Dragon vs Tiger- Emergence as a Global Leader- NAGA

8/8/2019 Dragon vs Tiger- Emergence as a Global Leader- NAGA

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Dragon vs Tiger- Emergence as a

global leaderPresented by

Naganathan.R

MBA

SAVEETHA

MANAGEMEN

T SCHOOL


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Contents

China and India- Economies at a glance China and India: emerging global economic

players

Sino-Indian relationship Military might of India and China

Strengths and Lessons of India and China

CHINDIAS Pre-conditions for a peacefulglobal power transition.

Conclusion


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Sino-Indian relationship

Relations between China and India date back to

ancient times. China and India are two of the worlds

oldest civilizations and have coexisted in peace for

millennia. Trade relations via the Silk Road acted aseconomic contact between the two regions.


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Sino-Indian relationship- Some

milestones In April 1954, India and the PRC signed an eight-year agreement on Tibet

that set forth the basis of their relationship in the form of the Five

Principles of Peaceful Coexistence (or Panch Shila).

October 20- 21 November 1962, War intensifies between PRC and INDIA.

India and the PRC renewed efforts to improve relations after the SovietUnion invaded Afghanistan in December 1979.

In 1984, squads of Indian soldiers began actively patrolling the Sumdorong

Chu Valley in Arunachal Pradesh.

in July 1994, the two sides agreed that border problems should be

resolved peacefully through "mutual understanding and concessions." InOctober 2009, Asian Development Bank formally

acknowledging Arunachal Pradesh as part of India, approved a loan to

India for a development project there.


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Military might of India and China

Capabilities CHINA INDIA

Total Population 1,330,044,544 1,147,995,904

Military ManpowerAvailable

729,323,673 584,141,225

Reaching Military Age

Yearly20,470,412 22,229,373

Active MilitaryPersonnel

2,255,000 1,325,000

Active MilitaryReserves

800,000 1,155,000

Active Paramilitary 3,969,000 1,293,300Total Air-Based

Weapons1,900 1,007

Total Land-BasedWeapons

31,300 10,340

Total Naval Units 760 143


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Capabilities CHINA INDIA

Towed Artillery Systems 14,000 4,175

Merchant MarineStrength

1,822 501

Major Ports and

Terminals

8 9

Aircraft Carriers 1 1

Destroyers 21 8

Frigates 42 16

Submarines 68 18

Patrol Coastal Craft 368 43

Mine Warfare Craft 39 12

Amphibious OperationsCraft

121 7

Defense Budget /

Expenditure$59,000,000,000 $32,350,000,000


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Very high economic growth, large internal market Very high savings and investment rate

Excellent at tapping into global knowledge throughdirect foreign investment and Chinese Diaspora

Becoming worlds manufacturing base Very large supply of excess labor will continue to give

it low wage advantage

But moving rapidly up value chain from laborintensive to more technology intensive exports

Efficient export trade logistics Critical mass in R&D is beginning to be deployed to

increase competitiveness

Strong investments in education and training

Government with strong sense of national purposecjd


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Jumped from traditional rate of 2-3% growth inpast decades to 6-8% last decade

Strong science and engineering capabilitiescentered in chemical and software areas

Is becoming worlds service center for softwaredevelopment and back office offshoreoutsourcing

Is also becoming center for contract innovationwork for multinational companies

Has large critical mass of educated, skilled, andEnglish speaking knowledge workers and canincrease this stock

Has network of successful Indians in US andEurope providing links to markets, technology,and finance

Relatively deep financial markets Is strengthening export orientation, and seeking

strategic alliances, but strength is limited moreto intangible trade rather than tangibles tradebecause of high infrastructure and regulatorycosts

cjd


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Importance of nation state in

developing long term strategy for country, providing stable macroeconomic framework,

pragmatism in transition to market economy

developing an institutional means for development to take place

focusing for several decades on the importance of education and

science and technology Importance of integration to world economy and of trade in goods as

engine of growth Very effective use of direct foreign investment to move up technology

ladder

Strong investments in human capital as fundamental step to make thetransition

Effective use of Chinese Diaspora in high tech parks and to bring intechnology and access to markets

cjd


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Importance of investments in high level technical,scientific, and managerial capital through network ofIndian Institutes of Technology and Indian ManagementInstitutes

Importance of turning brain drain to brain gain by

harnessing Indian Diaspora in global high tech industry Importance of moving from self-reliance to greater

international integration to accelerate and sustain growth

Importance of improving the whole legal and regulatoryenvironment to stimulate greater innovation and get more

out of growing critical mass of resources allocated toR&D

Importance of tackling necessary reforms in regulatoryregime and improving infrastructure and education to

really emerge as major export powercjd


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PRE-CONDITIONS FOR APEACEFUL

GLOBALPOWER TRANSITION

Much of China s dazzling newinfrastructure was built in the

late 1990s , and India is gearingup to the repeat thatperformance in the latter part ofthis decade .

Foreign inflows into Chinajumped substantially in the early1990s ,and those into India have,as was to be expected, jumpedin the mid-2000s.


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Good education and healthfacilities are necessary for

inclusive development they arestate subjects in India ,in chinaalso , local government has alarge share of the responsibilityfor their provision.

The Chinese culture is morehomogenous , while India hasgreater diversity.

India's greater expertise withmarket also shows in thefinancial sector, which is moredeeper and more robust then

Chinese counterpart .


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The two countries can develop similarposition on international negotiations to

counter pressure from lobbies that wouldmake developing countries bear much of thecost of moderating the climate changecreated by current develop nations.

At the same time , promoting technologyand renewable energy based solutions willmitigate the need for intense futurecompetition over China

The moment we realize the tusker nature ofINDIA, we would have a better prospective

over the mythical dragon.


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Dragon vs Tiger- Emergence as a Global Leader- NAGA

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