Archive for the India Category

The growth of India over the next fifty years will mirror the growth that took place in North America over the past 200 years. An evocative book that captures this story is the Pulitzer Prize winning effort of Daniel J. Boorstin’s The Americans: The Democratic Experience.  The author traces the creation of myriad institutions in North America as it grew from a former colony of the British to the pre-eminent economic and social model of the last century. This story’s own context is starkly different from India. But the analogy of the story is helpful : institutions were created in a new country which had a different geographic, demographic, intellectual and emotional setting from Europe. The USA had a strong European intellectual influence to start with, but the reason it succeeded is because it adapted that mindset to suit its own environment. They created a national university system, which moved learning beyond the Ivy League colleges, they perfected an insurance network, they created a food distribution system, they invented an aerospace industry, where starting from PanAm onwards aviation brought the death of distance. India will have to create similar institutions and systems over the next 50 years. Boorstein also eloquently demonstrates that the process of building a nation is a two step forward and a one step back process. The important message though is that some of the seemingly ‘impossible’ problems India faces today were faced by other countries as they grew from a young nation to a mature democracy. When we are faced with those difficulties, we also need to take a long- term view and keep that positive frame of reference that comes across in Boorstin’s work.

However, as North America became a successful industrial nation powered by oil, Model T cars and the threads of Amtrak that started criss-crossing its vast land mass, Boorstin warned of the dangers in blindly following existing, ‘successful’ models and the ‘momentum’ they generate. He said: ‘The sense of momentum which overwhelmed Presidents burdened ordinary citizens. ….. the future of American civilization could not fail to be determined by the mass and velocity of enterprises already in being… Fewer decisions of social policy seemed to be Whether-or-Not as more became decisions of How-Fast-and-When.’

As globalization has made the world a smaller place, a number of emerging countries like India run the risk of not asking Whether-or-Not questions. As India starts accelerating forward in its own ‘democratic experience’, we have to be careful of not heading down the How-Fast-And-When tunnel. At the start of its own journey, North America borrowed its intellectual heritage from Europe, but moulded it to the reality of North America, and we face a similar challenge at this juncture.

What we must adopt from the West is the spirit of scientific inquiry. But the age of networks, electrons, biotechnology, agri-business and relevance of intangible assets must warn us against creating mechanical institutions. As this is the beginning of our own development journey, we can use and connect with the Indian mind which has always respected knowledge and respects service.

Recent environmental awareness in the developed world is asking fundamental questions of the industrial civilizations of Europe and North America. Commentators have declared that the ‘demand for carbon-free power is about to become the most disruptive force since the Internet’, and a new world-view is being called upon to stem the damage that may already have been caused by the industrial sprint of the past 200 years. In this context, China is already well down the how-fast-and-when tunnel by building large factories, industrial plants and carbon intensive industries. India, till recently seemingly a laggard in industrialization, still has an opportunity to ask whether-or-not questions, and perhaps put a healing balm on the Industrial damage already underway.

An even more important lesson from the ‘democratic experience’ is the dynamics of democracy. The real fruits of democracy come when citizens ‘work’ their democracy, when they engage to build institutions. More than the Roosevelts and the Kennedys, it was the cattle rancher and the railroad pioneer who built USA. Modern India and its race forward will be shaped not only in  state capitals but also by the bottom up entrepreneurial innovations taking place across the nation. India’s progress will take place not only in the halls of  Parliament, but by the various mini institutions that we visited during our travels. India will be shaped by the creation of a Tilonia, by the courage of a Kiran Bedi, by the experiences of the submarine commander in Vizag and by the innovative factory manager at  Bajaj Auto.

As countries like India start to take off, they will take off on the wings of passion of its young citizens. A country starts to prosper when the people – alongside the government – start building. While we have a number of seemingly insurmountable problems, we have a future that is powered by the momentum of a growing country. Gerd Behrens drew a contrast with the attitude in more developed economies, ‘The West resembles a marriage of convenience, while other growing civilizations are passionate affairs’.  

More so for those pouring to fill the glass of India.

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‘Is the glass half empty or half full? Depends whether you are pouring or drinking’ said Bill Cosby’s mother in a conversation that reminds me of India in this 60th anniversary year.

On the fiftieth anniversary of India’s independence, in 1997 we organised a national adventure – the Azad Bharat Rail Yatra. Two hundred young Indians participated in that Yatra and have since remained in close contact over the years. This is an extended family forged by the memories of twenty-two days of exhilarating, non-stop travel on a special train that covered 7,000 kilometers of India. We keep in touch through a web-based forum, and at heart; we simply remain attached to India. As I write this, these participants are planning another Yatra – the Jagriti Yatra with the theme of awakening entrepreneurship. 

Our aim for the Yatra was to discover the other India, an India beyond the English language. To me, this India was in the smaller towns where I had grown up as the son of an army officer; it was in my town of birth, Gorakhpur, and in Barpar, our ancestral village in the Deoria district of eastern Uttar Pradesh. During our travels we found more than one India. But the central theme that dominated the journey was India integrating with its own genius. By doing so will we build a country that is different and therefore able to compete and prosper in the new world. Only if we understand who we are and are comfortable with it, will we live lives of integrity. Participants discovered this first hand. They celebrated the integrity they saw amongst those they met during our travels.

The journey was layered by what I call the ‘paradox of positivism’. The more we celebrate India’s achievements, the less inclined will we be to strive for more. And yet, if we do not applaud our achievements, the positive energy necessary for that forward movement will remain absent. During the journey we tried to break this paradox by looking at India as a ‘glass half full’. We saw the many, seemingly insurmountable problems India faced. We saw cities and villages that could easily be classed as underdeveloped and poor. We saw the enormous challenges posed by a rapidly growing population and the many divisions India faced across the different regions we visited. But we also noticed the enormous progress India had made in the first half-century of its freedom. The miracle of a billion strong democracy was worthy of applause. Our blossoming higher education system, even then, was a modern day success story. The judiciary kept our national spine erect. And yet, as we looked ahead, in our fiftieth year of Independence, it was clear that our national task was far from complete.

Ten years down the line, in its sixtieth year of Independence, the ‘paradox of positivism’ remains. Headline growth rates, the acquisition of international companies by Indian companies, a leading IT service sector, a climbing sensex, astronomical rise in property prices and a growing entrepreneurial culture all reflect India’s growing prosperity. But the paradox should remind us of the dangers of national hubris. The average per capita income even now remains barely above that of Africa. Large parts of India suffer enormous power shortages; our corruption index fails to decline, our infrastructure continues to be patchy, and our institutions are still immature. Yet certain sections of India seem to have declared victory in just the first few stops of this national journey.

The Yatra explored, and my book argues that while we have to applaud past success, we have to prepare ourselves for a national journey that has just begun. Another twenty to thirty years of forward movement is required before we can call ourselves a truly developed nation. During our own twenty-two-day journey we recognized that we have to be brave, be willing to take risks, build institutions in order to succeed but, above all, have the courage to be original. In an era where computers, networks, bio-technology, agri-business, environmental issues are re-shaping the global developmental agenda, copying an industrial developmental model is a poor recipe for success. Each leg of the journey brought out such themes - whether it was the developmental models discovered in Tilonia, our discussions around China during the visit to Bodh Gaya, the focus on institution-building in Jamshedpur, or the cultural debate in Aurangabad. These themes were brought to life by the participants who led these discussions, and brought their perspectives from different parts of India. As I recall our discussions, I find those themes still fresh and surprisingly relevant to India today. Perhaps this should not come as a surprise. These discussions took place amongst the young of India, the future of our country. Then and now.  

But the relevance of these discussions now extends beyond India. As globalization and technology have made India more visible, so has it offered us a historic opportunity to contribute. In an India where, the pursuit of knowledge is equated with the pursuit of wealth and happiness, its ideas have new meaning. As large parts of the world are beginning to suffer from the first signs of an ‘industrial hangover’, can India bring in a new developmental perspective? The developmental path we saw being taken by some of the original Indians we visited during the journey is bearing fruit ten years down the line. These social, economic and even cultural entrepreneurs are using an original approach to build new institutions, a new India. The emphasis on sustainability and environment, empowerment of locals, a strong service ethos, grassroots entrepreneurship, offer new modes of thought and action. Can these developmental models show a different path to others? The spirituality and knowledge mindset of India combined with the bustling confidence of a 1.1 billion strong democracy can reshape the global debate on development. Another yatra, planned for early 2008 will be a poetic milestone to mark this new era of change.

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Original article by: Dhawal Shah
Why is the US more prosperous than India? Is it because we Indians are less smart than Americans? No, Indians are universally acknowledged for their intelligence. Is it because they have greater resources? No, India is as much if not more rich in natural resources. Then, why is the US more prosperous than India? The US is more prosperous simply because they have more entrepreneurs.

If India needs to exterminate poverty, we have to grow. To grow, we have to employ the unemployed. NASSCOM and CII have estimated that if India wants to be a developed country by 2020, it needs to create 10 million jobs. The million-dollar

question is how these jobs are going to be created.

Neither the Army nor the police force can absorb such a large amount, nor can the Railways or the government. They can only be absorbed by the private sector. The industrial set-up is expanding, but not at the rate that can employ such large numbers. Is there any solution to this grave problem? Fortunately, YES, the answer is entrepreneurship.

But, why do we need entrepreneurs, because they create jobs as per TiE (The IndUS Entrepreneurs, a non-profit organisation, promoting entrepreneurship, www.tie.org), each entrepreneur creates 30 jobs. An entrepreneur creates jobs, setting stage for a flourishing economy, unlike an individual, a job seeker, a burden to the economy. Managers employed by large corporations use their creativity and intellect to make the Gates, Buffets and the Murdochs richer, whereas entrepreneurs make themselves and their nations richer.

Over 30% of Microsoft employees are Indians. The NASA relies on Indian brains for its various missions & IIT graduates are considered the worlds brightest. Why do these people flock to the US, simply because the US has more opportunities. What can we do to stop this self-ruining brain drain? The answer lies in promoting entrepreneurship.

Entrepreneurs are people who turn dreams to reality. They supply goods and services, which increase the standard of living of the entire populace substantially. They are wealth creators. This self-created wealth insulates the economy from recession and helps strengthen local economy. Global downturns will not affect us, as much as it much as it would have in other circumstances.

The benefits of entrepreneurship to the society and the economy as a whole are enormous. Entrepreneurship helps in avoidance of monopolies and cartels, which lower consumer satisfaction, one of the easier ways of checking large corporations and MNCs.

Entrepreneurs realise the tremendous demand for goods abroad and help to market the surplus. This will make the Indian market, export competitive and at the same time, the MADE IN INDIA brand more acceptable. The surplus footstock, which would have been otherwise rotting in the government storehouse, can be exported, thus serving to earn foreign exchange. The government gets rid of the excess stock while the exporter earns revenue, leading to a win-win situation.

It has been found that nations with more entrepreneurs always have a pro-liberal government supporting and promoting entrepreneurship; hence it is forced to enact policies favourable to businessmen and consumers promoting a market led economy.

An important factor influencing FDI, from developed nations to developing nations is the concentration of entrepreneurship. FDI is directly proportional to entrepreneurship. The highest contributor of FDI is the US. The US also readily welcomes Indian exports and also lists Indian companies on American exchanges. No wonder NASDAQ rocks on the beats of Infosys Chairman, NR Narayan Murthy.

So, the message is clear; we need more entrepreneurs. It is high time, the government realises that only and only entrepreneurship can help it grow at the high rate and rethinks its policies.

Dhawal Shah is a start-up enthusiast who firmly believes in entrepreneurship. Based in Mumbai, he regularly studies trends in Business, Franchising and Entrepreneurship. He can be contacted at dhawal@mail.com . Article on Entrepreneurship, National Contribution, Contribution by Dhawal Shah

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Back home, in the heart of India it is nearly summer. The air is redolent with the heady potpourri of mango and citrus blossoms, roses and the smell of parched earth drenched with unseasonal spring rain. The tepid sunshine has given way to the smouldering heat of early summer across most parts of India. I heard the incessant call of a lone “brainfever bird” in the far distance when I spoke to my mum on the phone this evening. Waves of nostalgia wash over me. The call of the Indian hawk cuckoo has long been a harbinger of summer, the long hard toil of exam time and the promise of a long fruitful summer ahead packed with adventure and new discoveries.

Here in London, the cherry blossom still clings to the branches and the azure skies hold the gleeful promise of a hot summer. It will be an eventful summer-like the summers of my childhood. We have an ambitious project at hand. It will take commitment, determination and tenacious will power to nurture it to fruition. Each one of us on the organizing committee is currently battling tight personal deadlines- Kaustav, Mrigank and Milind are working hard to meet project deadlines, Karthik and I work towards finishing our Ph.D theses, Mohit has just relocated to the Big Apple from Gurgaon, Purva has regular patients clamouring for her attention…and despite all these challenges, we all strive to committing our time towards the Yatra.

The Yatra will be an incredible train journey. 300 people, 17 cities across the length and breadth of India, scores of “heroes” who will inspire and challenge us to devise a manifesto for change and find methods to chanelise those dreams into action. The Yatra will touch the lives of every participant in infinite ways just like the Azad Bharat Rail Yatra in 1997 coloured my view of India and spurred me on to contribute my miniscule share to highlight its conservation successes in the global arena. The tasks ahead may seem a trifle daunting but we are steadfast in our goal. We believe in “ The Indian Dream” and we cant wait to set off on this great journey of discovery with friends, colleagues and fellow believers. Yes, it will be a very busy summer ahead.

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Well, after days and days of planning, this is the first Blog that I’m writing in my life and as I pen down these words I can’t believe that I’m actually writing a Blog. Primarily, there were two reasons for my not being a blogger - firstly I wasn’t sure of the whole concept and secondly working in television means being on duty twenty four seven.

Now that I have decided to take the plunge, I wanted to go back ten years down the line and start with a topic which we are all familiar with. And those who were a part of the Azad Bharat Rail Yatra then were the fortunate few to witness this change a decade ago itself.

What was a need for Shashank and team then will now be implemented by the Indian Railways to earn a profit.

Well I am talking about outdoor advertisement on Trains. Who would have ever thought that in 1997 (10 years ago) what we knew as the “Lal Dibba” of Indian Railways would look colourful with tag lines of different companies. In 1997 very few people had seen a chartered train with logos of Max Touch, Colgate, Coca Cola…. But today things are different. What was a common sight
just on chartered trains will also be a part of the regular passenger trains running across the country. Isn’t India changing?

Today, I’m proud to be a part of the Jagriti Yatra. India is changing for the good and I feel that this Yatra will help bring out an entrepreneur in each person.

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In Dubai..

Its getting to summer here in the middle east, and the time is nearing for a full out effort on the yatra. Lots of people approaching me and saying ‘great effort - but why?’. Hmm.. interesting question.

Why would a well paid consultant like myself want to do a jagriti yatra? What do I get out of it?

I get a chance to play my small part today in the development of entrepreneurship in India. I get a chance to be with the real India - the colorful, vibrant India. I get to meet other interesting people who share the same thinking, and most importantly - in a small way, I get to wish India a happy 60th anniversary.

Its a strange life right now. Working till 9 / 10 at night, and then making a few presentations to generate awareness. Forgoing lunch breaks to go meet a media partner. Having tea with a TV network. Everyone is enthused, and everyone wants in… but its not enough. Not nearly enough.

We need more individuals who dont just sit on the fence, but are ready to do something for India. More people who are ready to step forward and say ‘we will help with this effort which aims at raising entrepreneurship in India’. More friends.. more moderators.. more everything.

Someday in the distant future, I hope to meet an entrepreneur who would have participated in the Jagriti Yatra.

Till then… we keep striving…

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