Time to make ‘ends’ meet!

IIPM Ranked No. 1 B-School In Global Exposre - Zee...

Public sector enterprises need to urgently tap the booming stock markets and unlock value

The Sensex closed at 19,929 on November 14, and ironically, it’s no child’s play for investors now. Individuals as well as corporates have made a mother lode out of the Indian stock market, and many companies are lining up their IPOs in the coming time to capitalise on the bull run. However, the most intriguing aspect of this atomic rise is – while on one hand India Inc. has been highly successful in unlocking value, on the other, the lethargic public sector enterprises are failing miserably to do so. And that too when they are faced with a golden opportunity! Jignesh Dhabalia, equity analyst, India Capital Markets, tells B&E, “The current bull run served as an fantastic opportunity for unlisted & listed companies... Even now it’s a good time to unlock value.”

Instances of this abound across sectors. ICICI Bank recently mopped up $5 billion from the markets while SBI is still unable to put its blue-print to raise money into use, which now has been lingering for over six months. Similarly, Tata Steel intelligently tapped markets via rights issue to fuel its ambitious expansion plans, SAIL is no way near. Even in aviation industry where players like Air Deccan, Jet, and Spice successfully hit the bourses, the oldest government-owned carrier Indian is yet to chalk out its listing plans post its merger with Air India. The list goes on and on. Barring a few like NTPC, ONGC and BHEL, PSUs have largely missed the highway to 20K. In 2007, when the IPO rush amongst companies was at an all time high, out of 82 IPOs/FPOs, there were only five PSU issues. Listing can help the government in its development programmes too. A 30% stake in IOC is enough to build hospitals & schools in every village.

Realising the need of the hour, Prime Minister Manmohan Singh recently commented to the press, “It may be useful for most PSEs to be listed on stock exchanges as this would enhance professionalisation of the Board of Directors & other independent directors. Induction of independent directors will ensure greater efficiency & effectiveness in decision-making...” But the Government should take the call and do away with clauses like minimum 51% holdings so that the unlocking process is transparent & logical.

The government should take lessons from their peers in China. Off late Chinese PSUs have been coming up with some of the world’s biggest IPOs – Petrochina, ICBC et al. So even now, if the PSUs fail to engage in raising money through public listings, they may not get a better time than this.


For more articles, Click on IIPM Article.

Source : IIPM Editorial, 2008

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


Read these article :-
B-schooled in India, Placed Abroad (Print Version)
IIPM in Financial times (Print Version)
IIPM makes business education truly global (Print Version)
The Indian Institute of Planning and Management (IIPM)
IIPM Campus
ZEE BUSINESS BEST B SCHOOL SURVEY

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I have been successful in implementing what I thought was the best.

IIPM Ranked No. 1 B-School In Global Exposre - Zee...

#. Sunil Bharti Mittal

Starting with a borrowed capital of Rs.20,000, he’s gone on to create the biggest telecom empire in India

The man himself on the making of Sunil Bharti Mittal

“It’s difficult to precisely say what are my strengths but I believe as a leader I have always encouraged collective decision making and I also think I have been successful in implementing what I thought was the best. That’s the reason I don’t believe in doing something when I am not fully convinced.”


For more articles, Click on IIPM Article.

Source : IIPM Editorial, 2008

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

Read these article :-
B-schooled in India, Placed Abroad (Print Version)
IIPM in Financial times (Print Version)
IIPM makes business education truly global (Print Version)
The Indian Institute of Planning and Management (IIPM)
IIPM Campus
ZEE BUSINESS BEST B SCHOOL SURVEY

IIPM awards four Bengali novelists
The Hindu : Education Plus : Honour for IIPM
IIPM ranked No.1 B-School in India, Management News - By ...
IIPM Ranked No1 B-School in India
Moneycontrol >> News >> Press- News >> IIPM ranked No1 B-School in ...
IIPM ranked No. 1 B-school in India- Zee Business Survey ...
» IIPM ranked No1 B-School in India :: Education, Careers ...
The Hindu Business Line : IIPM placements hit a high of over 2000 jobs
Deccan Herald - IIPM ranked as top B-School in India
India eNews - IIPM Ranked No1 B-School in India
IIPM Delhi - Indian Institute of Planning and Management New Delhi ...
domain-b.com : IIPM ranked ahead of IIMs
IIPM makes business education truly global-Education-The Times of ...

you can refuel overseas, as Air India does

IIPM Ranked No. 1 B-School In Global Exposre - Zee...

Cathay Pacific can avail of cheaper ATF prices as Aniket Mhatre, Aviation Expert, PLIndia convincingly states, “The costs for international carriers are lower as ATF outside India is at Rs.32/litre as against Rs.49/litre in India

Then there is another reason why it scores well, making “international” dreams sour for Indian airliners with its fuel cost advantage. With the advantage of low costs (as ATF prices are lower in international markets), Cathay’s Indian plans should give many Indian carriers a “shake-up” call! As per industry sources ATF prices in the domestic market are higher by 53% as compared to international standards. That basically means that Cathay Pacific can avail of cheaper ATF prices as Aniket Mhatre, Aviation Expert, PLIndia convincingly states, “The costs for international carriers are lower as ATF outside India is at Rs.32/litre as against Rs.49/litre in India. As ATF contributes to about 40-45% of airlines costs, costs for flying international are lower (as you can refuel overseas, as Air India does). Hence, international yield per seat is higher.” With the 9-10% hike, consequently, the difference will go up to 70%! Some advantage for Cathay.

Tie-ups are one way, which Cathay is also using to establish an increased presence in India, while at the same time holding caution of not getting into the ‘bloody’ Indian water. The carrier has recently tied up with Jet Airways and a couple of other airliners to serve as feeders as Binit Somaia, Regional Director, CAPA confirms, “Cathay will seek to tie-up with a domestic carrier to provide connecting feed to and from its gateways of Delhi, Mumbai, Chennai and that of its subsidiary, Dragonair, in Bangalore.” So does that mean Cathay is looking at some acquisition in the Indian market soon? “No! We’re not. And besides the current policy in Indian aviation does not allow us to. But even if that wasn’t the case, we don’t intend to,” snaps Tom. Cathay’s strategy clearly is an example of a capitalistic entity operating in a global environment with one clear focus – zero fanatism. On his recent visit to India, even Anthony Tyler, CEO Global, Cathay Pacific had remarked, “India will become one of our biggest sources of revenue in the near future… What’s happening in India is an absolute bloodbath but to put the record straight on LCCs; LCCs are not developing as fast in Asia as they have in US.” Better cost management is what makes Cathay an airship to be wary of. “We keep our costs down by selling tickets cheaply and through better yield management. I call it cost management not cost cutting. No matter what, we won’t compromise on the quality, or on safety and maintenance,” he adds while calling the capacity addition of Indian airlines “extremely irrational”.

Surely after having given airliners in North America, Middle East, China, and other regions some sleepless nights, it’s the turn of the Indian carriers who are currently making losses, and dreaming to go international. So what’s the solution for them? “Learning from the ‘careful yet profitable’ winner’s rule book,” is the obvious guess!


For more articles, Click on IIPM Article.

Source : IIPM Editorial, 2008

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


Read these article :-
B-schooled in India, Placed Abroad (Print Version)
IIPM in Financial times (Print Version)
IIPM makes business education truly global (Print Version)
The Indian Institute of Planning and Management (IIPM)
IIPM Campus
ZEE BUSINESS BEST B SCHOOL SURVEY

For More IIPM Info, Visit below mentioned IIPM articles.
1500-plus IIPM students placed across the country with 44 bagging international offers
IIPM set to beat economic slowdown
IIPM, GURGAON
IIPM - Admission Procedure
IIPM awards four Bengali novelists
The Hindu : Education Plus : Honour for IIPM
IIPM ranked No.1 B-School in India, Management News - By ...
IIPM Ranked No1 B-School in India
Moneycontrol >> News >> Press- News >> IIPM ranked No1 B-School in ...
» IIPM ranked No1 B-School in India :: Education, Careers ...
The Hindu Business Line : IIPM placements hit a high of over 2000 jobs
Deccan Herald - IIPM ranked as top B-School in India
India eNews - IIPM Ranked No1 B-School in India
IIPM Delhi - Indian Institute of Planning and Management New Delhi ...
domain-b.com : IIPM ranked ahead of IIMs
IIPM makes business education truly global-Education-The Times of ...

ATF prices are lower in international markets

IIPM Ranked No. 1 B-School In Global Exposre - Zee...

As ATF contributes to about 40-45% of airlines costs, costs for flying international are lower (as you can refuel overseas, as Air India does). Hence, international yield per seat is higher

Then there is another reason why it scores well, making “international” dreams sour for Indian airliners with its fuel cost advantage. With the advantage of low costs (as ATF prices are lower in international markets), Cathay’s Indian plans should give many Indian carriers a “shake-up” call! As per industry sources ATF prices in the domestic market are higher by 53% as compared to international standards. That basically means that Cathay Pacific can avail of cheaper ATF prices as Aniket Mhatre, Aviation Expert, PLIndia convincingly states, “The costs for international carriers are lower as ATF outside India is at Rs.32/litre as against Rs.49/litre in India. As ATF contributes to about 40-45% of airlines costs, costs for flying international are lower (as you can refuel overseas, as Air India does). Hence, international yield per seat is higher.” With the 9-10% hike, consequently, the difference will go up to 70%! Some advantage for Cathay.

Tie-ups are one way, which Cathay is also using to establish an increased presence in India, while at the same time holding caution of not getting into the ‘bloody’ Indian water. The carrier has recently tied up with Jet Airways and a couple of other airliners to serve as feeders as Binit Somaia, Regional Director, CAPA confirms, “Cathay will seek to tie-up with a domestic carrier to provide connecting feed to and from its gateways of Delhi, Mumbai, Chennai and that of its subsidiary, Dragonair, in Bangalore.” So does that mean Cathay is looking at some acquisition in the Indian market soon? “No! We’re not. And besides the current policy in Indian aviation does not allow us to. But even if that wasn’t the case, we don’t intend to,” snaps Tom. Cathay’s strategy clearly is an example of a capitalistic entity operating in a global environment with one clear focus – zero fanatism. On his recent visit to India, even Anthony Tyler, CEO Global, Cathay Pacific had remarked, “India will become one of our biggest sources of revenue in the near future… What’s happening in India is an absolute bloodbath but to put the record straight on LCCs; LCCs are not developing as fast in Asia as they have in US.” Better cost management is what makes Cathay an airship to be wary of. “We keep our costs down by selling tickets cheaply and through better yield management. I call it cost management not cost cutting. No matter what, we won’t compromise on the quality, or on safety and maintenance,” he adds while calling the capacity addition of Indian airlines “extremely irrational”.

Surely after having given airliners in North America, Middle East, China, and other regions some sleepless nights, it’s the turn of the Indian carriers who are currently making losses, and dreaming to go international. So what’s the solution for them? “Learning from the ‘careful yet profitable’ winner’s rule book,” is the obvious guess!


For more articles, Click on IIPM Article.
Source : IIPM Editorial, 2008
An Initiative of IIPM, Malay Chaudhuri and Arindam Chaudhuri (Renowned Management Guru and Economist).


Read these article :-
B-schooled in India, Placed Abroad (Print Version)
IIPM in Financial times (Print Version)
IIPM makes business education truly global (Print Version)
The Indian Institute of Planning and Management (IIPM)
IIPM Campus

ZEE BUSINESS BEST B SCHOOL SURVEY

For More IIPM Info, Visit below mentioned IIPM articles.
1500-plus IIPM students placed across the country with 44 bagging international offers
IIPM set to beat economic slowdown
IIPM, GURGAON
IIPM - Admission Procedure
IIPM awards four Bengali novelists
The Hindu : Education Plus : Honour for IIPM
IIPM ranked No.1 B-School in India, Management News - By ...
IIPM Ranked No1 B-School in India
Moneycontrol >> News >> Press- News >> IIPM ranked No1 B-School in ...
» IIPM ranked No1 B-School in India :: Education, Careers ...
The Hindu Business Line : IIPM placements hit a high of over 2000 jobs
Deccan Herald - IIPM ranked as top B-School in India
India eNews - IIPM Ranked No1 B-School in India
IIPM Delhi - Indian Institute of Planning and Management New Delhi ...
domain-b.com : IIPM ranked ahead of IIMs
IIPM makes business education truly global-Education-The Times of ...

Just to have too many stars in the film is not going to work.

IIPM Ranked No. 1 B-School In Global Exposre - Zee...

Script is the key ingredient Shubho Shekhar Bhattacharjee, CEO, Planman Motion Pictures

Yash Raj brand has come to an end or not is difficult to predict but what has surely come to an end is the monopoly of a particular filmmaker. Release after release, audience has given the verdict that if a movie doesn’t has a script and a good story to tell nobody is going to watch the film. The new age audience has access to the best of the world cinema streaming on the television. Ten fifteen years ago people didn’t have so many options. Today the scenario has changed. Now when the audience is exposed to the best of cinema, they don’t want to watch a compromised film. In context of Yash Raj what has happened in the last couple of years is that the audience feels that a lot of movies from their stable have been made just for the heck of filmmaking and the script somehow seems to have taken a backseat. This is why films from the most respected production house of the country have not worked. Just to have too many stars in the film is not going to work. There needs to be a complete rethinking to be done as far as films are concerned, unless that is done films are not going to work because people have become very conscious of what they watch.


For more articles, Click on IIPM Article.

Source : IIPM Editorial, 2008

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


Read these article :-
B-schooled in India, Placed Abroad (Print Version)
IIPM in Financial times (Print Version)
IIPM makes business education truly global (Print Version)
The Indian Institute of Planning and Management (IIPM)
IIPM Campus
ZEE BUSINESS BEST B SCHOOL SURVEY

For More IIPM Info, Visit below mentioned IIPM articles.
1500-plus IIPM students placed across the country with 44 bagging international offers
IIPM set to beat economic slowdown
IIPM, GURGAON
IIPM - Admission Procedure
IIPM awards four Bengali novelists
The Hindu : Education Plus : Honour for IIPM
IIPM ranked No.1 B-School in India, Management News - By ...
IIPM Ranked No1 B-School in India
Moneycontrol >> News >> Press- News >> IIPM ranked No1 B-School in ...
» IIPM ranked No1 B-School in India :: Education, Careers ...
The Hindu Business Line : IIPM placements hit a high of over 2000 jobs
Deccan Herald - IIPM ranked as top B-School in India
India eNews - IIPM Ranked No1 B-School in India
IIPM Delhi - Indian Institute of Planning and Management New Delhi ...
domain-b.com : IIPM ranked ahead of IIMs
IIPM makes business education truly global-Education-The Times of ...

Walking on the Razr’s edge

IIPM Ranked No. 1 B-School In Global Exposre - Zee...

It’s early days yet. But close on the heels of Tata’s acquisition of Jaguar and Rover, Videocon’s Venugopal Dhoot’s expression of interest to acquire Motorola has taken many by surprise. Will Dhoot be able to pull it off? By aditi prasad

There is some truth in this reasoning. In the fast paced global telecom handset race, Apple, Samsung, and Research in Motion (owners of Blackberry) have beaten Motorola fair and square on the technology and innovation front (before and after the Razr launch in 2003, Motorola has been unable to deliver any winning models), the two key drivers of the business; while Nokia remains way ahead of all competitors in a virtually unassailable position. “If an engineering giant like Motorola has been unable to innovate against Nokia, how does Videocon propose to take on the task?” says an analyst, refusing to be named.

Videocon’s record has not been particularly impressive in the past. The company had a virtual monopoly in the consumer durable segment, but when the likes of Samsung and LG came into India; they were reduced to a peripheral player. Till today, Videocon is struggling to gain back its market leadership position. “Videocon should understand that its core business is that of consumer durables and not handsets,” points out Ravishekhar Pandey from Springboard Research.

Besides, given that Motorola’s board has still not officially reacted to Dhoot’s bid, for all we know Motorola itself may refuse to sell its handset unit to Videocon or any other potential buyer, in the hope of its imminent turnaround after the split. In fact, the new Chief Executive at Motorola is upbeat about the prospect of the struggling handset business and expects the split to “enhance the pace of recovery in mobile devices and pave the way for its return as a leader in the industry.”

Be that as it may, if the deal goes through, one cannot totally discount the positive influence it will have on Videocon’s fortunes in the global telecom industry. In one fell swoop, from being a virtual nobody; Videocon will become the third largest handset-maker in the world, marginally behind Samusng and Nokia. Specifically, the group will gain access to one of the world’s most important telecom markets – the US – that boasts nearly 250 million mobile subscribers. Interestingly, while Nokia rules the roost globally, Motorola is the undisputed leader in the US handset market with a dominant 34% market share. Nokia trails behind at a poor fourth position.

According to some analysts, Motorola’s dominant position in the US market, where bundling offers (telecom service operators combining handsets as a part of new connections) are the name of the serious telecom game, is living proof of Motorola’s ability to gel well with the concept of handset bundling. And in the fastest growing telecom markets of the world viz. India and China, ‘bundling’ is indeed the next generation catchphrase for both handset-makers and service providers, which will provide Motorola-Videocon an inherent advantage in these markets.



For more articles, Click on IIPM Article.

Source : IIPM Editorial, 2008

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


Read these article :-
B-schooled in India, Placed Abroad (Print Version)
IIPM in Financial times (Print Version)
IIPM makes business education truly global (Print Version)
The Indian Institute of Planning and Management (IIPM)
IIPM Campus
ZEE BUSINESS BEST B SCHOOL SURVEY

For More IIPM Info, Visit below mentioned IIPM articles.
1500-plus IIPM students placed across the country with 44 bagging international offers
IIPM set to beat economic slowdown
IIPM, GURGAON
IIPM - Admission Procedure
IIPM awards four Bengali novelists
The Hindu : Education Plus : Honour for IIPM
IIPM ranked No.1 B-School in India, Management News - By ...
IIPM Ranked No1 B-School in India
Moneycontrol >> News >> Press- News >> IIPM ranked No1 B-School in ...
» IIPM ranked No1 B-School in India :: Education, Careers ...
The Hindu Business Line : IIPM placements hit a high of over 2000 jobs
Deccan Herald - IIPM ranked as top B-School in India
India eNews - IIPM Ranked No1 B-School in India
IIPM Delhi - Indian Institute of Planning and Management New Delhi ...
domain-b.com : IIPM ranked ahead of IIMs
IIPM makes business education truly global-Education-The Times of ...