Indian Prime Minister Narendra Modi urged the organizations to ‘Make in India’ and that has given a significant push in manufacturing premium products in local organizations. at some point of time it can be viewed as an anti-national backlash that is directly supporting the local brands to grow. Keeping Modi’s comments in the centre stage, numerous activist organizations and political parties are raising agenda for boycotting foreign companies like Pepsico and Coca Cola as those organizations are bringing in harm for the citizens of India and on the other hand in absence of those two organizations the local companies would gain a huge competitive advantage in the market of India.
Currently it is seen that in the domestic market of India, PepsiCo and Coca Cola jointly have a 96% hold and the market price of that share is somewhat 4.9 billion US dollars. These two organizations are currently the boss of the soft drink market of India for the last 30 years. For the last 30 years PepsiCo and Coca Cola had no rival organizations in the Indian market, but recently local organizations like Dabur, Parle, ITC and some other local organizations are making good businesses in the domestic market and showing their potential to become rival organizations in future. After Modi’s urge for make in India, these local organizations somehow gathered a huge fund and started competing with these two global brands. After almost 3 decades the organizations PepsiCo and Coca Cola has faced such rivalries. The management of these two global brands tried to recapture the market by introducing some milk based products in the market of India, but eventually they failed (Saranga, Mudambi, and Schotter 2017). Apart from that these two multinational organizations tried to gain competitive advantage by manufacturing healthy beverages and by manufacturing mineral water in order to diverse the minds of the citizens of India from allegation on them for depleting the water tables at their plants all over the nation.
A few days ago government of Kerala raised voice against PepsiCo’s usage of the underground water in one of their plants in Palakkad Berglund, H., 2017. The water minister of Kerala stated this situation in an interview explaining that currently people of Kerala are facing major shortage of water due to uncontrolled extraction of underground water by these giant global organizations. Similar situation was seen in the year of 2002 in the village of Mehdiganj where the villagers were facing serious trouble due to water pollution and shortage of water due to Coca Cola’s uncontrolled extraction of underground water (Alabau et al. 2015). The activists demanded that Coca Cola is slowly destroying the land by consuming somewhat 2.5 million liters of water on a daily basis and that is majorly contributing to the shortage of water in that region of India. The activists also claimed that the multinational organization showed their power of buying out the local people by investing a lot behind development of some selected individuals in the region who are so called leaders of those people. The activists also demanded that Coca Cola bought the local government’s favor and thus the government does not speak a word against them. Not only that, the social activists claimed that the organizations dumped sludge in the surrounding fields and due to that the local people started experiencing sores in their foot after walking through those water (Alabau et al. 2015). Due to logging of those water issues related to mosquitoes got aggravated and the quality of the water coming out from the hand pumps also degraded over time.
Apart from these issues the aerated soft drinks are behind various diseases of humans as heavy consumption of these rinks can potentially lower the calcium level of the body and the phosphate content of these drinks are very harmful for human body. The activists claimed that under British rule in India, East India Company came and looted India for 200 years and in this post colonization time these global brands are robbing India in every possible ways. The situation is the same but the approach is different. Thus naturally in the states like Kerala, the production and sale of Pepsi or Coca Cola is completely banned along with other soft drinks under their banner (Koç and Koç 2014). Five other states of India also partially banned these products to use in educational institutions hospitals.
The ‘make in India’ campaign was originated in Narendra Modi’s Independence Day speech where he gave a clarion call for policies like ‘Make in India’, ‘Zero Defect’ and ‘Zero Effect’. These campaigns eyes to facilitate more investment, enhancing skill development, and building better manufacturing infrastructure and faster innovation in India (Anand, Kochhar, and Mishra 2015). These initiatives started to negotiate with local and foreign investors by promising them to provide a proper business environment to them. According to these policies, India will provide a red carpet for the investors rather faced than the red tape they faced earlier (Deka and Batra 2016). There is a portal named makeindia.com where the investors can find answers for their numerous queries regarding this issue. The government has deployed a team as tech support so that no investor faces any types of challenges while browsing through the website.
It is a matter of fact that in today’s world, most of the countries which have transitioned from lower income groups to higher income groups have undergone through a vast industrialization process and same should go with India’s case too. Thus the government of India is vigorously stressing on the industrialization factors. India is also focusing on charting an innovative course by trailing a growth led by service industry for the past 20 years (Rajan 2015). The following table portrays how this has majorly contributed to the GDP of India.
Figure: share of GDP and share of services
Source: (Anand, Kochhar, and Mishra 2015)
It is seen that for the last 20 years India’s manufacturing industry has grown in a uniform pace along with the overall economy (Deka and Batra 2016). The recent initiatives taken by the Indian government are totally changing India’s position in the global market. Earlier, India was one of the biggest markets for the foreign brands, but nowadays, the government of India is trying to establish the country as one of the leading manufacturer nation in the global market (Soundhariya 2016). In the following table, it is shown how in the recent years India lost competitive advantage in the global market and that is why the new central government is trying really hard to establish India as one of the major manufacturing nations in Asian market.
Figure: India’s rank as a manufacturer nation globally
Source:
This section of this report sheds light on the current situation of India as a manufacturer in the global market.
Figure: India’s concept map to grow as a manufacturer in the global market
Source: (Rajan 2015)
Source: (Saranga, Mudambi, and Schotter 2017)
From the above figure it can easily be said that the biggest opportunity for India is the market size. Apart from that, the nation needs to improve on some important factors in order to successfully become a major manufacturer in coming days. Indian Prime Minister Narendra Modi’s vision of Make in India is a big project and to make it successful, Indian government should work on those factors to enhance the productivity along with the reputation as a manufacturer nation in the global market (Baruah 2016). In current scenario, Indian government should stress on building appropriate infrastructure and increase the level of basic and higher education to acquire human resource with better professional skills. India needs to be technologically advanced a bit and needs to work on the financial market development (Soundhariya 2016). In current situation to grow as a manufacturer nation huge investments, both domestic and foreign investments are required and then only the country would be able to establish them as a major manufacturer country with increased reputation in the global market.
Thus to conclude, it can be said that to India’s initiatives regarding becoming a manufacturer country in the global market can put the future of multinational companies at stake as in changed situation, the focus will be on improving the productivity along with the profitability of the local organizations (Anand, Kochhar, and Mishra 2015). In this situation the salability of the foreign brands in the Indian market will be in a concerning situation.
a.Concept plan
Figure: Concept plan
(Source: Created by author)
b.Action plan
|
Activity |
Time allocated |
Imposed deadline |
|
Identifying the topic |
2 to 3 days |
3 days |
|
Searching details related to India |
3 to 5 days |
Within 5 days after identifying the topic |
|
Analysing economic data of India |
8 days |
Within one week after gathering details |
|
Making comparisons with the economy of other countries |
2 to 3 days |
Within 3 days after analyzing the economic data |
|
Forming a relevant conclusion |
1 to 2 days |
Within 2 days after the making comparisons |
Table: Action Plan
(Source: Created by the author)
Identification of the topic would require proper analysis. The topic need to be selected based on the current affairs of a country. Hence, proper analysis is required in order to identify the relevant topic so that it can provide proper thoughts and ideas relevant to the topic. In order to complete researching for the relevant topic, I would require 2 days. The deadline imposed by me for this task is about 3 days.
Having identified the topic I would require to search for details related to the country. In this case, the chosen country is India. The details required to be searched includes the economic condition of the country and the factors that affect the economy of India. This is time can be time consuming as the analysis will also have to made on the companies that exist in that country. For this I had set a deadline date of 5 days with the expected time to complete this search to be within 4 days.
The economic data of India will be a challenging analysis as India consists of 29 states and 7 Union territories. Analysing the economic condition of each state and then summerising it will require time for its completion. Hence, a week of research is required as information need to be gathered by analysing data sources for the completion of the project. The reason for conducting this research is to get an idea of the economic condition of the country so that progress can be made in the research in a smooth manner. The research can also help to form relevant idea about the manner in which the Indian Government works.
After analysing relevant data related to India, comparisons need to be made with other countries. The comparisons need to be made based on all the external factors that affect a business. This can help to understand the strengths and weakness of the country. My research on this topic need about 2 days with as the comparisons need to be made with countries that are in similar phrase of development like India.
Finally a relevant conclusion need to be provided that highlights the main points of the topic. The importance of the conclusion is to provide a content that helps in understanding the topic and allow people to form ideas about the topic. Drawing a conclusion would require 2 days as the data collected need to be reanalyzed and summerised in order to make it possible for the readers to analyse it.
c.While conducting the project plan, I have made a good use of my analytical skills, intrapersonal skills, and precision making skills along with my marketing skills and planning skills. Initially I had to make good use intrapersonal skills to get to the bottom of the problems in the business sector of India and I had to gather data and other facts from the labors, managers of various organizations and from various secondary sources like government website, company websites, journals and many more. After that the skill made me make a good report regarding this context is my analytical skill. I had to analyze all the collected data to understand the present condition of the business sector of India and what the advantages are and what are the possible disadvantages. After analyzing the collected data I made a good use of my decision making skill along with my precision making skills in order to point out the problematic areas and the areas of advantages. In this process I faced some challenges while gathering data from the primary sources, as there are various cultures and ethnicities present in India and while gathering the primary data I had to make good interactions from various people using my cultural intelligence. While gathering the primary data I found out that my level of cultural intelligence is quite concerning. For this reason I had to make sure that when I was travelling to gather data from primary sources, an individual with higher cultural intelligence accompany me. Throughout the process I have realized that to take out a huge project like this I had made good use of various other skills like planning skills marketing skills and many more. To chalk out a plan for enhancing India’s credibility as a manufacturer country in the global market I had to make a good use of my marketing skills to make the predictions and to chalk out the steps to be followed in order to increase India’s productivity along with the profitability in the global business sector. It is an easily perceivable fact that to grow economically it is essential that India should become a major manufacturer nation. Without the ability of manufacturing goods, according to my predictions, no country can ever become a major influence in the global economy.
Thus to conclude, it can be said that to make the project plan I had to use various skills and while using them I faced a major problem with my lack of appropriate cultural intelligence. Otherwise the path of obtaining the data was smooth and the making of the project plan was done without any major hitches.
d.While making the project plan, it was seen that there were some serious issues with the cultural intelligence of the researcher that posed as an obstacle while collecting data from the primary sources. It was also seen that there were some minor issues in precision making plans. These are important skills while developing a project plan for an important issue like Make in India project (Baruah 2016). The project is immensely important because if the project becomes successful, after implementing the ideas, in no time India would surely be able to become a manufacturer organization and a major influence in the global economy. There lies the importance of this particular project.
Thus there should not be any issue while the making of this project plan. As the project planner had some difficulties in cultural intelligence and precision skills, he or she will have to work on those particular factors (Soundhariya 2016). It is a fact that to improve the cultural intelligence, the individual will have to be self motivated and directed. Cultural intelligence is such a thing that cannot be taught in the classroom and the individual will have to interact with more people from different cultural background proactively. The more he or she will converse with individuals from different cultural background the more he will be able to enhance his level of cultural intelligence. The learner may try to break the content of learning into micro learning chunks and then he would be able to learn a bit faster and swifter.
To improve the precision skills also, the researcher or the project planner will have to become a self-learner. The planner should go through the collected data with increased concentration and will be needing to analyze the data with more attention. The planner will have to keep in mind a fact that in this particular scenario on his decisions the future of the project will be depending (Rajan 2015). Thus the researcher will have to remember the fact that there should not be any types of disputes while making decisions as this plan can lead India to a path of glory and become a major influence in the global economy. To improve the situation, the project planner might get engaged in thorough analysis of various data and make decisions based on those data (Baruah 2016). For better learning, he can create a hypothetical case with fake data and make decisions based on those data. Repeating this action can potentially improve the precision skills of the project planner.
Thus it can be concluded that the idea of “Make in India’ can potentially give a boost to the economy of India, making the nation as one of the major contributors of the global economy. Thus the importance of this project is immense and for these kinds of initiatives there can be major problems for the multinational organizations like PepsiCo and Coca Cola as the tendency of manufacturing products by the local organizations would surely reduce these organizations profitability in the Indian market. Not only organizations like PepsiCo or Coca Cola, same situations will be faced by other multinational business organizations too for which India used to be a major market.
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