107-india still not flat
Post on 29-May-2018
215 Views
Preview:
TRANSCRIPT
-
8/8/2019 107-India Still Not Flat
1/33
IndiaIndia Still NotStill Not FlatFlat
-
8/8/2019 107-India Still Not Flat
2/33
-
8/8/2019 107-India Still Not Flat
3/33
Globalization and IndiaGlobalization and India
Thomas Freidman hasThomas Freidman hasasserted thatasserted that globalizationglobalizationhas made the worldhas made the world flatflat asas
evidenced by the growingevidenced by the growingservice sector within India.service sector within India.
This also implies thatThis also implies that IndiaIndia isis
flat.flat.Reality on the ground mayReality on the ground may
differ.differ.
-
8/8/2019 107-India Still Not Flat
4/33
Populations impactPopulations impactCurrently the worlds 2Currently the worlds 2ndnd
largest country withlargest country with1,121,800,0001,121,800,000 people in midpeople in mid2006.2006.
1.7%1.7% natural increasenatural increase
20252025 approachingapproaching 1.41.4
billionbillionWill surpassWill surpass ChinaChina byby 20322032
70 million have moved to the70 million have moved to the
cities between 1991cities between 1991--20012001
-
8/8/2019 107-India Still Not Flat
5/33
70% Rural70% Rural600,000 villages600,000 villages
-
8/8/2019 107-India Still Not Flat
6/33
Poverty AboundsPoverty Abounds
-
8/8/2019 107-India Still Not Flat
7/33
Open sewage and toiletOpen sewage and toilet
-
8/8/2019 107-India Still Not Flat
8/33
By the NumbersBy the NumbersPer Capita GDPPer Capita GDP -- $3600$360060% agricultural/ but only60% agricultural/ but only
20% ofGDP.20% ofGDP.
100 million farmers own NO100 million farmers own NOland.land.Approximately 80% of allApproximately 80% of all
Indians live on the equivalentIndians live on the equivalent
of less thanof less than$2 a day$2 a day..
-
8/8/2019 107-India Still Not Flat
9/33
-
8/8/2019 107-India Still Not Flat
10/33
-
8/8/2019 107-India Still Not Flat
11/33
InformationInformation
Technologys ImpactTechnologys ImpactIndia produces about 100,000India produces about 100,000
new engineers a year. About 3new engineers a year. About 3times the number of the U.S.times the number of the U.S.
But stillBut still only 1.6 million peopleonly 1.6 million peopleare employed in IT and Serviceare employed in IT and ServiceCenter jobs.Center jobs.
Key centers include Bangalore,Key centers include Bangalore,New Delhi, Gurgaon, andNew Delhi, Gurgaon, andHyderabad.Hyderabad.
-
8/8/2019 107-India Still Not Flat
12/33
U.S. companies in IndiaU.S. companies in IndiaIT ServicesIT Services--design,design,
support, and or productionsupport, and or production
Adobe, Cisco Systems,Adobe, Cisco Systems,D
ell,G
oogle, HewlettD
ell,G
oogle, Hewlett--Packard, General Motors,Packard, General Motors,IBM, Intel, Microsoft,IBM, Intel, Microsoft,
Motorola, TexasMotorola, TexasInstruments, YahooInstruments, Yahoo
-
8/8/2019 107-India Still Not Flat
13/33
-
8/8/2019 107-India Still Not Flat
14/33
Indian IT and ServiceIndian IT and ServiceDevelopmentDevelopment
IT giantsIT giants
InfosysInfosys
WiproWipro
TATA Consulting and FinancialTATA Consulting and Financial
Also TATA MotorsAlso TATA Motors
ConvergysConvergysWorlds largest call centerWorlds largest call center
companycompany
-
8/8/2019 107-India Still Not Flat
15/33
Brain DrainBrain Drain Young talent leaving India seems toYoung talent leaving India seems to
bebe slowing downslowing down..
Average starting salary for an ITAverage starting salary for an ITengineer in India today isengineer in India today is
approximatelyapproximately $10$10--12,00012,000.. Many are graduates of the IndianMany are graduates of the Indian
Institute of TechnologyInstitute of Technology
Several campuses locatedSeveral campuses located
throughout the countrythroughout the country This salary provides a comfortableThis salary provides a comfortable
lifestyle in modern India for thelifestyle in modern India for theprivileged few.privileged few.
-
8/8/2019 107-India Still Not Flat
16/33
Disparate TaxationDisparate TaxationO
nly 35 million people payO
nly 35 million people payincome tax to the federalincome tax to the federalgovernment.government.
Formal SectorFormal Sector
Over 1 billion pay NO federalOver 1 billion pay NO federaltaxes!taxes!
Informal SectorInformal Sector
Largely agricultural orLargely agricultural orvillage basedvillage based
-
8/8/2019 107-India Still Not Flat
17/33
Growing Middle ClassGrowing Middle Class
Over 200 million people falling into aOver 200 million people falling into agrowing middle class of consumers.growing middle class of consumers.
Technically defined as those earningTechnically defined as those earning
between $4000between $4000--$21,000 a year.$21,000 a year.This actually only accounts for 60 M.This actually only accounts for 60 M.
Middle classMiddle class--ness seems to includeness seems to include
those going from living on $5 a daythose going from living on $5 a dayto $10.to $10.
-
8/8/2019 107-India Still Not Flat
18/33
Education is far fromEducation is far from
universaluniversalCompulsory and freeCompulsory and freeeducation (6education (6--14 yrs.)14 yrs.)
guaranteed with theguaranteed with the RightRightto Education Bill2005to Education Bill2005
Virtually unVirtually un--enforceable.enforceable.
Literacy rate of IndiaLiteracy rate of Indiastands at 59%stands at 59%
-
8/8/2019 107-India Still Not Flat
19/33
Realitys impactRealitys impactEconomicEconomic
conditionsconditionsnecessitatenecessitate
children aschildren asday workersday workersin cottagein cottageindustries orindustries orininagricultural.agricultural.
-
8/8/2019 107-India Still Not Flat
20/33
MidMid--day in Delhiday in Delhi
-
8/8/2019 107-India Still Not Flat
21/33
Cultural bias reigns supremeCultural bias reigns supreme
O
ther Backward Caste law toO
ther Backward Caste law toincrease quota up to 27%increase quota up to 27%(currently 22%) of students in(currently 22%) of students ingovernment higher educationgovernment higher education
was recently put on hold.was recently put on hold. March 2007March 2007
Higher caste are increasinglyHigher caste are increasinglyhaving to share power as OBCshaving to share power as OBCs
make up nearly 50% of themake up nearly 50% of thepopulation.population.
-
8/8/2019 107-India Still Not Flat
22/33
Private schoolsPrivate schoolsare very costlyare very costly
and for theand for themost partmost partexclusive.exclusive.
Rural villagesRural villagesdepend ondepend onuntraineduntrained
teachers andteachers andNGOs for help.NGOs for help.
-
8/8/2019 107-India Still Not Flat
23/33
-
8/8/2019 107-India Still Not Flat
24/33
-
8/8/2019 107-India Still Not Flat
25/33
Conditions in theConditions in therural villagerural village
schools areschools areusually far lessusually far less
modern andmodern andfundedfunded..
-
8/8/2019 107-India Still Not Flat
26/33
-
8/8/2019 107-India Still Not Flat
27/33
-
8/8/2019 107-India Still Not Flat
28/33
Lacking InfrastructureLacking InfrastructureMajor cities are not connected at thisMajor cities are not connected at this
point by a highway system.point by a highway system.
Golden Quadrilateral Highway ProjectGolden Quadrilateral Highway Projectwill eventually connect New Delhiwill eventually connect New Delhi--
MumbaiMumbai--BangaloreBangalore--ChennaiChennai--Kolkata.Kolkata.-- $12 billion$12 billion
Currently only 3,700 miles ofCurrently only 3,700 miles of
highways!!!highways!!!40% of farm produce goes to waste40% of farm produce goes to waste
as a result of poor transportationas a result of poor transportation
-
8/8/2019 107-India Still Not Flat
29/33
Scheduled ImprovementsScheduled Improvements
New $430 million BangaloreNew $430 million BangaloreInternational Airport to beInternational Airport to becompleted by April 2008.completed by April 2008.(European built and operated)(European built and operated)
Roads to the airport areRoads to the airport areuncertainuncertain
Vallapardam Ship Terminal inVallapardam Ship Terminal in
Kochi (southwest coast ofKochi (southwest coast ofKerala) to be completed byKerala) to be completed byDubais DP World at a cost ofDubais DP World at a cost of
$555 million$555 million
-
8/8/2019 107-India Still Not Flat
30/33
The Caste SystemThe Caste System I
ndias source of strength and tragicIndias source of strength and tragicweakness!weakness!
Though outlawed in the constitution;Though outlawed in the constitution;it remains a strong force controllingit remains a strong force controllingupward mobility.upward mobility.
Changing laws is easier thanChanging laws is easier thanchanging minds.changing minds.
Compare it to the Civil rightsCompare it to the Civil rightsmovement in the United States.movement in the United States.
-
8/8/2019 107-India Still Not Flat
31/33
Yet Hope Springs Eternal!Yet Hope Springs Eternal!
Indias people is in fact herIndias people is in fact hergreatest asset.greatest asset.
An optimistic attitude seemsAn optimistic attitude seems
to exist within this country.to exist within this country.Indias ability to function as aIndias ability to function as a
democracy despite itsdemocracy despite its
massive population, culturalmassive population, culturaland religious diversityand religious diversityprovides hope.provides hope.
-
8/8/2019 107-India Still Not Flat
32/33
To flatten?To flatten? Provide universally enforced qualityProvide universally enforced quality
elementary and secondary education.elementary and secondary education. Continue to slow the brain drain.Continue to slow the brain drain.
Improve the quality of itsImprove the quality of itsinfrastructure such as roads, waterinfrastructure such as roads, water
treatment and sewage, ports,treatment and sewage, ports,railroads and airports.railroads and airports.
Improve energy reliability.Improve energy reliability.
Continue to provide tax incentives toContinue to provide tax incentives to
encourage foreign investmentencourage foreign investmentincluding manufacturing.including manufacturing.
Maintain peaceful political posture, inMaintain peaceful political posture, inparticular with Pakistan.particular with Pakistan.
-
8/8/2019 107-India Still Not Flat
33/33
SourcesSources In Spite of the Gods: The Strange Rise ofIn Spite of the Gods: The Strange Rise of
Modern IndiaModern India by Edward Luceby Edward Luce The Worldis Flat: A Brief History of theThe Worldis Flat: A Brief History of the
TwentyTwenty--First CenturyFirst Centuryby Thomas L.by Thomas L.FriedmanFriedman
PlanetIndiaPlanetIndia by Mira Kamdarby Mira Kamdar
The Trouble with India,The Trouble with India, BusinessBusiness WeekWeek,,3/19/073/19/07
www.prb.orgwww.prb.org www.countrywatch.comwww.countrywatch.com
www.forbes.comwww.forbes.com Trip to IndiaTrip to India World Affairs Council ofWorld Affairs Council of
Houston (March 10Houston (March 10--20, 2007)20, 2007) Prepared by Jeff CherryPrepared by Jeff Cherry
top related