Does five years form a trend?

From last five years, India's GDP has grown from 5.3% to 9.1% (with real GDP 1999-2006 6.6% per annum source: IMF World Economic Outlook). Is this sustainable?

India's revenues are mainly based on export of high skilled services unlike goods, IT services being one of the major one (5.4%) (others:agriculture 20%, industry 19.3%, services 60.7%)
However, this position is challenged by China, in-terms of its rapid growth in skilled labor availability and infrastructure. Chinese position is further strengthened by its lead in manufacturing market and continued large investments. To echo my views, all the leading IT services companies of India have reported to be opening large development centers in (Wipro, TCS)China. These companies are also compelled by acute shortage of supply of quality skills within India.

Has India lost its steam as IT powerhouse? Will its poor infrastructure sign the suicide note?
Or Will the Businesses will continue to grow within India, independently, with help of diasporas expertise and investment?

Interestingly, this morning my friend Jagu shared his insights, that in next 45 years, China and India’s GDP will be more than US and to my slight disappointment and surprise, China’s GDP will be more than US, Russia, Brazil and India together (122,271 million USD; GDP per head 74,402USD, which will be 26K less than that of US. Source: Central Intelligence Agency and Experian Business Strategies)!!! That reminds me of a comedy show I saw on YouTube.

Comments

Finally, the most beloved visitors and their rare comments, thank you. At last, someone is reading my blog ;)

I would like to introduce some of the better writers I know: Nick, Timus, and Love-stop…with no intention to kick start recursive loop...Check out Timus' prediction!

India - Allout for zero

Both India and Pakistan are out of the World Cup game. Indian fans are having tough time to come to terms with pathetic performance of the team. I stopped watching games in 1996, from then I am happy to have not wasted my time or emotional energy on the bunch of failures.

http://news.bbc.co.uk/1/hi/world/south_asia/6490701.stm

Virgin Media vs Sky - Round One

During recent spat between Virgin Media and Sky, I only read about how bad the Virgin Media services have been and angry customers leaving Virgin Media. Even though Virgin Media offered free contract terminations by end of March, it seemed many subscribers had no chance of reaching customer service representatives. Neil Berkett, COO of Virgin Media seems to be aware of the problem and seeks ‘patience and time’ from his customers. I think, it is too late for Richard. I have also seen the Sky offer of 30 GBP for switching to Sky (with additional 30 for recommender!).
The reason for this blog is to verify what the losses are for Sky - as until now it seemed Virgin Media took the majority of the hit.
Obviously, the advertisers and agencies are not happy with Sky’s strategic decision to depart from Virgin Media audience base. Sky has shared overall 12% dip in its audience and 8% dip in ad-sales (Sky One 30%, Sky News 18%, Sky Travel 30% and Sky Two 13%).
Sky is putting desperate efforts to keep in advertisers happy and asking for ‘patience and time’. Sky is hoping that the offers like the one I mentioned above plus quality football and movies on Sky One(& others) will gain the lost audience.

So where the bloody hell are you?

I watched this advertisement today. Cost of this ad to Tourism Australia is reported to be AU$180 million.
Check out the full ad at http://www.wherethebloodyhellareyou.com/ and don't miss the Lara Bingle. The reports suggest, because of this ad (created by UK's M&C Saatchi) the number of visits to tourism website has grown by 500%. However that hasn't been the same with number of people visiting Australia.

Indian experience

Many analysts and journalists often report India as the IT super power of the world. There are many articles written about it (http://www.google.co.uk/search?hl=en&q=IT+Superpower&meta= ) or otherwise (http://observer.guardian.co.uk/world/story/0,,2005484,00.html).
Below, I would like to give two pictorial stories about how Indian private and government entities are less bothered about using IT for efficiency and customer experience. India Inc. is far behind in terms of leveraging IT and hence valuing its citizens’ time.

Air India
Air India is very (un)popular air line of the country. Majority of travelers despise traveling by Air India. I leave the arguments and counter arguments to Kaushik Basu and his readers (http://news.bbc.co.uk/1/hi/world/south_asia/6125940.stm).
I prefer to share following pictures with captions with a opinion that…”Indians deserve better”:

Try figure out the online booking!

The online booking is very painful and will never work smoothly. Some of the screen shots:

Wrong date? or no return?

While one is attempting to book the flights – if one uses back button of browser, the site requests to click “ABORT” the active “transactions” before proceeding with next search.

Voila, a free ticket!

Also, visit to Indian website of Air India and stay there!!!









Another ‘winner’ organization for today’s blog is the famous, High Commission of India in London. The below pictorial story should convey the point:

After standing for more than 2 hours in cold morning outside the embassy, I was given with a token, numbered 949. I entered the building and took a seat waiting for my token to be called. When nothing happened for next 30 minutes, and I saw the masses of people queuing in front of me, I soon realized that the token had no value but was just a ticket to enter the building.

While I was asking for my turn for next two hours, I have noticed the masses grow and the gentleman at the counter working briskly. I would like to call him as Mr. Prime Minister, as he behaved like one. On my turn the Mr. Prime Minister, asked few questions and asked for additional copies and signatures and pictures and so and so fourth. I must say, my previous experience has taught me to keep additional copy every document! He asked me to come after 5 days, after 3PM to collect my travel documents. Finally, I was happy to make my out after more than 4 hours ordeal.

I reported promptly at 3PM on designated date to collect my documents. There was a mass being conducted. The Mr. Prime Minister this time was working at a slower pace and servicing by roll-calling the names. With funny jokes for the absent ones, it was typical Indian gathering with lots of jokes flying around.

And there were some interesting incidents too: a gentleman who was seeking correction to his passport received the passport. But to his shock, now he was born in Jaipur instead of Jodpur! The Mr. Prime Minister said – “oh, koyi badi baat nahi hai. Its not a big deal..its just small error, move on”!! Then came by a lady and complained that her new born baby’s passport carries wrong birthplace. The passport read London instead of Hounslow. The Prime Minister declared that’s not an error! Unlike India, UK doesn’t have any states and for immigration purposes London or Hounslow are the very same places!! I was still waiting for my turn, in mean time, the Prime Minister took the turns between his work and personal calls.

Before my turn, the embassy cleaning lady arrived promptly to tidy the place. Already getting ready for the busy next day!!!

I welcome your comments and stories

TV 2.0 Model?

It is difficult times for entertainment industry – in getting the correct pulse read of consumer behavior. The industry is arguing about the successful business model for tomorrow digital media world. With success of iTunes, pundits predicted the cracking of the code. But working with Apple has its own set of problems for media companies. Media companies’ attempts to copy protected discs and scramble songs/videos with DRM technologies have miserably failed.

With announcement of Joost and Viacom (http://news.bbc.co.uk/1/hi/technology/6379595.stm), it seems the traditional business model has re-invented itself in the digital world. The ad-supported video is favored to succeed in the long term. In US, this model has generated 209 million GBP revenue in 2006(Adams Media Research). However, firms like Channel 4 and ITV are still pushing free VoD, hoping free video distribution’s positive influences on linear broadcasting.

My view is that internet or broadband is another channel of distribution of content with traditional business model supporting it. Consumers expected free content and more so now with prevail of free news and pod casts. With prevail of 26% adult audience listening or viewing to/at their portable devices everyday, ad-supported model will resurge. It seems there’s already some breaking news: http://news.bbc.co.uk/1/hi/business/6480949.stm