Post on 16-Jan-2015
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Future of Asian Enterprise: India
2025?
Indian firms are rapidly globalizing
Direction of India's Outward FDI (Cleared Proposals),
April-September, 2008
Others25%
UK6%
USA21%
Netherlands11%
Singapore20%
Mauritius11%
UAE6%
Direction of India's Outward FDIApril-September, 2009
Others27%
UK2%
USA11%
Netherlands8%
Singapore30%
Mauritius15%
UAE7%
via Financial Times, March 9, 2010.
Examples of M&AIndian Outbound M&A
Outbound FDI
KuwaitTelecoms(US$ 10.7
billion)
SingaporeHealthcare(US$ 683million)
Source: RBI Bulletin, January 2010
GDP growth in Central provinces [Chongqing, Sichuan, etc] outpace coastal regions [PRD, YRD]
GDP growth in Central provinces [Chongqing, Sichuan, etc] outpace coastal regions [PRD, YRD]
Rapid GDP growth in Tier I – II provinces [Gujarat, Karnataka, Maharashtra, New Delhi]
Rapid GDP growth in Tier I – II provinces [Gujarat, Karnataka, Maharashtra, New Delhi]
46% Urban46% Urban
54% Rural54% Rural
28% Urban28% Urban
72% Rural72% Rural
INDIA = CHINA – 12 Years
Stumbling Tiger, Leaping Dragon?
INDIA
Rural areas will drive innovation in India
CHINA
INDIA
Why China is 12 years ahead
India 2025: 35% Urban
Good Infrastructure
Back Office Copycats
Poor Infrastructure
BreakthroughInnovation
Source: Global Competitive Index
Will India’s poor infrastructure impede its growth?
Growth Trajectories: China and India
Jugaad Innovation
JUGAAD INNOVATION: Constraint-based innovation that relies on ingenuity in terms of product, process, and people to serve customers at the base of the pyramid. It is “First World goods and services at Third World prices.”
Price Profit (Frills) Design
Innovation Flows
DEVELOPEDEMERGING
Challenge and change the price performance equations. If we can satisfy 500 million (poor) customers in India by producing world-class quality, then that can become the biggest export opportunity in the world.
- CK Prahalad, author of ‘The Fortune at the Bottom of the Pyramid.’
Innovation: Business Strategy
DEVELOPED EMERGING
Arogya Parivar: Business Strategies for the BoP
The traditional four P’s of marketing (Product, Price, Place and Promotion) have been replaced with the 4A’s (Affordability,
Awareness, Availability, Acceptance).
Innovation Flows: Products
DEVELOPED EMERGINGEMERGING
From Pepsi to PepsiCo: Learning from India to export overseasIndia as the world’s post-recessionary consumer lab
Business Today
Initial entry conditionsturned into strategic advantage
Indigenous products helped PepsiCo diversify out of soft drinks.
The technology behind Nimbooz, a lemon-flavoreddrink, was used to launcha hibiscus drink in Egypt.
PepsiCo uses India as abenchmark for low-cost-high-quality products, reinforcing India’s status as a lab to determinepost-recession demand.
Innovation Flows: Services
DEVELOPED EMERGING
First World Surgeries At Third World Prices
Source: Wall Street Journal
DIY and Modular Vehicles
Portable HygieneClean Technology
Mobile Commerce
How can Singapore capitalize on the disruptive innovation from India?
In what ways will disruptive innovation from India affect Singapore?
2025: Indian Enterprise Landscape