THE RETURN OF TERRORISM

There is no such thing as being prepared for or getting used to terrorism, India has lived with the scourge longer than most democracies, but every attack is like the first. The shock and grief over the loss of innocent lives and the devastation it visits upon the families are always deeply felt.

The serial blasts in Hyderabad, in which more than 40 people killed, caused damage not just to life and property but also to public sentiment. With Rakhsabandan, the markets were bound to be soft targets.

Today, we are dealing with a different kind of beast. Even though its roots and concerns are regional or national, terrorism is a global industry. India’s problem might be Kashmir-centric terrorism, but terrorists could come from anywhere, choose any target and strike at any time. The means available for spreading terror are difficult to detect, more sophisticated and for more lethal now.

Today we have to learn to live with terrorism; the terrorists may eventually learn that while they can take human lives, the human spirit is not as easily destructible.

THE FEEL GOOD FACTOR

India’s economic indices reveal that we have achieved record levels of growth. In the past few years, it was difficult to ignore the couple of clouds despite the silver linings. Around 2004, it was feared that the growth in India would be jobless and manufacturing would languish. Those fears have proved to be baseless. This economic surge has a heart. Every sector has expanded its employment numbers and there are new investments across the board. What is more encouraging is that the growth is not restricted to IT and other services sectors but has spread to traditional industries like textiles, steel, even readymade garments.

When celebrating any economic progress, all Indians wonder how our great rival China compares by the same standards. An increasing number of economists are beginning to bet on India. The reason is that unlike China’s investment-driven economy, India’s is consumption-led. Today, for the middle-class Indian affordability is no longer a function of price. The Indian consumer’s spending has moved from worrying about the MRP to quickly calculating the EMI. His urge to splurge has been accelerated by flexibility in pricing, the availability of easy loans, and product innovation, such as a PC for less than Rs 10,000 or a RS 10 phone recharge.

GLOBAL CHAMPS

In the past five years, 307 overseas companies have been acquired by Indian corporates, the worth of the mergers totalling $ 20 billion (over Rs 90,000 crore). The rate of Indian acquisitions has been growing exponentially over the past five years, the last two witnessing more than half of the 307 takeovers. The acquisitions reflect the growing confidence of Indian business because they believe they can do a better job than the foreign players. It also indicates the cash surpluses accumulated by companies in an economy consistently growing at 8 per cent. Indian businesses have emerged from fairly retrogressive economic conditions to embrace the global markets so much so that our business section calls these Indians the Raiders of the Lost Ark.

The open economy of the past 15 years has forced Indian companies to become globally competitive. They have realised there is no reason why they should confine themselves to the domestic market. For many, the only way to go is global. The smartest of firms know that building assets in India takes far too long and comes with too many strings attached and therefore have begun to shop abroad.

The story of the Indian software companies’ overseas thrust is well documented but the international forays of companies in the manufacturing sector are relatively new. The audacity and aggression is truly breathtaking. Bharat Forge is the second largest forging company in the world; Ranbaxy is among the top eight generic drug manufacturers in the world. Asian Paints is one of the top five paint companies in the world. M&M is emerging as one of the world’s largest farm equipment companies.

INDIAN FASHION INDUSTRY

Today, India is in vogue again as a result of the work of many talented people in the fashion industry.
Unlike before, the Indian motif is one of luxury and confidence. Designers in the West are using it to make a statement- whether it is Cavalli who put Goddesses on bikinis or Prada whose latest collection uses the peacock feather. The transformation that has already taken place in other sectors like business and economy is now finding expression in fashion in a significant way. It is a reflection of India’s larger engagement with the world.
Behind the arc lights of the recent India Fashion Week, real business was being conducted. Buyers from major western retail chains came looking for genuine local talent. Be it Selfridges, Harrods or Browns, mainstream stores in the West now retail the collections of some of our best designers. More than a generic Indian “look”, the label of the Indian designer is also being sought after.