January 15, 2010
‘The Economic Times’ has identified the 10 captains for 2020 and they called them the ‘Growth warriors’. The good thing is that, these captains does not belongs only to corporate world but there are few political faces too, whom we can say the “Growth machines”. (I have mentioned the term ‘Growth machine’ not because there is lack of human sentiments but they are fast, accurate and consistent).The Bihar chief minister Nitish kumar, the winner of business reformer award is one among them.
It’s been over four years since Mr. Kumar took charge, and the winds of change have started blowing across the state. People’s faith in governance and the rule of law have largely been restored. The sense of despondency and gloom has been replaced by an air of optimism. “Bihari pride”, which had become a pejorative phrase in the past couple of decades, is being invoked once again.
The latest Central Statistical Organization (CSO) data reflects that Bihar’s GDP grew by 11 per cent in last five years, much more than the national average of 8.49 percent. These figures make it the second fastest-growing state in the country. It, of course, has benefited from a low base effect since the state has long been a growth laggard.
The move to empower women with 50 percent reservation in panchayats and the urban local bodies’ shows Mr. Kumar’s commitment towards making the state more balanced and more civilized (Though my personal belief is that, positive discrimination in democratic process and democratic institutions are not good for the society and the nation as a whole. There is much better way to empower women w/o damaging your democratic belief). Mr. Kumar’s concrete effort to improve the education, health and infrastructure are remarkable. The web pages are flooded with so many data in this regard. We must thank and support (the extent we can do) to this great leader in his effort to bring the change in the state.
Mr. Kumar mentioned:
The state economy heavily dependent on agriculture. We want the next round of green revolution to take place in Bihar, “It’s our biggest strength. We want to build on this.”
It brings in the confidence when you know your strength and Mr. Kumar’s aforementioned statement brings the similar kind of confidence. Definitely we need to focus on agricultural sector but mean time we also need to look at our industrial outputs. We need to have a balance in our GDP from agricultural, industrial and service sector for sustainable growth. I think it is important to mention here that the agriculture based economy has to move to industry based economy before it enters into service based economy. The developed states followed the same trend and we need to learn it from them.
November 29, 2009
Is it really something wrong with the term ‘Profit’? I was just wondering!!!
I read the conversation between Mr. JRD Tata and Mr. JL Nehru: JRD innocently mentioned that the public sector ought to be making a profit. Nehru snapped back, “Never talk to me about profit, Jeh, it is a dirty word” (It was 1959).
Is it really a dirty word?
1991 – Economic liberalization in India. Now it is 2009.Unfortunately, even after 18 years of economic reforms launched by congress government and even after seeing the growth and prosperity in last two decades, still few people see the ‘profit’ as a dirty word.
I am quoting here the Narayanmurty’s word:
” Entrepreneurship (primarily motivated by the profit making), resulting in large scale job creation is the only viable mechanism for eradicating poverty in society. In the process of profit making Infosys has created 70,000 well paying jobs and 20,000 plus rupee millionaires.”
Tata, Birla, Ambani, Bajaj, Ruia, Hinduja, Munjal, Wadia, Mahindra and so on and on and on…motivated by profit making, brought the millions of jobs for Indians and improved their state of living. The same theory applies for all major IT giants. Government disinvests the nonprofit making public enterprises to make it profitable. Only profit can run and sustain the System, not the charity. Multinationals are investing billions of dollars only for making profit but that provides the opportunities for millions of Indians to earn, learn and grow.
I don’t see any threat in profit making, it motivates the people in the society to come up in the life and bring the prosperity. Nevertheless, profit should not be treated as an end itself. As I mentioned in my earlier post, the purpose of business is to make profit so that the business can do something more or better.