Beginning Q4 2008 the global economy went into a recession and certain markets awfully collapsed with no signs of warning. Fortune 500 companies closed down in a blink and the whole world got sucked in the infectious global meltdown phenomenon.
The question is how do we tackle this downturn and move ahead in the way business and markets use to operate prior to the slump. If only we could do business with another planet, things would have been better. Sad but true….we do not have that option open to us yet.
Identified ways for tackling recession
If you have a marquee product to sell, the prospective customers do not have the money to buy your product. Unemployment is increasing globally. Demand is shrinking. Consumers are postponing purchase of luxury goods until market recovery. Violence, hatred, inter-continental grudge is mounting. People waiting for a career-boost in terms of position and salary are left lurching in the dark. Cost cutting is given the top most priority in the corporate strategy. Disinvestment of public sector companies is the immediate action to be taken. Off shoring jobs to low cost nations is the punch line to success – indeed at the cost of people loosing jobs in their home country.
These are a few tactics identified by organizations and consumers to beat the downturn and be able to sail through it without being hurt.
Is the approach right…….or do we have to rethink our strategy?
The Finance Minister of India announced the Budget today and all through his speech, he has been positive about India showing green shoots of recovery. He stresses saying that India will show a turnaround in a few months from now and that India is an emerging country and is currently walking on greener pastures.
It is indeed good news for India. We are sailing on safe waters and can expect a good life ahead. But we need to be clear whether this good life predicted for the future is not where the rich become richer and the poor become poorer. It is nice to be living in a country that is booming and showing positive signs but what about that part of the population in India who are below the poverty line.
Are we doing anything to support them and convert their standard of living by providing them the basic necessities of life? They are not really asking for more!!
Each one of us has an opinion and here are a few immediate actions that I recommend:
- Free education to children below the poverty line – education up to graduation is must.
- Employment to the million people still jobless in India.
- Increasing benefits to Entrepreneurs, thus encouraging them to take on new assignments.
- Providing low cost homes to people who do not have a home.
- Farmers who provide the whole nation with our staple food are committing suicides today. The reason – the production is less and the money that they get after selling their produce to the middle-man is a quarter of what is sold in the market. Let the farmers get the full price for their produce.
- Offshoring is an area where India is benefiting today, but we should simultaneously put a contingency plan in place. There is a possibility when some years down the line India would be offshoring local jobs to other low cost countries such as Vietnam, China, Philippines. What do we do then?
Live and let live!
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Before I sign out, as I always say take very good care of yourself and God Bless.
Stick around, because life is beautiful!