Tuesday, November 20, 2012

MAYAWATI: BSP INCLUSIONS

More and more political leaders from UP are joining Mayawati

To take this mobilisation to its logical conclusion, Mayawati – no friend of the traders until now – has recently ordered that no arbitrary arrests be made under the Essential Commodities Act, 1955.

Dalit writer Chandrabhan Prasad told B&E, “The Brahman-Dalit confluence was a winning poll slogan. After coming to power, Mayawati is trying to increase her mass base. As compared to rural strongholds, her appeal in urban areas is limited, so these moves are aimed at bridging the gap.” The lineup of those who have joined the BSP is quiet impressive. Munawar Hussain, SP legislator from western Uttar Pradesh, Jagdish Rana, former minister in Mulayam Singh’s cabinet, former Congress legislator Ajay Pratap Singh & Lok Dal legislator, Kadir Rana who are now all formally in the BSP.


Source : IIPM Editorial, 2012.

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RAM SETU: ASI

Will the government take Ram Setu to ASI and show its hand?

Arguing against the demolition, senior advocate C.S. Vaidyanathan and others involved contended that there was a possibility of going ahead with the project through alternative alignments if and when needed.

Interestingly though Sri Lankan authorities could drag India to the International Court of Justice on the plea that the entire project is an environmental threat to both countries involved.Let's see if this gap can be ‘bridged’?!


Source : IIPM Editorial, 2012.

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Sunday, November 18, 2012

Ma, we’re re‘pink’ing our strategy!

US slowdown is affecting employment across the globe, but the financial services sector leads the rest

Steven Tyler never uttered these words! But his group’s song was the rage of the 90s – ‘Pink is my favourite colour’, by the raucous Aerosmith! And you’ve been of late noticing how your boss has started crooning the song whenever you pass him by. Relax, it’s just a coincidence. Research shows that when bosses want to throw you out, they don’t sing Aerosmith songs :-) More seriously, international experts have been strongly commenting since last quarter that recession would not necessarily affect the skilled employment market that fast, especially in developed countries. Closer home, Dr. Naresh Malhan, MD, Manpower India comments that the impact on new recruitments “would not be imminent... especially when most businesses are plagued by talent shortage.”

On taking a global perspective, B&E realised that irrespective of how many experts we could put on one side of the table, it was the pink slip strategy that coloured every aspect of our finding, on whichever sector we touched. And there’s no better example than the global financial sector, with the sub-prime mistress raking in every penny uttering its name.


Source : IIPM Editorial, 2012.

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Wednesday, November 14, 2012

Escorting trouble Advani style

The BJP supremo distances himself from Kandahar fiasco but questions remain unanswered

Did the Home Minister of India know that his colleague, the Foreign Minister, was politely escorting terrorists in the aftermath of the Kandahar hijack drama to Kabul; a tale so tragic and humiliating that India will forever find it difficult to live it down? The then Home Minister and currently BJP’s Prime Ministerial candidate, L.K. Advani, has suggested in his book `My country, My life’, that he was not in the know when then Foreign Minister, Jaswant Singh, escorted Maulana Masood Azhar and two other terrorist killers to safety in Kabul.

While Advani’s standing as a one of the few genuine practioners of realpolitic has been re-enhanced with this book - which is different from mere journalistic writing - his position on Kandhar is bound to put the BJP in the dock. Is this a case of too little too late? Does Advani, himself one of the great political spin doctors of modern India, think it is time for course correction to a sordid chapter of the country where he was ultimately responsible for law and order?

Close Advani sympathiser and columnist Swapan Dasgupta, makes this point: “Advani has taken an important step in distancing himself from the shameful capitulation in Kandahar. That, unfortunately, isn't enough. It is necessary for him to take advantage of the renewed interest in the subject to propose a policy that will make it impossible for another Kandahar to recur. In short, the BJP as a whole must admit that it erred in 1999 and assure the nation that no Government in future will repeat that mistake.“


Source : IIPM Editorial, 2012.

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Friday, November 9, 2012

Pregnant requires reflection…

While every woman dreams of becoming a mother, getting pregnant requires reflection…

Interestingly, this is also the answer to the question that might have risen in most people’s mind when they first heard of Farah Khan’s pregnancy. “Luckily in her case all three started growing.” Well, if you are one of those who any day prefers twins or triplets, either for the fun of it, or to finish it all in one go, don’t get too excited. “It affects the healthy maturity of the embryos since the uterus has limited space and all of them compete with respect to growth,” mentions Dr. Swati.

If all of this is instilling hope in you to also aspire to delay the pending short (being optimistic) break from the fun-and-ambition-filled days that is required to bring a little one into your life, there is yet another angle to the story you should consider – moolah. “IVF is of course a costly affair. It costs a lakh easily for one entire cycle of fertilising and placing the embryos in the uterus,” reveals the doctor. While a lakh might sound affordable to many, the activity becomes costlier given “the success rate is 40%” and declines to a great extent for women close to 40 and above.

Though biologically, 20-24 is the best age to reproduce, it is almost juvenile to succumb to nature’s expectations in present times. There is a growing trend of late pregnancy and the number of women procreating (for the first time) in the age group of 30-39 has doubled over the last 15 years. But arising from age-related problems, like diabetes and blood pressure, are risks such as a longer period (6-12 months) to conceive, miscarriages and prolonged delivery, that complicate matters.

Technically, a woman’s menstrual cycle is an indicator of the fertility of her reproductive system but excessive weight, the breeder of most health problems, plays a villain in this case too. Dr. Swati warns, “Food habits and lifestyle play an important role. Obesity is prognostic of adverse effects on child planning, whether naturally or through artificial methods.”


Source : IIPM Editorial, 2012.

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Thursday, November 8, 2012

A (c)ash rich proposition

GCIP acquisition gives sustainability but also substantially increases the risk profile for TCL

Tatas are on the rampage again! This time, it’s the less talked about Tata Chemicals Ltd. (TCL) that has created the buzz. The company announced a big ticket billion dollar mega acquisition of the US-based natural soda ash maker – General Chemicals Industrial Products (GCIP) on January 31. The acquisition (100% stake through a mix of debt & equity) will not only make TCL the 2nd largest soda ash maker in the world, but also help it command over 14% (over 5.5 million tonnes) of the world’s total soda ash capacity. However, it’s the choice of the target that deserves the real applause! Once the acquisition is complete, over 50% of TCL’s capacity would be through the natural route. This means both sustainability and natural hedge against the commodity cycle. “Since GCIP is using trona natural mineral, which can be converted into soda ash and is more cost effective (as production cost of natural soda ash is 40-45% cheaper than the cost of producing synthetic soda), it means increased profitability for TCL”, avers Rohit Nagraj, Sr. Research Analyst, Angel Broking. A Tata Chemicals spokesperson confirmed to B&E that “by 2009 and 2010, we will have more such overseas acquisitions as we believe Tata Chemicals has not yet utilised its full potential”.

The acquisition will not only enable the company to increase its capacity, but will also, in long term, give access to markets in North America, Latin America as well as Far East. Well, the sustainability is there to stay! (GCIP has natural soda ash mines expected to last for next 100 years). But then there are many who question the move on the backdrop of the US slowdown! “As many chemical manufacturers in the US are facing challenges, so will TCL,” says Paresh Nautiyal, analyst with Arihant Capital.


Source : IIPM Editorial, 2012.

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PRESIDENTIAL ELECTIONS: USA

Super Tuesday refused to throw up a winner for Democrats. SUTANU GURU analyses

However, ever since Obama surprised Hillary with a win during the first primary in Iowa, his campaign has been steadily gathering momentum and the double digit lead that Hillary used to enjoy till about a month ago has been reduced to virtually nothing. Most resonant and powerful was the open endorsement of the Obama candidacy given recently by the brother, daughter and nephew of the former President John F. Kennedy. The youth seem to be particularly taken in by the openness, clarity and vision being offered by Obama in contrast to more of the same kind of politics that Hillary seems to offer. “What was once inevitable is no longer inevitable,” said David Axelrod, Obama’s Chief Strategist. “What was once a lop-sided race is no longer lop-sided. The momentum has shifted.”

Yet, Obama cannot rest; nor can he afford to be complacent. A tidal wave of enthusiasm and endorsements after the Kennedy family supported him led many pundits to predict that Obama would sweep the big states like California and even give Hillary a run for her money in her home state New York. Obama’s campaign manager David Plouffe said the senator was in a “strong position to win the Democratic nomination,” and eyed contests next week in Maryland, Virginia and Washington DC. This seemed to be political wisdom till even a few hours before voting began. But the results – as usual – have surprised the pundits. Hillary has scored a big win over Obama despite support from big Hollywood stars like George Clooney. Of course, it becomes even more difficult to predict who will eventually will the Democratic nomination because the party has a complicated way of figuring out who will get how many delegates from each state. Unlike the Republican Party where the winner takes it all, the Democrats allot delegates to the candidates on the basis of the proportional share of the votes won by them. Till the time of going to the press, it appeared as if Hillary is slightly ahead with about 500 delegates while Obama is close behind with about 475 delegates. To eventually win the nomination and formally become the Democratic candidate, either Hillary or Obama will have to win over at least 2050 delegates across the country.


Source : IIPM Editorial, 2012.
An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).
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