Hey,
This is saturday and I am still in office. Work load has been ascending for last 2-3 weeks but it was kind of enjoyable. I was liking the work with all the little things I am learning here and there. It has been so far a pleasure experience(leaving aside couple of incidences). That is it from my side.
Sensex has been fluctuating though out this week and so was the mercury in my office. But coming week should be more comfortable and cooler. By the way it is a saving time again. If you haven't done your investments, you don't have much of time left .The same is true with me. I don't know but everytime everywhere I find myself in direct competition with time and deadlines. It must have been an art which I have developed over all these years. No matter how much time I have to spare, I will always go down to the last hour,last minute & last second to complete my task.
Happened to see one of the demo videos launched by Apple for its new iPhone. It is truly amazing how they can catch the nerve of what people will like and revolutionise the market. Though others follow, but being first has its own sweetness.
I happen to come across a survey conducted by some Govt org. in India. The survey was to find out how much secure(financially) people in India are. The timeline for financial security was set at 1 year. The survey asked people what if there current source of income stops. Will they be able to survive with there current lifestyle for one complete year? Have they planned there investments to handle such a situation? Are there pockets deep enough to fund them for one year? The results they produced were startling. The survey was conducted in Rural and Urban india simultaneously and it was found that almost 70% people(not sure abt the exactness of this number but was definetly in this range) were not equipped to deal with any such situation. They were going on in life with the core accountancy assumption of Going concern . But the truth is life is not fair and unpredictable. It is better to plan for such circumstances now rather than repent at a later stage. What it also means that you should invest in such a way that even if stock market dips, you have other sources of income which can help you survive. How , I am myself not aware of but I am indeed looking for the answers to it. But one thing is sure, the mantra for tomorrow is not investment but it is diversification rather divestment of risk.
Such an approach may not give you very high returns but if done smartly, you should be able to reap handsome returns and that too with low risk
chalo
Saturday, February 24, 2007
Sunday, February 11, 2007
Globalisation - A Thought
Every business has been instituted with the idea of earning profit. Once started , the business gets rolling, next objective is to earn more & more profit. But after sometime the business starts hitting saturation point and the Profit no longer grows. This is the time when company start looking for new products or new markets for there business to grow. The company decides to setup new its manufacturing plant in a foreign land and this is what sow the seeds of Globalization. Globalization is a phenomenon. It can be defined as the functioning of a business or any part of it in more than one environments which are different from each other either politically or economically or socially or geographically. In lay man terms it is existence of business or its part in a country which is not the native country of the business. Setting up business across the political boundaries of a country is also called globalization. When globalization began, it was more to do with trading items produced in the native country to other countries which didn’t had the resources to produce them or were not as skilled as others. Thus, the products started crossing boundaries and reaching people which were far far away from the place of there production. Trading rather Exporting of products got the boost with the progress in the transportation technique by human. Automobile Engines enhanced the speed of human traveling across land masses and thus increased the extent of globalization. Industrial Revolution helped in the mass production of high quality finished goods which were more durable than hand made goods and had a longer life too. This was a brief history of Globalization uptil 1960s and 1970s.
During the cold war era, the world got divided into two camps. The socialists and the capitalists. Each Camp was willing to give special economic and monetary benefits to the countries that were willing to join them. Things like import/export subsidies, economic sanctions, political & military support were the two tools which were employed by the two camps to attract neutral countries towards them.
Impact of Globalizations on Businesses :
Globalizations in today’s world has a slightly different meaning. Globalizations today means unifying the entire world(or at least where ever it is possible) and identifying it as a single economic zone where you can trade. Companies no longer think in terms of political boundaries. All they adhere to are economic boundaries and borders. Infact the economic borders across the world are getting permeable and corporate are trying to use political channels to make it legal. Globalizing the world economy is what Globalization means today. In a conservative terms, spreading the globalization beyond the continents and oceans so that companies can over sell there product. This definition may not appeal to those who are pro-globalization but it is true. In the core, it is a means of selling the same product to a new market which are so far untouched and have a huge potential for there growth. Globalization from a service sector perspective is primarily reasoned for the fact that localizing all your skills/assets to a single geographic/economic/political area is a huge risk that too when the same work can be done at another area and that too at a lower rate. This is analogous to the reason why outsourcing increased so rapidly in the West. But no matter anyone says, the rule of the thumb in today’s dynamics is “Globalize or extinct” . You can survive without globalization but not for long .
Positive Impact of Globalization on Business
The following are the advantages that globalization has given to business and business houses:
1) Virgin Markets: The most important advantage that globalization offered to businesses was it introduced them to new markets. Markets which were virgin . Markets which were not as mature as there native markets and thus provided them with ample amount of time and experience to establish them in these markets. As the market were not mature, there wasn’t the need to introduce the latest of there products here. For ex., when Indian economy opened, several car manufacturers came in to establish there plants in India. But they didn’t introduced there latest models at the same time. They first introduced there older models in the market to get the feel of the market and at the same time establish them here rather make the consumers accustomed to them.
2) Diversification of Risk: The companies found in globalization a blessing in disguise. They were able to open up new offices/installations/plants in area which had a strategic significance in terms of geographic location, availability of skilled labour , lower interest rates, socio-economic-politico condition prevailing, cost of establishment thereby spreading there risk. Now a labour disturbance in a plant can be capitalized by production in another plant in a different part of the world.
3) Exorbitant Growth: Globalization helped companies to launch same product in different markets simultaneously. What it means is that now companies can now expect to get higher returns in shorter span of time that it used to be earlier.
4)Temporary economic prosperity : For some sections of under developed and developing countries.
Negative Impact of globalization on business
There have a been a few negativities associated with the globalization as well.
1) Layoffs : Globalization exposed companies to cheaper markets and also to places where the same work can be done at quarter of the price or even less. This resulted in the people getting removed from there jobs and there jobs coming out there country. It also resulted in moving out of intellectual wealth of a country outside its political boundaries. There has also been an increase in the gap between the rich and the poor. Though globalization has helped middle class to fill up the gap between the rich and the poor, the disparity may result in social unrest in days to come. It will not be surprising if some of the developed nations witness a social backlash due to the economic conditions created due to outsourcing.
2) Corruption: Companies are trying to find the shortcuts to enter into new markets and are ready to bribe any official that can help them do so. The motive, reduce the lead time and get the early bird advantage for entering into a new market. Also, the divide between the Have’s and the Have Not’s is diminishing. Society is moving towards a lavish and luxurious lifestyle. People want to get more money so that it can be spend on these items and hence are looking for faster ways to getting rich.
3) Monopolizing the market: With the consolidation of markets, you can find same brand of products across the globe. Ex. Ariel washing detergent can be bought at any store from Europe to America to Asia to Australia to Africa. This results in monopoly being established by one or two players. With time, these players eat up smaller challenges and become the only source of product which is a dangerous situation to get into.
During the cold war era, the world got divided into two camps. The socialists and the capitalists. Each Camp was willing to give special economic and monetary benefits to the countries that were willing to join them. Things like import/export subsidies, economic sanctions, political & military support were the two tools which were employed by the two camps to attract neutral countries towards them.
Impact of Globalizations on Businesses :
Globalizations in today’s world has a slightly different meaning. Globalizations today means unifying the entire world(or at least where ever it is possible) and identifying it as a single economic zone where you can trade. Companies no longer think in terms of political boundaries. All they adhere to are economic boundaries and borders. Infact the economic borders across the world are getting permeable and corporate are trying to use political channels to make it legal. Globalizing the world economy is what Globalization means today. In a conservative terms, spreading the globalization beyond the continents and oceans so that companies can over sell there product. This definition may not appeal to those who are pro-globalization but it is true. In the core, it is a means of selling the same product to a new market which are so far untouched and have a huge potential for there growth. Globalization from a service sector perspective is primarily reasoned for the fact that localizing all your skills/assets to a single geographic/economic/political area is a huge risk that too when the same work can be done at another area and that too at a lower rate. This is analogous to the reason why outsourcing increased so rapidly in the West. But no matter anyone says, the rule of the thumb in today’s dynamics is “Globalize or extinct” . You can survive without globalization but not for long .
Positive Impact of Globalization on Business
The following are the advantages that globalization has given to business and business houses:
1) Virgin Markets: The most important advantage that globalization offered to businesses was it introduced them to new markets. Markets which were virgin . Markets which were not as mature as there native markets and thus provided them with ample amount of time and experience to establish them in these markets. As the market were not mature, there wasn’t the need to introduce the latest of there products here. For ex., when Indian economy opened, several car manufacturers came in to establish there plants in India. But they didn’t introduced there latest models at the same time. They first introduced there older models in the market to get the feel of the market and at the same time establish them here rather make the consumers accustomed to them.
2) Diversification of Risk: The companies found in globalization a blessing in disguise. They were able to open up new offices/installations/plants in area which had a strategic significance in terms of geographic location, availability of skilled labour , lower interest rates, socio-economic-politico condition prevailing, cost of establishment thereby spreading there risk. Now a labour disturbance in a plant can be capitalized by production in another plant in a different part of the world.
3) Exorbitant Growth: Globalization helped companies to launch same product in different markets simultaneously. What it means is that now companies can now expect to get higher returns in shorter span of time that it used to be earlier.
4)Temporary economic prosperity : For some sections of under developed and developing countries.
Negative Impact of globalization on business
There have a been a few negativities associated with the globalization as well.
1) Layoffs : Globalization exposed companies to cheaper markets and also to places where the same work can be done at quarter of the price or even less. This resulted in the people getting removed from there jobs and there jobs coming out there country. It also resulted in moving out of intellectual wealth of a country outside its political boundaries. There has also been an increase in the gap between the rich and the poor. Though globalization has helped middle class to fill up the gap between the rich and the poor, the disparity may result in social unrest in days to come. It will not be surprising if some of the developed nations witness a social backlash due to the economic conditions created due to outsourcing.
2) Corruption: Companies are trying to find the shortcuts to enter into new markets and are ready to bribe any official that can help them do so. The motive, reduce the lead time and get the early bird advantage for entering into a new market. Also, the divide between the Have’s and the Have Not’s is diminishing. Society is moving towards a lavish and luxurious lifestyle. People want to get more money so that it can be spend on these items and hence are looking for faster ways to getting rich.
3) Monopolizing the market: With the consolidation of markets, you can find same brand of products across the globe. Ex. Ariel washing detergent can be bought at any store from Europe to America to Asia to Australia to Africa. This results in monopoly being established by one or two players. With time, these players eat up smaller challenges and become the only source of product which is a dangerous situation to get into.
Monday, February 05, 2007
An amazing experience of Life
Today was one of the most enthralling experience in life. For some time I was not feeling anything. I was holding a piece of paper in my hand and reading it over and over to figure out head and tail of it. After 5 minutes of silence, I realised I am so unprepared for it. Those 5 minutes were when I realised always prepare as it is your last chance of life. I was reading that piece of paper as if it was my destiny and I was submitting myself to it. There was no choice. Everything written on it was appearing hebrew to me. I could not comprehend any word. What is it? This can't be true I said to myself. How can everything become so new and fresh? I thought for a min and decided I will not tolerate this. I made a move. But was not allowed to escape. I was told to face my destiny. That time I realized life had not left any alternative for me and I had to face it. I did . Gathered all my strength, my knowledge, my ego , my self respect and made it : "If destiny had written that I had to go down, I will but not without a fight". I divided the challenge into part, and started attacking each of them individually. Answered each part to the best of me that I was equipped for at that time and with sanity. I started my fight for my lost self respect. Esteemed is said that is something which can make even the deads come back and so came it out to be true. I didn't won but I can atleast claim that I fought dignified way.
That is it.
PS: this is not a fight or debate. I appeared for exams and this was a first hand experience
That is it.
PS: this is not a fight or debate. I appeared for exams and this was a first hand experience
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