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Archive through November 17, 2004 11/17 07:36pm Msgs: 20

The following commentary was written in 1995, almost 10 years ago and since then things have really changed and India has transformed into a faster moving mode.

Businessman in India is still seen as a manipulator, dishonest and having little integrity! Why? Most businesses do not pay any taxes. Most use the business to just make money and run. A social concern, customer service, consumer protection, quality control, quality of products are not usually found in the books of Indian business.

This is a reality in most cases. The private business have been a protected terrirorry and the Indian businesses have no one to respond to. A business in USA or Europe is responsible to public, consumer, customers, employees and to the state whereas Indian business has no responsibility.

Industrial accidents are considered fate and kismet.
Shoddy goods are thrown in the vast marketplace.
Any competitor is dealt with dishonest practices and exortion.

The entry of foreign capital and possibly the foreign manager is still a new thing and its impact is not visible except may be automobile industry. In last 5 years the auto industry changed and now the competition has forced Indian producers and part manufacturers to listen to the market & to the victimised consumer, and improve the quality, reduce the price and provide rather easier financing terms.

Government still does not have much interest in a free growth of private business - despite lots of noise and political statements.
Why can not we have an open and clean atmosphere where new entrepreneurs can start new ventures without stupid forms, and strangulating bureaucrates, asking for commission and bribe on every single desk of a government office.

Why cant governments in cities, state and Delhi just regulate, make simple and strict laws and let the market go on its own as it should go?

WHY?
Because if they do, how will they get illegal donations to their parties and how will they have fat 'bonuses'.

Government?
As in every and any act in India, Government is omnipresent and pervades in all spheres and areas. Govt owns a large variety of businesses which usually state has no business running in any case. Because of the insistence of our very scared planners, the 'market force' has been considered evil. All this is based on imported stale ideas of desktop western economists. The fact is that socio-economic realities are never taken into consideration when planning. The things must change or we will be forced to be on suicidal path as we have been.

Government bureaucrates salaries should be equal to private sector and any bribe taking crooks, and business guys who dont pay due taxes, must be executed or whipped in public.

It will change the environment and you will have a prosperous India in less than a decade.

You dont need to explode bombs nor asking for foreign aids & free funds if we just free our business.

But the bet is it will never happen because India is not run by logic but by kismet! We dont believe in professional management nor fair business practices.

India is NOT a poor country but it has a large chunk of poor people, made poor not by choice but by our absurd policies. But the fake, pseudo, half socialistic, half communist, half nationalist policies have made us numb and our business crippled.

Why Indian business executives in any other country of the world can have great success and the same people failed in India and/or were never given any opportunity.

INDIA is the only country in the world, where talented people are ignored, laughed and considered a liability.
The result is that Indians worldwide have two times more revenues than generated by the whole economy of India.

I have talked with over 2 dozen very close friends who manage/own very large businesses in Europe and the USA, few of them with revenues above 850 M$, and alas! most of them are not in favor of doing any business in or with India.

I would be very pleased if you can prove me wrong please write..
Pk Kapila

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