After his recent visit to China, the Indian Prime Minister, Dr. Manmohan Singh had a message for the Indian industry: Try to learn from the Chinese industrialists. It was widely broadcast across all the Indian media. I do not know what he meant by that - Indian industry is as great or aspiring to be greater than the Chinese regarding quality, size, or any other parameter you might choose.
Why are great Indian industrialists buying and investing in foreign companies, and not investing in India? Why is FDI flowing into China at a much greater rate than into India? Wealth and investment goes where there is least governmental interference. This is the lesson our politicians are yet to learn.
In my opinion, it would be better if the Indian government learnt from the Chinese government regarding politics and economics. Particularly, the Indian Left, who is so glad about the PM's visit to China, will do the nation a great good if it learns from the Chinese government's economic principles. China has welcomed all sorts of capitalist investments, which the Indian Left still myopically opposes.
I thought the Indian PM is intelligent enough not to dish out a moral lecture to the Indian industry when his own government has failed to support the industry. Does he think intelligent Indians do not see the irony and hypocrisy in his speech?
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I found your site on technorati and read a few of your other posts. Keep up the good work. I just added your RSS feed to my Google News Reader. Looking forward to reading more from you.
Allen Taylor
So your Unquiet Mind is at work again!
Well, I do share your concerns about our industry, but don’t know the answers to your questions. But I know one reason why more FDI is flowing into China. Their infrastructure is far better than ours.
Not being a democracy helps sometimes.The Chinese government can take any decision without having to bother about the coalition partners.The reason for better infrastructure is that in India opposition has to create hurdles for the sake of opposing.The opposition to SEZ is a classic example.Indian Left is a confused lot. They are not sure when, where and what to oppose.Their leaders speak different languages in different states.
Mahendra: Indian companies buying firms abroad and foreign investors investing in China are both doing the same thing — buying market access.
The real game where India should be active is the sovereign investment vehicles. That is the real long-term game — buying political power.
So while I agree we can learn something from China, it is a lesson in the evolved art of international politics!
PS: Ever wonder why Sun Tzu is taught in Strategy courses but not Arthashastra? We also need better PR as a nation.
well its a sad irony that an intelligent person like Mms is in such a state…
Congress policy is for more laws more bureaucracy more taxes and more complications — they accrue the most benefit out of it its back to the license permit raj
most people spend more on tax compliance than the taxes
lastly i was reminded about mr mittal and how he picked the same same incompetent bureaucrats and babus from India and how they made his company a worldwide entity and a steel giant
I beg to differ that not being democracy helps. India is a stable democratic nation, and thats why it is striving even after being in a state of war for about 20 yrs now. The threats India faced in the past two decades is similar to a modern war time scenario. And yet its striving , Average Indian Life style is better than theeir chinese counterparts. We can be counted as lucky to have such a great judiciary and there is a true sense of freedom but in China Life is controlled by state and
what we see of china is nothing but a brochure. They have insensible laws which even you would protest if they were to be introduced in India. We pay heed to all section of people. Its easy to throw the poor to remotest part and showcase selected city .