Investment Scenario in India

I finally thought that i should treat my blog like a blog and not like a dear diary page, a couple of days back I got an assignment from Prof Barr saying , I were to leave the US should will I invest in India or China and I had to convince my Prof. why so ..and yes i did do some research

It was more like a writing an assignment.Here it goes....

India has incredible skills to offer to us. It has abundant, high-quality, cost effective manpower to offer compared to China. India’s has been the leader in high quality off shore solutions, which speaks volumes about its technically competent workforce. There are over 255 fortune 500 companies getting their services from India compared to less than 30 from China.

India has been favored more than China as an ideal destination for investment especially for IT companies because of the various SEZ (Special Economic Zones) that exists in the country, which would provide us with tax exemptions and reduce our export/import charges. The government has allowed 100% FDI, where as China would take at least 10 years to even get close to that figure. India offers an liberal industrial licensing policy compared to China. This shows how the Indian government has taken initiatives and measures to improve the invest scenario in India. It is no surprise that, India has been rated as the most attractive destination for investment and 2^nd most attractive destination for Foreign Investment by global consultancy A T Kearney. In fact the IT industry in India is growing at a steady rate of over 50% yearly.

I believe, now is in fact the best time to invest in India. India is among the fastest growing economies in the world with an average GDP 7% to 8% and its annual GDP is forecasted to grow over 8% this year, this would also mean a potential client market in India. The trade policy could only get more favorable. The trade policies have been liberalized. Most items are now on the Open General License including software solutions. The new trade policies are now fully compatible with the WTO, which would mean lesser red tape for us to deal with. What really works to our favor is now over 70% of the total transactions of exporters/importers are Web enabled, this would translate into huge saving cost for us especially considering the nature of our business.

We must invest in India, keeping in mind the large amount of English speaking workforce which would be an added advantage for us compared to China. Since most of our client are US based and we require dynamic global team which would interact with our existing client’s efficiently. India has the idle growth environment, free access to information and freedom to act on the information in a climate that respects wealth generation. The fact that the educated classes in India all know English gives us a competitive advantage in the growing Information Technology market.

India is believed to be a good investment destination because of political stability of the country. India is encouraging foreign companies to invest and I believe no company should ignore this country as it is expected that India has become one of the top three emerging economies. India has a democratic government and democracy is the best system in which power can evolve from the private sector, not from a communist government that acts as a dictator and I believe this a major factor that would tilt all our scales to favor investing in India.

An investment in India does not only mean cost cutting, but also having access to a talent pool which is scarce in the US. Investment in China would mean an obvious cost cutting but we run a risk of lowering the quality of our services, this is evident from the fact that China is still not seen as a lucrative offshore destination. An investment in India, on the contrary is about quality and value addition at a reduced cost. National Outsourcing Association (NOA) had in fact stated that over 255 of fortune 500 companies that had invested in India as a cost cutting measure found an added advantage of reduced time to market their products and increase in the quality of their solutions, leading to an adage that companies initially chose India to save costs but stayed for the speed and quality.

What really would be of interest to us is the fact that India has the highest return on invest factor compared to any other nation in the world, especially in the field of Information Technology. According to the US department of commerce the profitability of US investments in India has been a staggering 48.5 %.

Hence I would strongly recommend that we invest in India, as it would be win- win situation for us. Several American firms have realized the advantages of investing in India. Even Starbucks agree with me as they have opened an outlet in India last year. So the question is will ABC solutions miss the opportunity to invest in the most lucrative software market in the world today?

Hey I got a "A " for this from professor Ed Barr ,that's why I posted it here

I found this very inspiring, but this is not my work.

I have to live with myself, and so
I want to be fit for myself to know,
I want to be able, as the days go by,
Always to look myself straight in the eye;
I don’t want to stand, with the setting sun,
And hate myself for the things I have done.

I don’t want to keep on a closet shelf
A lot of secrets about myself,
And fool myself, as I come and go,
Into thinking that nobody else will know
The kind of man I really am;
I don’t want to dress up myself in sham.

I want to go out with my head erect,
I want to deserve all men’s respect;
But here in the struggle for fame and pelf
I want to be able to like myself.
I don’t want to look at myself and know
That I’m bluster and bluff and empty show.

I can never hide myself from me;
I see what others may never see;
I know what others may never know,
I never can fool myself, and so,
Whatever happens, I want to be
Self-respecting and conscience free.

Negotiations

This is going to be my last blog describing any of the classes I have taken at CMU. At this rate , e blogger would delete my blog automatically.

Negotiation

Negotiation is an really important art we should learn to be successful in life.As they say, everything in the world in negotiable other than "Death" and "Taxes", haven't you heard about it , chances are, you may not have .well I just made it up .

Now to answer the question ,why should we even strive to be good at negotiating

Well, a good negotiator

1.Gets what he wants,that's why he is a good negotiator ,duh..

2. Proves that he is competent every time he negotiates successfully

3.Gets the best deal possible if he is really good at this

4. Can negotiate into getting that promotion he may not have really deserved, that's success on
the professional front

5 . Have the girl of your dreams by negotiating and convincing her her that you are really worth
more than she thinks of you and convincing her that you are the "best " she can ever have,
thats success on the personal side

The benefits are many ,but becoming a good negotiator is not that easy, like my Prof says "In negotiation, practice does not make perfect rather perfect practice makes perfect" . Well what he means is that ,one has to come out of his comfort zone and make a genuine effort to negotiate in the real world on a everyday basis , it may sound difficult ,actually it is , but one tends to get comfortable with it over time and once you are a good negotiator , then you really can get the best that life has to offer you ,seriously.

Professional Writing

Ha , My First Blog and I am going to write about my classes at CMU .Talk about lack of creativity.

Professional Writing and Professional speaking are called the "Lifeline courses" at MISM (another specialty at CMU) and the reason is quite apparent ,one can easily get good grades with a little hard work .

I have taken Professional Writing by Prof. Ed Barr. It is one of the few classes I actually look forward to attend. So far I have attended some 8 classes of his.

Well I was surprised when my Prof introduced himself as a consultant to CTS. He said why English is a borrowed language and India has contributed a lot towards the language more than Latin,Greek ,made me feel proud for a minute though.

Then he said the problem with us "Asians" are that we are not direct ,well I guess he is right,we do need to work on that we prefer avoiding the subject for example we would rather say " The work was not done on time" where as a American would say "You did not do the work" .

In class of 28 students, 20 are Indians.I really wished if he could shift the timing of his classes from 9:00 am to sometime after 2:00 pm .It would have been awesome. Prof. Barr is very frank .He in fact told us how he got got fired from his job, not an easy thing for someone to say in front of an audience