali asking for more. What they say of Anna, thats for his carrier and people who join them, we raise the toast. Alex says, 'Those who wonder where are the corrupt persons, we all must say, its here..its here..its here'. Amin!!

The dance of capital in Globalised world continues..

The billionare lists prepared with much funfare world over, has made true joke of the present economic crisis in the US and Eurozone. The capitalists continue to maximise their wealth not loosing sleep over the present crisis. The recent news about Hindujas Manson in UK and million dollar, CEOs and professionals salaries in top companys would make the rest of world and country envy about their position. Its given same explaination that these neo-rich work harder to have earn their rights to encash their labour, the maximum of ownership even in this era of public companies not being corrected. The capturing of the wall street in US by commoners is representation of the growing antithesis about the march of capital. But these efforts in the US can not be equalled to what is happening in Egypt or Libya. At least they had targetted the persons who not only cornered the money but has dominated their life ever. The new capitalists also dominates but through its art and science of capturing the market, this would often create and positive sense. People in general are not averse to these, only they become jealeous for the targets capital which they themselves would not be able to acheive.

India, has also thrown the billionare club and more so is joining, some by their right while they own (??) a large public enterprise and some by their might. Among such is the liquor barronm Mr. Mallaya refuses to be mowed down by present aviation crisis, would bend the governments to facilitate his exit from the situation. It is clear that they have mismanaged their economic interests in businesses, would now force the government of India to garner more funds from the across the world, thus inviting the MNC to take over. Why such bending of rules or facilitating them is evident, ya we all know they run the government in proxy.

Capital has helped the political Class. They have printed hoardings, put politicians on charted flights to world trip, played in casinos to encash their fortunes, helped most of them to open Swiss Bank account. Why would then they keep silence on the any wrong doing by fleecing the consumers, land owners, financial institutions and governments at local level. They do not see existance of city government, only interact with the PMs and head of state. Their art of negotiation with the government is immense, as if they belong to different breed and have special citizenship status in country.

A normal citizen would have end number of difficulties in getting into the government headquarters whereas these neo-capitalists would sit in their offices, car and residences just because they belong to their place. Rest do not matter.

Nurturing Growth through innovation

Innovation has lost its face in upcoming globalization, due its efficacy in converting the idea to identifiable products. The imperfaction in the market machanism does not allow the innovator to turn their ideas into profitable business. Often the big businesses turn to innovators to germinate and take advantage of such ideas. The increase in the design competitiveness shows uneasy practices, lacking support to the budding enterpreneurs who are from the Small and Medium industries and onslought of the big leaders. Often the external markets does not reponse to such innovation unless the product itself is taken with mega investment and convert the small idea into big within very small time.

The capital intensive investment and lack of confidence of the financial institution on the innovators is due to declining risk taking abilities of such institutions and organisations. The established businesses and ideas take priority over the new and innovative ideas. Yet people like late steve Jobs could measmerise give the size of capital owned by him and Microsoft leveraging on the ideas or just buying the young companies killing and taking over the innovation at the initial stages.

Such a march of capital in the countries like India and its developed states like Gujarat should be taken as warning to the small and medium enterprises, struggling to innovate or simply following the large enterprises for thier business channel. Its always risky given the share and command of these large industries over the segments, like auto giants would risk and poorly compensate their illfated decisions to their channel supplier mostly SMEs and innovators vying for eye of mega industries. Such a situation and associated risks are never transfered to mega industries as SMEs would have desired, thus killing any desire to think new and big.

The creation of entry barrier now by state in assisting the mega industries, kills the nurturing process of SMEs instead they become scape goat in the globalised economies. The watch dog regulatory bodies would take little action to manage the affairs.