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Disclaimer - The Views & Opinions expressed in Nexus are personal and do notnecessarily reflect those of Team Nexus, Communication Cell or Department of

Management Sciences, (PUMBA) University of Pune. Few of the images in this

magazine are taken from internet and are used purely for academic purposewithout any intention of copyright infringement. For any suggestions please

write us on nexus@pumba.in

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HOD's ADDRESS

Nexus, the quarterly magazine of Department of Management Sciences,

University of Pune (PUMBA) is an attempt by the students to explore their

creativity and share their insights. It consists of articles from the students ofPUMBA, has a space dedicated to industry experts and articles from the

alumni where they share their experiences and learning.

The current edition shares interesting thoughts on the current scenario of

India and how managers can use it as an opportunity. It has been a pleasure to

witness the efforts of the students and watch them grow.

I appreciate the efforts of the students and the faculty of PUMBA who have

made Nexus a possibility through their articles, co-ordination efforts and

continuous support. I wish the team all the very best for their future

endeavours.

Warm Regards,

Dr. (Capt.) C.M.Chitale,

Professor & Head,

Department of Management Sciences, (PUMBA)

University of Pune

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It is a pleasure to see the new issue of NEXUS, the U:th sensation magazine of Department

of Management Sciences, University of Pune. Within this you will find a host of issues

covering a range of subjects interspersed with interesting articles.

The hard work and diligence with which communication cell works to bring to us each

edition of NEXUS is evident in the quality of each new edition. The Edition owes much to

the many contributors of the articles who have shared their knowledge. One of the aims of

this activity is to stimulate interest in different areas and it is gratifying to note the response

through the years that NEXUS has received. I am proud to notice the improvement in

expression and style of writing through the years. Writing skills is something which is not

specialization specific and having a habit to read contributes a lot in enhancing your

knowledge base. Since knowledge knows no boundaries, the more you learn, the more you

will be equipped to face challenging situations.

Once again I will like to congratulate team nexus for their remarkable effort. Keep it up!

Lastly, when it comes to knowledge and creativity there is nothing good or bad so leave all

the qualms behind and enjoy reading!!

Regards,

Dr. Prafulla Pawar

Faculty Coordinator,

Communication Cell,

PUMBA

FOREWORD

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CO-ORDINATOR'S MESSAGE

MBA in a year has taught us many things the most important being the

practicality of professional life. PUMBA has taken the knowledge and polished it with

reality, introducing us to new ways of reaching excellence. The one thing I shall take

away from here is the new habit I have cultivated; it is the habit to READ. It sure has

transformed the thought process-Reading to understand the market, the state of the

economy, the 'rags to riches' story of the new entrepreneur. Reading to learn from other

peoples mistakes and to learn about new opportunities. I would also like to welcome

the new batch of PUMBAites. Welcome to the world of management, where the

Economic Times is our bible and the stock market, our pulse. Be ready to be trained in

the nuances of business and to be groomed to become the perfect manager. In fact,

you have already taken the first step by taking admission in PUMBA, which, at the end

of two years, will give you about 200+% return on investment and definitely a lifetimeexperience.

With that in mind, we bring to you the new edition of Nexus which will help you

learn and grow. Nexus, the quarterly magazine of PUMBA, comprises of articles

submitted by the students of PUMBA. So, happy reading and wish you have a fun

filled and eventful journey in PUMBA!

Regards,

Nupoor Agrawal,

Co-ordinator,

Communication Cell,

PUMBA

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Dear Readers,

Welcome to the August Edition of NEXUS-New and Exclusive Youth Sensation,quarterly magazine of Department ofManagement Sciences, University of Pune

(PUMBA).

We, at PUMBA strive each day to keep up thename of one of the top most universitydepartment of our country. This edition ofNEXUS brings to your table a plethora ofarticles giving you a wholesome experienceunder the covers of a single magazine.

Our country is in a juxtaposition ofcontrasting situations. We are pacing

towards becoming a developed nation withfull vigour but at the same time there areincidents of ignominy which have questionedour growth potentials. This gap is what I havetaken up as the basis of the cover story of thisNEXUS. My aim is to encourage the idea ofincluding MBA graduates in managing thedevelopmental efforts. The cover story aimsat finding opportunities for managementgraduates to fix the loop holes in India'sgrowth story.

In the section of Alumni, we are privileged toreceive an article from our alumnus Mr.VipinRamdas who has written about his learningon dealing with bosses. We are proud todiscover that he is also writing a book on thesame subject.

I am delighted to introduce to all, the newsections of NEXUS. First is Discussion Forum

where our Prof. Anil Agashe and few studentshave shared their opinion on a sensationaltopic and second is Okonomie (Economics)where I have included an article written by

me a year back but has striking relevance inthe present time.

I would like to extend sincere gratitude to our

HOD Dr. Capt. C.M. Chitale Sir for giving usthe opportunity to bring out NEXUS.I wouldalso like to thank our faculty CoordinatorDr. Prafulla Pawar Sir for supporting us andgiving his valuable feedback from time totime. I would also take this opportunity tothank Prof. Anil Agashe Sir for sharing hisviews and contributing in the DiscussionPage of NEXUS.

There are few people without whose

contribution and assistance Nexus wouldn'thave materialized from few ideas to amagazine. Firstly I would like to thank theCoordinator of Communication Cell,Ms.Nupoor Agrawal for entrusting me withthis responsibility and supporting the effort.I would also like to thank Ms.Tanvi Pande andMs. Nupoor Agrawal for helping with theediting work and Mr.Vinit Khandelwal andMr.Hakimuddin Fakhruddin for creativeinsights and designing.

I hope our readers will enjoy the content ofthe magazine. Creative criticism andfeedback from the readers is alwayswelcome as it helps us in connecting in aunique and effective way.

Thus, on behalf of Communication cell, Iwould like to present to all, the AugustEdition of Nexus.

Best Regards,

Rashi KaushikEditor, NEXUS

FROM THE EDITOR's DESK

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1. The Cover Story

By - Rashi Kaushik - 6

2. Marketing Mania

By Atul Gupta 9

3. Human Resource

By Shruti Nikam 11

4. Money Speaks

By Neha Bhide 13

5. Sectornama

By Anand Maniyar 16

6. Book Review

By Radha Deodhar -19

7. Ad-diction

By Rahul Wane 21

8. Sports Talk

By- Nupoor Agrawal 24

By- Navin Bhat 26

9. Alumni Section

By Mr. Vipin Ramdasi -28

10. Discussion Forum 30

11. My Opinion

By Mayur Jagtap 33

12. Okonomie

By Rashi Kaushik 35

13. Management ExampleBy Rohit Raina 37

14. Creative side

By Atul Gupta 39

15. PUMBA MIRROR- 41

CONTENTS

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Cover Story

MBA Opportunities:

Broadening the Horizon

By Rashi Kaushik

rogressing, amidst Scandals,

Confused, Enthusiastic, Dense- few

words to describe India's state ofPaffair, in fact, can aptly define the state of my

thoughts in compiling this cover story. There

is a cacophony of words and images, I have

too much to write, I have all the resources,

vocabulary is not a problem (thesaurus is

there to my rescue) but what is proving to be

an arduous task is to connect things and put

them on a single canvas. India is not only

diverse in terms of language, culture and

habits but its issues are diverse too. I am

amazed at the fact that ours is a nation which

on one hand, is distinguished for being one of

the fast growing economies with the best

manpower resource, on the other hand it is

the same economy caught in a cyclone of

issues. We are not talking about a single

decision gone wrong, we are talking about a

series of disasters with a domino effect. It has

resulted in a situation nothing better than the

state you find your headphones in- all

entangled, when just a day before you had

patiently detangled it.

But before jumping into disastrous

conclusions and sentencing a judgement

against the nation let us not forgetmanagers

don't make conclusions they study the matter

and deliver solutions. So looking at the half

filled portion of the glass, I see a country with

the richest legacy, the largest society of

world's best scholars and a place which has

transformed itself from a third world country

to modern state keeping in pace with the

globalization. We have kept the ethics alive

but we have smartly given it a twist of

efficacy. We are the country with best

cricket players, best economists, soulful

renowned singers, world's richest people

and the one with maximum youth

population Considering our position fifty

years ago we have transpired miraculously to

the present day. But while looking through

the magnifying glass these examples portray

only a superfluous glory. The current turn of

events have exposed to the world the

sensitive side of India.

Does anyone believe that corruption has

infested India just a decade ago? The answer

is NO, it's the recent upheavals that have

surfaced the scams and have changed the

history and future for our ruling government.

As a student of economics I have learnt about

all possible trade-offs in economics like those

between inflation and growth, population

and growth etc. all propounded by worthy

economists but the latest one that I have

learnt is between corruption and growth

which though not published in any book inthe world is firmly believed and upheld by our

politicians with utmost integrity. Cricket,

.

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being the religion of India hasn't been true to

its customs lately but nonetheless I praise the

few who have respected the sport and the

fans' undoubting faith in them. Speaking of

religion, what has collapsed is the spirit ofdevotees on a pilgrimage to Kedarnath shrine

when it was hit by the fury of a mighty river

which wiped out a complete region along its

flow and took with it lives of many. Also what

shouldn't, but is following suit is our currency

value which is dwindling as the days are

passing and the only government measure in

notice are the opinions passed by few in

diplomatic words. The situation has entwined

India in a web trapping the stride towards

growth. We just don't have a state to rebuild

we aren't even ready with firm basic

infrastructure in any city to bear the burden of

development. Corruption the pet word of

today's language has infested each functionand is cutting the wings of progress.

All in all the things are in disarray, but at

such times few words guide you towards an

optimal direction and such are the words of

Peter Drucker, The greatest danger in times

of turbulence is not the turbulence It is to act

with yesterday's logic. Problems have beenthere and will always be, it is time to grab this

as an opportunity to restore and reboot. It's

not about theories, equations, deductions,

investigations it's about simple logic,

planning, controlling and collaborating. Wait

a bit, aren't these functions of management.

Indeed the missing link is the management

skills at the right place and of the right kind.

Ever wonder why an employee is worst hit by

inflation, it is because he is always under a

scanner. Be it the company or tax laws all

have given barely few loopholes for him to

shirk the burden of increasing taxes. Why

can't each individual of our nation be it the

president or a beggar be made an employeeof the country.We have proudly realised that

corruption, 'jugaad' and wanting special

privileges is in the blood of Indiansbut we

haven't thought of ways to curb this desire

spoiling many lives. Professionalism is must

to run the country. At present we have a pack

of leaders looking out for their own interest

there is a need to transform the entire system

into a corporate setup. There shouldn't be

state governments there should be

departments and the roles shouldn't be of

ruling but managing. The idea may sound like

a picture from a dream or a fairy tale but it just

needs some work to turn it into a reality.

Indeed just a nexus of country leaders andteam of managers.

This is the right place indeed to share

one experience of mine, the other day I visited

my father's office where one of his colleague

asked me so Rashi what are you doing

now? to which I proudly replied Uncle,

MBA, the word was said and forget fewwords of encouragement, uncle started

discussing the hot news filling up the

tabloids about how MBA institutes are

shutting down, the number of applicants is

falling and MBA as a course has lost its glory.

The moment there I couldn't disagree more; in

fact the need of the hour is managers. There is

a sound team of economists, scientists,

agriculturists and industrialists but what

results is that, these propose solutions that

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clash each other's interest and get lost after

an uproar. Managers need to be appointed for

finding the right balance between these

scholarly interests. MBAs look for placements

in huge corporate setups whereas thisavenue is completely left undiscovered. What

can be bigger than managing the efforts of

growth of India? Politicians don't get scared,

none are conspiring to steal your beloved

seats, MBAs are required to be in the

backdrop and you can still run the show. MBA

institutes closing should be good news rather

than bad, as it indicates that the field is

getting refined and those who can deliver are

managing to stay put.

The irony being how can jobs for

managers ever run out in an economy which

is still developing and more than that is facing

a situation of mismanagement. There is just a

need for realisation and acceptance.

Realisation that MBAs are not just meant for

companies there are meant for management

roles and acceptance on the part of great

people who might have to share their duties

and responsibilities with us just to make India

a better place.

Talking about opportunities for MBAgraduates how can I bid adieu without

dedicating a place and a few words here for

my fellow aspirants. Many of us perceive the

area that I am referring to as quick sand. Once

you get into it getting dirty is inevitable and

hence we stay away. But aren't these the

ultimate management roles we aspire ofundertaking. For an MBA in marketing

imagine devising strategies to attract foreign

governments to invest in India or simply just

market an idea of a farmer to sought

investments for his product. For the budding

HR managers what can be more challenging

than coordinating the human resources of a

country, ensuring balance growth and

standard of living throughout the nation.

These are just to mention a few, there is an

ocean opportunities waiting for you to plunge

into.

Our work is to fit the jigsaw puzzle

regardless of what the puzzle is made of. We

should be able to play with situations, use all

permutations and combinations and match

things in a win-win situation for all. A secret

recipe to success in our field is to master the

game of chess and bring your experiences

from the game to real world.

Remember our uniqueness lies in our

approach and not in the result, so make theopposite person value your approach.

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MARKETING MANIA

POLITICAL BRANDING

By Atul Gupta

henever I look at politicians, one

thing that comes to my mind is

what is that quality whichWmakes an average looking person so

charismatic that people willingly follow them,

sometimes blindly. In marketing jargon, we

refer to this in terms of branding. Let us

understand this from a small example. Here,we, the voters will be addressed as

consumers, whereas the politicians will be

addressed as brands. In normal course, a

consumer buys a product, which appeals to

their lifestyle, needs and suits their pocket. In

politics, consumers select those brands,

which appeals to their lifestyle, as how is the

brand? Will the brand be beneficial to theconsumer? When we talk of this concept in

American context, a common American will

think that whether the brand (candidate) will

be helpful in getting him a job or will be

helpful in reviving the economy. When we talk

in the Indian context, especially the most

important state, politically, Uttar Pradesh, a

consumer will look at whether his brand is of

his caste? Or from the same Gothra that he is?

Now we come to the need part of the

definition. A common US citizen, will analyze

whether the brand will be able to match his

needs, it may be economic needs or the

patriotic needs, as, will the brand be able to

take a revenge from Taliban? Need for a

consumer from UP means the need for alcohol,

immediate need for cash for which the

consumer will sell his/her votes.

What typically is a political brand? A political

brand is a transformation of a dull concept

of politics into a dynamic commodity.

Though using the word commodity may not

be appropriate in this context but it suits well

when we talk about it in today's scenario. A

political brand, unlike in the older days, need

to be appealing and communicative as well.

Political branding is an art, where the brand

needs to get deep into the pulse of a consumer

and keep them engaged, so that the brand

visibility is increased and in turn brand recall.

The political landscape nowadays has

become much liberal and quite complex

hence recognizing a brand has become much

more difficult. That is why branding in the

political arena has become so important.

Two of the most successful brand in politics,

which I can recall is Obama and Modi. Let

us take these two brands as a case study for

the purpose of understanding, how political

branding can make or break a leader? First,

let us look at Obama's case. Obama gave a

new dimension to political campaigning and

political brand building. Obama's USP is his

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HUMAN RESOURCEHuman Resource Management

Mere theory or desperate need of the hour

By Shruti Nikam

he only vital value an enterprise hasis

the experience, skills, innovativeness

and insights of its people.TThese words by Leif Edvinsson, SwedishIntellectual Capital guru in Corporate

Longitude hold a meaning deeper than what

is perceived by the superficial mind.

Human Resource Management is often

regarded as the easiest branch of

management and is thought of being opted

for by people who cannot deal with real

work. In reality, being trained to deal with

the human nature and the human mind on a

day-to-day basis is harder than it looks. The

human mind and the human nature is not a

tangible thing which can be dealt with by

using specific rules and tools. Therefore, it is a

challenge to recognize and realize how a

certain mind reacts to certain situations and

how, in the crudest words, it can bemanipulated.

This has been succinctly described in a single

statement by Roger Enrico, Vice Chairman of

PepsiCo, referring to areas like HRM as

opposed to quantitative factors:

The soft stuff is always harder than the hard

stuff.

Human Resource Management is no longer

just a theory. The world, in recent times, iswitness to many notable instances where

handling the human resources in a different

way would have changed the outcomes.

Taking India into consideration, we can

easily say that no person will forget the

Maruti-Suzuki Manesar plant incident that

took place on July 18, 2012.

The incident, which was a violent result of a

year-long conflict between the Maruti Suzuki

Workers' Union (MSWU) and the Maruti

management, resulted in the death of an HR

Manager and caused injuries to almost 100

managers and supervisors of the company.

The piercing questions in everybody's mind-

what happened in a couple of minutes that

turned a five-month long peaceful protest

into one of the most violent and worst ever

incidents to be faced by a company with

regards to its employees? Was it the phone

call from a senior manager, retreating from

the understanding and agreement with the

union? Were the union leaders who protested

the al leged reversal of the decision

threatened inside that negotiating room? Didunion members rush into the negotiating

room to protect their leaders who they feared

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were being threatened or attacked? Was the

fire deliberately started or was it an accident,

in reality a short circuit? Was Awanish Kumar

Dev's death an accident or a brutal murder?

Nobody has found the answers to these

questions. But could this incident be avoided?

Yes.

The answers to all these questions are not

clear and probably will never be. But what is

definitely clear is that there was a resentment

brewing among the workers towards the

management and the company. This was

because of a lack of recognition for the

workers, lack of stability for them in the

company, lack of due respect to their opinions

and demands and also a lack of freedom to the

workers to form their union. The MSWU was

formed by the employees after adhering to

pre-conditions laid down by the

management so that it would allow the

Haryana Labour Department to register the

Union.

This is clearly an episode of handling the

human resources of the company in an

untactful manner. According to reports, the

managers and labour officers who visited the

plant were fully aware of the brewing

resentment and yet they tried to do nothing

about it. This shows a lack of care and respect

towards the employees and this could havebeen definitely changed. If the management

had given due importance to the employees'

demands and met them through compromise,

they probably would not have reacted as they

did. Had the management given them the

freedom to form their union, the workers

would not have felt that the management is

not supportive of their concerns. Had the

management taken serious notice of the

resentment growing among the employees in

time, they would not have lost Awanish

Kumar Dev to the violence that hit the

Manesar plant and his family would not have

been left without a son, a brother, a husband

and a father.

Thus we see that managing the human

resources of an organization, be it a small firm

or a large corporation like Maruti, is not an

easy job. It requires awareness and courage

to offer the employees what actually needs to

be given; it requires the guts to be selfless to

do the right thing towards your human assets;

it requires diplomacy and the knack to discuss

and compromise and resolve issues in such a

way that no party feels like the loser.

In today's world, where people are becoming

more aware of their worth, Human Resource

Management is more than just a theory to

learn. It is the need of the hour. It is a practice

to be followed not by HR managers alone but

by everyone. It is a way of working to be

developed by every professional in order to

survive the corporate world.

To conclude, a quote by Immanuel Kant,

German philosopher seems apt:

Always recognize that human individualsare ends and do not use them as means to your

ends.

If every organization realizes the importance

of these words, the corporate world would be

a better and safer place to be in!

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slowdown in growth there is increasing

pressure on RBI to decrease the policy rates.

Under such conditions foreign investors tend

to stay away from investing. This further

affects the capital account flows of India and

puts a depreciating pressure on the currency.

5. India is the net importer of OIL and

GOLD. Due to fall in gold prices, citizens are

buying more gold which is increasing the gap

between imports and exports and thus we

are facing huge current account deficits and

putting further pressure on the rupee. Oil

prices have soared leading to huge current

account deficits.

The impacts of rupee depreciation are both

positive as well as negative. The rosier side is

for exporters, as they will receive more money

for the same amount of goods exported as

before. Ex: An exporter receives Rs. 58,00,000by selling 1,00,000 units of a product which

earlier helped him earn only Rs. 53,00,000 for

the same amount of goods. Thus, exports

earn more now. Companies borrowing money

from other countries will benefit big time as

they get more rupees for the dollars they

bring in. Similarly, families of non-resident

Indians (NRIs) remitting money from foreigncountry to India will get more rupees. If a

foreign company is planning to invest in

Indian business, for lesser dollars they will

get more value in India. Foreign travellers

coming to India will benefit too as they get

more for the bucks.

But all is not green for importers, they would

receive much less for the same amount ofgoods. In the above example, the importer

will have to pay Rs. 58, 00,000 for the same

IMPACTS OF RUPEE DEPRECIATION:

amount of goods for which he paid Rs. 53,

00,000 earlier. Thus, imports become costlier.

Indian companies planning to invest in other

countries will find it more expensive to do so

as compared to earlier. Overseas travel will

become costlier as you need to allocate more

rupees to get the same amount of dollars.

Parents who have their children staying

abroad will feel the pinch too as they need to

increase the budget set aside for the

purpose.

RBI can sell forex reserves and buy Indian

Rupees leading to demand for rupee. But

using forex reserves poses risk also, as using

them up in large quantities to prevent

depreciation may result in a deterioration of

confidence in the economy's ability to meet

even its short-term external obligations. And

not using reserves to prevent currency

depreciation poses the risk that the

exchange rate will spiral out of control. Since

both outcomes are undesirable, the

appropriate policy response is to find a

balance. Recent data shows that RBI had

indeed intervened by selling forex reserves

selectively to support Rupee.

The rationale is to prevent sudden capital

outflows and ultimately lead to higher

capital inflows But India's interest rates are

already higher than most countries. This was

done to tame inflationary expectations. RBI

can take steps to increase the supply of

foreign currency by expanding market

participation to support Rupee. RBI can

increase the FII limit on investment in

g o v e r n m e n t a n d c o r p o r a t e d e b t

instruments. It can invite long term FDI debt

MEASURES TO BE TAKEN:

.

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funds in infrastructure sector. The ceiling for

External Commercial Borrowings can be

enhanced to allow more ECB borrowings.

Government should take some measures to

bring FDI and create a healthy environment

for economic growth. Key policy reforms that

should be initiated includes rolling of Goods

and Services Tax (GST), Direct Tax Code

(DTC), FDI in aviation and retail, Companies

Bill and diesel decontrol. Efforts should be

made to invite FDI but much more needs to be

done especially after the holdback of retail

FDI and recent criticisms of policy paralysis.

The government took steps recently to loosen

rules for portfolio investment in the Indian

market, indicating its desire to sustain

external inflows. The measure to increase

External Commercial Borrowings (ECB) to

$10bn will help in borrowing in dollar at a less

cost. It may take similar steps to encourage

FDI as well, helping sustain external funding.

The Indian Rupee has depreciated

significantly against the US Dollar marking a

new risk for Indian economy. Grim global

economic outlook along with high inflation,

widening current account deficit and FII

outflows have contributed to this fall. RBI has

responded with timely interventions by

selling dollars intermittently. But in times of

global uncertainty, investors prefer USD as a

safe haven. To attract investments, RBI can

ease capital controls by increasing the FII

limit on investment in government and

corporate debt instruments and by

introducing higher ceilings in ECB's.

Government can create a stable political and

economic environment. However, a lot

depends on the Global economic outlook and

the future of Eurozone which will determine

the future of our currency.

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SECTORNAMA

Job is half done: RBI

By Anand Maniyar

iven the noise in the media and

quantum of clarifications relating

to interpretation of various clausesGof the new bank licence norms from various

entities and applicants, one would have

thought the number of players seeking bank

licences was more than 100. RBI was flooded

with the requests for interpretation of itsrules for granting of new banking licences

and for clarifications on the 'ambiguity' in

various areas, as more than 100 entities had

evinced initial interest in seeking permission

to set up banks.

However, after the last day of submission ofst

application i.e. on 1 of

July 2013, only 26 public

a n d p r i v a t e s e c t o r

companies have applied

for it. Most of the top

corporate houses in the

country had lined up for

bank licence, and so did

s o m e s e c o n d r u n g

players. However, themad rush that was

expected earlier was

clearly missing. It was one of the rare

opportunities as earlier RBI had opened the

door of banking sector for private player only

twice. Two decades ago, in 1993, when the

Reserve Bank of India (RBI) opened doors to

new banks for the first time, there were 113

applications. A decade later, in 2003, when

applications for licences were sought a

second time, there were around 100

applicants. This time, there are just 26. This

is after it was reported that just about

everyone was keen to enter the banking

sector. After all, it is a lucrative business as it

gives one access to cheap deposits and there

is massive potential for growth as only 35

percent of India's adult population has

accounts with banks and other financial

institutions compared to a global average of

more than 50 percent. On the last day for the

submission of applications for bank licences,

saw a rush, but not the anticipated

stampede.

RBI released its guidelines for licensing of

new banks in February this year, asking the

aspirants to submit their applications by July

1, 2013. Later, the central bank asked all the

interested parties to seek any clarifications

they might have on the issue by April 10. A

large number of clarifications were relating

to interpretation of various clauses of the

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new bank licence norms, as many entities

had complained of 'ambiguity' on various

fronts in the guidelines.

Under the 'Fit and Proper' criteria, these

applicants would need to have a past record

of sound credentials and integrity and be

financially sound with a successful track

record of 10 years. This is another criterion

that had attracted a large number of

clarifications, especially about the feedback

that RBI might seek from other regulators and

agencies in this regard. RBI also made it clear

that it wants clean promoters and it will do a

background check. For instance, it will seek

information from the Central Bureau of

Investigation, the Income Tax department

and the Enforcement Directorate before it

grants licences.

The reason for such fewer applicants could be

the stringent norms levied by the central

bank for issuing licence, both in terms of

monetary requirement and compliance

Analysts point out that tight priority sector

lending norms and doubts about meeting

requirements in terms of CRR (cash reserve

ratio or the amount banks are expected to

park with the RBI) and SLR (statutory

liquidity ratio, or the amount banks are

expected to maintain before providing credit)

would have persuaded them to stay away.

Non-banking finance companies (NBFCs)

may find the norms particularly challenging,

with the RBI in no mood to give them more

time to meet the CRR and SLR conditions. The

banks have to meet the CRR and SLR

conditions at the time of starting operations.

Theoretically, those angling for licences have

two years to meet CRR and SLR norms as thelicensing process will take six months; and an

in-principle approval to start within 18

.

months. The current CRR is 4% and SLR is

23%.

The condition of having a fourth of one's

branches in rural areas will slow down the

road to profitability; breakeven will take at

least a decade. The rural requirement is part

of the RBI's policy of pushing "financial

inclusion" by providing affordable banking to

swathes of people without bank accounts.

About 480 million of total 1.2 billion people,

mostly living in the country's 630,000

villages, currently have no banking access,

according to the RBI. Such a large number of

untapped potential customers should be a

financial boon over a medium to long term,

but analysts warn that new banks face

formidable challenges in entering the

market. Banking in rural India is challenging

due to high costs of "door stepping" or visiting

villagers door-to-door to encourage them to

use official banking services. Such customers

also generally have low incomes, makingthem a less profitable prospect for bankers. It

will take a long time, before new banks will

be able to leverage the benefits from a

banking licence.

By floating a bank, big industrial houses will

also expose themselves to RBI's scrutiny. As

a precondition to the licence, the central

bank has said it will have the right to check

the books of the industrial groups that will be

allowed to set up banks as expected many

are not comfortable with this condition.

But do you really think these are the reasons

which are holding back the applicants. A

Sachin Tendulkar and M.S. Dhoni do not have

the luxury of walking into a match hoping for

a change of rules half way through to suit

their style. But Indian businessmen mostly

walk into a venture hoping for such a change,

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and generous regulators and governments

grant them. The central bank may have

articulated its intensions that there may be no

dilution, but entrepreneurs are risk takers.

And those risk takers have been rewarded

well in Indian context. Some of the examples

of boundary changes are telecom licensing,

coal block allocation, privatisation of the New

Delhi and Mumbai Airports and many more

which later have come to haunt the

administration. It is a different matter that the

RBI has been saying that it will grant just a

few, may be 4 new banking licenses. But the

regulator will be tested again this timewhether it stands its ground on the issues

such as SLR and CRR.

The Reserve Bank of India (RBI) received

applications from different institutions, which

are in the fray to float banks. The notable

absentees in this list of applicants for new

banks are Mukesh Ambani's Reliance group;

Sunil Mittal's Bharti group; the Mahindra

group; and Sundaram Finance Ltd, a well

known non-banking financial company

(NBFC). Both Reliance and Bharti could have

explored the synergy between what they do

in the telecom space and banking to expand

banking in India's rural hinterland. RBI's

insistence on so-called financial inclusion -

the main mantra behind the issue of licences

to a new set of banks, will make life difficult

for many applicants should they get a

banking licence.

At the end of the day, RBI through its filters

and conditions managed to attract only the

serious players with an option of denying

licence to those who do not 'seem' fit to run a

bank. In doing so, it has managed to prevent

the creation of another Global Trust Bank or a

Bank of Rajasthan. The applications will now

be screened by RBI to ensure prima facie

eligibility of applicants. After screening, the

applications will be referred to a high-level

advisory panel to be set up by the RBI. The

constitution of the committee, which could

ask for more information from the applicants,is yet to be announced.

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BOOK REVIEW

Books reviewed: Brida; The devil and Miss Prym, Eleven Minutes

Author : Paulo Coelho

By Radha Deodhar

here is this thing about Paulo Coelho.

He manages to pen down everyTrandom thought going through hismind. While reading his books you would be

like, Oh yes! I have thought about this before

but never really bothered and lingered to

retrospect on it. His books would make you

think. But it's not just about writing those

magnificent thoughts, it's about penning it

down at the right time and about making a

wonderful story out of it. It's about being

brave enough to express what you are

thinking no matter how minuscule the

thought is. It's about not being ashamed of

the obviousness of the thought. That is what

makes a great thought; which comes out ofwandering free and that is what makes a

great story.

His books talk of religion, philosophy, God.

But that's not just it. He explains culture in a

very modern way. He talks about day to day

life problems faced by people and their

reluctance in executing the obvious moral

behaviour they expect out of themselves. Hisbooks do not criticise nor do they preach.

They just give an explanation about the

normal demeanour of human nature. His

every book teaches you something new. The

extra ordinary thing about Paulo is his

simplicity yet the maturity is reflected in his

writing. A Paulo book is never a long read but

enhances a long thought process and raisesquestions about the lifestyle and the decision

making of an individual. A constant

comparison of different people to show how

simple and yet how powerful humans can be.

Having talked a little about the writing style

of the author, I would not discuss just one

book. Paulo has a collection of great books

and I am glad I got the opportunity and time

to read them. Like Paulo says, it's very

important that you understand the value of

time. A book is only said to have solved your

purpose if you learn something from it, and

the learning equals the time you have put into

it. That something may be the writing style,

the language, or just a thought. It's important

that the books you read make you think. But

more than everything else they must give you

the joy of reading.

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AD-DICTION

Idea's Hello honey bunny

By Rahul Wane

dea Cellular launched its new

communication campaign in DecemberI2012, with a catchy jingle whichimmediately went viral. 'Idea Rings All India',

the new advertisement from Idea depicts the

diversity, footprint, and seamlessness of our

country, and how Idea's customers benefit

from its pan-India network.

This is the first time they have moved on from

'What an Idea, Sirji' series, which always

mirrored the society and had a social

message with actor Abhishek Bachchan,

which never went unnoticed.

The ad does not specifically target a

particular range or type of consumers (Niche

market). It is basically aimed at the entire

population i.e. kids, youth, and even elderly

people.

Talking about the core concept behind this

campaign - In new age India, people are

moving and relocating to towns and cities for

education, career and family commitments,

leading to more travel and communication

requirements. Mobile telephony has

effectively bridged distances, and Idea's

strong pan-India network offers seamless

connectivity across the length and breadth of

the country, connecting people with their

'Honey Bunny's'. Here Honey Bunny's include

not only couples but also your loved ones like

Who is the target audience for this

advertisement?

What is the message communicated ?

brothers, sisters, Mother, father, cousins etc.

How is this message communicated through

moving images and sound?

21

The ad shows (refer to the screen shots

above) Indians from around the country, with

varied cultural backgrounds, connecting as

one big happy family of over 120 billionpeople, all of whom are seen humming one

song - 'Honey Bunny' - albeit with a regional

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flavour. The jingle is the essence of this

advertisement as music is something which

is universal, something which blends with

every culture. It's a hummable, likeable song,

and that was exactly the thought behind

creating the jingle. The campaign is aimed at

highlighting the strength of Idea's pan-India

coverage which helps people of this huge

Indian family stay connected with their

Honey Bunny's wherever they go from

Kashmir to Kanyakumari, Gujarat to

Guwahati, Ladakh to Bengaluru, Rajasthan to

Orissa, or Mumbai to Bihar. The instant

popularity of the song is an indication of the

initial success of the campaign. The ad has

become a rage with its audience - with kids,

youth, and even elderly people are being seen

and heard humming the song. The beautifully

created and executed film, with a hummable

jingle shows people from various parts of the

country humming 'Honey Bunny', which was

picked by them when it was played on aphone, which belongs to a backpacker who

has travelled across the country introducing

people he has met to the ringtone thereby

popularising it. This means that the Idea's

signal is so strong that it will follow you in the

remotest of the remote place and you will

never miss a single call due to congestion or

unavailability of the network coverage.

Idea Cellular has always highlighted the role

of simple telephony answers in solving large

social problems. 'An Idea can change your life'

has been the fundamental plank on which the

brand has been built. However, in its latest

campaign, the brand addresses not so much a

societal issue but an endearingly closer to

my life story that impacts a very large part of

society. The latest campaign(Launched in

Idea's telephone exchange Ad

February 2013) is based on the insight of Ek

doosre ko samajhne ke liye telephone

exchange, what an Idea! The widely

apprec iated commerc ia l has been

conceptualised by Lowe Lintas& Partners.

(one of India's best known communication

groups)

This advertisement is clearly aimed at a

typical suburban nuclear family or

elementary family. (Refer to the screenshot

below)

Commenting on the core concept, we can say-

If we look around, we all are leading

extremely stressful lives that impact and

strain our personal and professional

relationships. It is becoming increasingly

difficult to appreciate, empathise and

respond to relationship demands that seem to

snap at the smallest provocation. In today's

context, our mobile phone is a true reflection

of us and what's going on in our life. The story

plays off the age-old pearl of wisdom, that the

best way to appreciate/understand other's

life is to live it yourself. This leads to empathy.

Empathy is always created out of the tensionbetween the sound of the voice and an

intended silence.

Who is the target audience for this

advertisement?

What is the message communicated ?

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Empathy by nature is a feeling which gets

best demonstrated/heightened in a personal

relationship.

How is this message communicated through

moving images and sound?

The story is about a husband and wife in anormal household having a heated argumentin a typical busy-morning situation, andsarcastically poking each other to putthemselves in the other person's shoes toknow how stressed their lives are. Theiryoung son who is witnessing this argumentgets an idea to exchange his parent's mobilephones, so that unknowingly his mom and

dad get to put themselves in the otherperson's shoes"

Conclusion

Couples will know

exactly how this happens and the concept is

something people can relate to. It is a bang on

commercial as it is not an artificial situation

but a real scenario of situations in every

household. Additionally, they have shown thechild caught up between the fight and used

him as an instrument when the exchange

happens, which is very interesting to watch.

The TVC has been conceptualised extremely

well and comes with a great idea which

happens in every home.

What follows next is that both the husbandand the wife receive a string of calls duringthe course of the day which were actuallymeant for the other person. Husbandreceives wife's calls and vice-versa! Be it thewife receiving the boss's call meant for herhusband to convey the news of salesdropping or the maid calling up the husbandto report that she won't be coming for the

next 2-3 days, it's all stress-filled news builtthrough the day for both of them.

By end of the day both the husband and wifeacknowledge and appreciate the fact thather husband / his wife has an equallystressful daily routine and empathise withone another.

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SPORTS TALK

Few things can be learnt only on a Sports ground!!!

By Nupoor Agarwal

ight from our childhood, we have

been told that sports help imbibe in

us values like discipline, dedication,Rsacrifice, confidence, accountability and

many more qualities. It helps us function in

competitive environment. It inculcates skills,

speed and stamina in a person. It builds our

body and gives us energy to work more.

Strengthening our resolve, it makes us

enthusiastic and helps us follow our dreams.

If you had to ask me, it is not only sports

where we get to learn many of these

qualities. In almost every profession where

team work is involved, we get to learn some

or the other aforesaid qualities.

So then what different do we learn

from sports? We can say that sports teaches

us to be a fitting team member or team player

but then that is not the only different quality

which it teaches us. There is a term called as

sportsman spirit. Sports teach us

sportsman spirit but we won't dwell much

on it. Let's focus on a different aspect.

We have till now discussed so many

things which sports teach us. But the most

important thing which sports teach us is

acceptance of failure.

No one died out there; I just lost a

tennis match, this is a famous quote by

Boris Becker after being ousted in the

second round of Wimbledon. This quote

brings out the essence of our discussion.

Not always in life things happen the way we

want but the simple joy of playing definitely

teaches us not to get disheartened and keepon pursuing our goals till the end.

Nothing else will teach us to accept

failure the way sports teach us. Accepting

failure is one of the things which one can

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learn only on a sports ground. The best part

about sports is that it helps us learn to lose

without being a loser.

Sports help us look at victories and

defeats in the following ways. You dislike

defeats but you don't hate them. You like

being victorious but you don't want to win in

any which way possible. You learn to lose

gracefully and win humbly. You learn to

respect your opponent because you know his

importance. This is the biggest power and

learning of sports.

Unlike software and hardware, in life

things cannot be segregated in the form of 0

or 1. Neither can we divide things into true or

false, yes or no. There is always a third,

fourth, fifth state. Life doesn't understand

b i n a r y n u m b e r s . T h a t ' s w h e r e

sportsmanship comes into the picture. It

teaches us to enjoy the process may what be

the end result and that's the key. You don't

stop competing or fighting fearing defeats.

You stay on the battlefield irrespective of the

consequences. Participation is more

important than the result; this is what we

learn from Sports. All this clearly shows how

important is the role of sports in building up a

person's character and attitude.

In recent times things are changing.

The terms graciousness and modesty have

become synonyms for old and out of fashion in

sports. Now, it's all about winning even if

one has to buy the other team out, step on his

teammate to climb the ladder to success or

trip him on his way to victory.

However, let's be optimistic and hope

that sports keeps on teaching us the

importance of losing. The quality which can

only be learnt on Sports ground!!!

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generated are illegal and go into funding

illegal activities. Betting is legal in most

advanced countries, and earns huge revenue

for the exchequer.

In spite of the

enormous riches that the BCCI shares with the

state associations, hardly any association

runs itself professionally. Their selection

systems are opaque at best and scandalous

oftener. Their officials make merry at the

expense of the players. Many associations

have a well-oiled system of pocketing players'

earnings. Selectors run their own academies

and charge hefty fees. State officials take up

franchisee employment.

With the introduction of the IPL started the

phase of hiring agents, even players who

could not hope to get any endorsements also

hired agents. What for, one may ask. The

reason is only too obvious. The agent has

mutated and diversified. There are always

dark suggestions about how MS Dhoni's

agent, who also manages three other players,

gets his way around the selection panels.

There is also this talk about how agents

influence selections of lesser teams like the

India 'A' and Under-19 with long term plans.

Not for nothing have RP Singh and Jalaj

Saxena's selections in the India 'A' team raisedeyebrows. FIFA registers and regulates

agents, but BCCI simply ignores the problem.

Look at the best performers of Ranji Trophy of

the current season. Almost all are warming

the dug-outs. As ESPN CRICINFO pointed out

A boy like Robin Bisht, with over 1200 runs

in first class cricket this season, is not even in

the travelling squad of his IPL team and a

standout performer like Rituraj Singh doesn't

even get selected in any IPL team. Abhinav

But the roots of recent incidents dig deep, look

at the Indian cricket system.

Mukund and Cheteshwar Pujara have hardly

been seen. However, even bit players from

certain states get into IPL teams. Who is

Rahul Shukla in Mumbai Indian and how

does he get a game ahead of Dhawal

Kulkarni? Certainly, there is something

else at work. The latest trend is that of

journalists and former cricket players

turning into agents. Imagine the scenario

when this trend turns into a flood.

The IPL selection and auction rules are

incomprehensible. Uncapped players of

other countries are in the auction but the

Indian players, who should be the ones to

benefit, are not. The whole Manish Pandey

episode happened because of this inane

provision. To cap that, there is this trading

window, which is almost completely agent

driven. With so many loop holes in the

selection procedure itself, players resort to

every means possible to make the 'most' of a

chance if granted. To sum up, match fixing oreven spot fixing is a systemic problem. This

problem needs to be addressed by reforming

the whole system of cricket functioning, and

not just IPL. Match fixing should be clearly

defined as a c r i m i n al offense and any one

engaging in it should be punishable under

law but on the other hand betting should be

legalized. This is must to firstly detach thetwo issues and also to monitor the betting

channel. Otherwise there will be no escape

from such incidents.

Therefore, it is imperative to look within

ourselves. There is no harm in our desire to

see the world of sports in a shipshape

manner.

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ALUMNI SECTIONTaming the Lion - The art of Managing Up

By Vipin Ramdas

Director, Client Services, TSYS

h e w o r d L i o n T a m i n g

immediately portrays the

picture of a man twirling aTchair and cracking a whip at growling big

cats.A lion is a wild animal with 3-inch claws

and a mouth that opens wider than your head,

enough to crush a bull's spine. Makes you

wonder why anyone would even attempt to

tame this beast. It's because it gives a feeling

of pride, a sense of achievement, a

satisfaction of being in control of a 400 pound

beast. In his book Lion Taming, Steven Katz

makes an interesting analogy between Lions

and Bosses and how important it is to

understand the people who have the power

and authority to control your career and

determine your success.

It's often said that people don't quit

companies, they quit bosses. While the

managers have a role in ensuring that their

subordinates feel engaged and enjoy their

work, you too can work on building this all

important relationship. Unfortunately,

managing up is an art which is not taught in

many business schools. In my upcoming

book My Work My Way,7 Steps to thriving in

the Early Steps of Your Career, I share my

learning's from managing 7 bosses over 13

years. Here is a glimpse from the book on my

top 5 tips on managing your boss.

Every boss has their unique leadership style

and management mantras. Make an effort tounderstand his communication style, is he

direct aggressive or submissive? Is he a

helicopter manager or someone who

believes in empowerment, what's his

de c i s i o n -m a ki n g s ty le (d i r e c t i v e ,

participative, consultative, etc.)? The key

here is to adapt to his style of management.

Talk to him about what is important to him,

what his priorities are, what are his goals

and how you can support him. Let me tell you

a secret. Communication is the key here. All

bosses fear failure and that they have

someone to work with in achieving their

goals helps build the trust and gain

confidence, which will go a long way inshaping your career. Do this and your boss

will become your brand ambassador.

1.Understand his style of management:

2. Help him succeed:

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3.Manage expectations:

4.Keep him informed. Bosses don't like

surprises:

Work continuously on managing his

expectations. Establish the What, When, and

the How. Clearly define how he perceives the

end result, how will he determine if you've met

his expectations, push back and set realistic

deadlines, ask for more time, don't be afraid of

a sk i n g fo r he lp . W hi le m a n a g i n g

expectations, always remember to under

commit and over deliver. This improves your

credibility and establishes you as someone he

can depend on. Most people struggle to say

No to their bosses. The way to do this is to

discuss the priorities with your boss and get

him to set them for you. This way you are not

seen as being inflexible or non-committal.

Most people get on with their task in hand and

get too far away only to realize that it's not

what your boss was expecting or he haschanged his mind. Let him know about the

issues, challenges and concerns you have but

more importantly tell him how you are

dealing with them. By providing regular

updates you make sure that your boss does

not get any surprises and he can steer and

guide you before it's too late. This is

especially true if you have a boss who is a

micro manager.

My boss is a jerk. This is probably what most

p e o p l e t h i n k o f t h e i r m a n a g e r s .

Acknowledge that your boss is in the

position because of things which he knows

and does which you don't. When

communicating, be to the point, present the

facts clearly, give him information which aids

decision-making.

From my 13 years of experience, if there is

one thing I would urge you to learn, that

would be to learn the art of managing your

boss. Happy taming.

5.Respect him and his time.

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DISCUSSION FORUM

PUMBA SPEAKS

TOPIC:"Politics of Coalition and the increased importance of regional parties

have IMPACTED our FOREIGN POLICY in a negative way"

EXPERT OPINION

Mr. Anil Agashe

(Visiting Faculty PUMBA)

egional Parties that we have in India,

always look at foreign policy in a very

Rnarrow view. They are only interested

in protecting someone who belongs to their

own state. We can clearly deduce this from the

stand of various Dravidian parties with respect

to LTTE and with Sri Lanka in general. If it were

to DMK & AIADMK, they would hold the whole

country to ransom.

Similarly Mamata Banerjee's stand on Bangla

dispute settlement also is extremely narrow.

Shiv Sena's stand on Pakistan is the same.

Regional parties are parochial by their

constitution and their aims. They have ripped

apart co-coalitions in the past to secure their

narrow interests. Foreign policy at the best of

times is complicated. I know no leader of such

outfits who can lead this agenda, may be with

the exception of Sharad Pawar who will be able

to articulate his views on these matters, the

other who may be able to do this to my mind is

Omar Abdullah.

I distrust regional parties on national stage

completely. They want power to onlybargain.

Unfortunately their track record with NDA and

UPA both is uninspiring.

Most regional parties are driven by one

individual and I believe, they lack basic Pan

India vision, forget international!

STUDENTS VOICEOUT

Mayur Jagtap

t's true!! Politics of coalition is a big

hurdle in running any country'sIadministration smoothly. There areseveral times when the parties in coalition

had objected the government in takingdecisions.

Parties form

coalition because their agendas are same

somewhat. So, in a way they should support

the policies formed and decisions taken by

the government. But it doesn't happen

always. Let's take a brief view from 1990's:

1) One of the reasons, India was in crisis

during 1990-1991 is due to the political

instability which was prevailing during that

period.

2) Left parties threatened UPA Government

on the issue of Nuclear Deal with USA. The

talk between George Bush and Dr.

Manmohan Singh initiated in 2006, but it took

almost 3 years to sign the agreement by both

the countries. During these 3 years Left

Parties continuously threatened UPA

Government and also they withdrew their

support to the Government. Though Dr.

Manmohan Singh remained firm on his

decision and the Nuke-deal did take place but

this could have been signed much earlier ifLeft parties wouldn't have opposed it.

Coalition governments and

regional parties have had adverse effect on

International relations of India.

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3) Teesta water treaty is not yet signed even

after the show of interest by Governments of

both the countries (India and Bangladesh).

This is due to objection raised by Trinamool

Congress leader Mamata Banerjee. Our PM

Dr. Manmohan Singh and Bangladesh PM

Sheikh Hasina are very optimistic on this

treaty but it hasn't yet been signed.

4) Regional parties like DMK, NCP, Left or even

TMC have exploited their power in Centre and

in state as well.

Hence it is very necessary for any party to

form a government with its own majority. For a

country of demographic diversities like India

it is very difficult to run a government with

coalition. Parties in the coalition government

try to obstruct government decisions for their

personal motive as and when they want.

Neha Bhide

n India, the major roadblock to national

development is POLITICS which has

Ispread like an incurable disease. India ismoving away from the definition of a nation toa land of disintegrated states. Self-interestovershadows national interest and the

COUNTRY SUFFERS!! Regional parties are

solely interested in developing their

respective states without paying any heed to

the country's deplorable plight. After allwinning elections and gaining power is of

paramount importance. And for that to

happen the concerned communities have to

be taken care of and catered to. Also when it

comes to our foreign policy, the situation is no

different. Take the example of China.

Communist parties always support China

even if the policies or decisions etc. are not in

favour of India. Contradictorily, they would

not support USA in its deliberations with

India. It's so conspicuous from the above that

our leaders have pledged to work in their own

interest without worrying about the

ramifications it might have. India is in dire

need to enhance its international trade in

order to face the many hurdles that the

economy is facing. We wish our leaders had

more foresight. With this attitude,

PROGRESS, DEVELOPMENT, GROWTH

seems to be a distant dream. The bottom line

remains:

Ashish Mishra

ndia is an extremely diverse and

multicultural nation, and for all itsIsections to have a political mouthpiece,we need to embrace coalition politics.

Indeed, a democracy with a multitude of

choices as opposed to an either/or choice

between two large parties is more viable,

especial ly in India . Whi le mature

democracies in the West, such as the US and

UK have two main parties, with some fringe

groups, their citizenry is far more

homogeneous than India's. Ironically, if our

two la rge pa r t i e s we re abso lu t e

representative of the majority of the people,

there would be no need for coalitions;

coalition governments have to be formed

precisely because one or the other party

cannot satisfactorily represent all people.

Coming to the Foreign Policy part of it,

After all, the two are not exclusive of

each other. As far as the policy paralysis is

concerned, if the head of the cabinet (i.e.

Self-interest prevails over national

interest!! .Thus, thinking collectively,

selflessly and solely for INDIA is the need of

the hour!

I think

the regional parties many a timesprovide a

new perspective to the entire approach as

they link the foreign policies to the domestic

issues.

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MY OPINIONNaMo, a critical analysis

Tomorrow is a long time in politics, next week is far away

By Mayur Jagtap

n India, when the discussion is

a b o u t d e v e l o p m e n t , o n e

inevitably finds it turning towardsIGujarat. If we are not talking about growth

numbers, then it has to be about the way

Gujarat has slowly pinched its way to being

one of the top all possible because of one

man: Narendra Modi. This man has done an

exceptional job. Although Keshubhai Patel

also holds the credit of development of

Gujarat but NaMo has shown consistency in

his dedication.

In 2002, after Godhra massacre, during

Gujarat violence Modi could have easily

controlled the situation peacefully but the

absence of action from his govt. resulted in

the death of 790 Muslims and 254 Hindus. In a

way as the CM he is responsible for not

handling the state of affairs according to the

need of the hour. Modi fought 2002 elections

in Gujarat with 'Hindutva' as the agenda.

Waves were travelling in favour of Modi

because he had succeeded to catch hold of

sentiments of 'Hindus' from Gujarat and came

into power with 127 seats in the 182 member

assembly.

Public sentiments being hurt in 2002,

he shifted their attention to development.

Between 2002 to 2007, Gujarat emerged as an

attractive investment destination. In 2007

Modi changed his agenda to development.

He urged people that Gujarat is in need of

development and told them he intends to do

exactly that. People responded positively and

Modi won the elections. He kept his promise

and worked on the growth of the Gujarat.

When the whole world and Indian economy

were suffering Gujarat was marked a

double digit growth. For the decade

20012010, Gujarat recorded a compound

annual growth rate of 10.97%, the highest

among all Indian states. The reason behind

this is that he has been successful in

attracting investments and industries in

Gujarat. NaMo has softened policies for the

setting up of new industries in Gujarat and

has given ample support to the existing ones

as well. To quote an example, when there

was a fierce opposition to Tata Nano's SingurProject in West Bengal, NaMo welcomed

Ratan Tata with open arms to set up a plant

near Ahmedabad. He has been praised for

the infrastructural development he has done

in the last few years. It is evident from the fact

that one cannot identify Ahmedabad as the

same city it was 10 years ago. The same story

is applicable to the whole state.

In 2012, he pegged his campaign on

the basis of the development he had done

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for the state. People put their faith on him

again and handed over the charge of state to

him. He came into power with 117 seats

Speculations are rife that he is the

next strong Prime Ministerial candidate from

BJP in 2014 Lok Sabha elections. Although

he never expresses his will to be the Prime

Minister in public or media but he does wish

for the same. If one takes a deeper dig into

the current happenings in BJP and Narendra

Modi's induction in BJP Parliamentary

Board, there is no doubt that BJP will

officially declare NaMo as their Prime

Ministerial Candidate.

But the main questions are

Will NaMo factor work for BJP?

Can BJP come into power in 2014 using

NaMo?

If someone asks me these 2 questions, I

would simply answer No. In spite of Modi's

achievements in good governance,

development etc. in Gujarat, BJP is destined

to lose LokSabha elections in 2014.

The reasons are very simple:

1. It seems that he will have to suffer for his

deeds during the Godhra massacre of 2002 for

lifetime as people are not willing to overlook it

for all the good that he has done. During late2011 and early 2012, Narendra Modi

undertook a series of fasts as part of the

'Sadbhavna Mission', to reach out to the

Muslim community in Gujarat but all his

attempts to create good relations with

Muslims have failed. He could not gain

sympathy of Muslims of neither of Gujarat nor

of India. To prevent Modi from becoming the

next PM, minorities will vote against him and

one can see around 90-100% voting from

minorities.

2. Modi has become a youth icon in a very

short duration and has been able to attract

youth's attention. Majority of the people who

don't go for voting is youth, hence targeting

only youth is insufficient for Modi to become

PM.

3. Modi hasn't yet reached to the ground

level. He has concentrated himself to cities

only. Rural India is completely unaware

about Modi's work. Hence these people will

not vote for Modi.

4. Internal conflicts in BJP are also a hurdle

for Modi to become PM. Many national

leaders do not want Modi to be the prime

ministerial candidate from BJP. Continual

threats from state BJP leaders like

Yeddyurappa and Vasundhara Raje act as amajor hinderance for the same.

5. Coalition parties like JDU won't support

BJP if Modi is promoted.

6. While Modi is showing India the growth

and development of Gujarat, still many BJP

leaders are busy talking only about

'Hindutva'.

7. Due to recent defeat in Karnataka state

elections BJP's moral has gone down.

8. Biggest of all the Authoritarian leadership

style of Narendra Modi is disliked by many of

the members of BJP and leaders ofNDA allies

as well.

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OKONOMIE

We cannot live in a bubble forever

By Rashi Kaushik

t would be nice if we could predict

bubbles; even nicer if we could

prevent them. This article is anIattempt to ease the hype about asset bubbles

which have become a major catastrophe in

today's world. On occasion, the enthusiasm

for some growth opportunity or new

technology attracts interest from people inthe capital markets. In the case of the US

housing market, prices began to accelerate

beyond their sustainable path sometime

around, say, 2003 thanks to global capital

flows from savings-rich economies, advances

in securitization technology, and an

insatiable appetite for housing on the part of

American consumers and investors. It tookthe broader equity markets another year to

understand the severity of the housing crash

and the resulting damage to the banking

system. Mainly because consumers,

mortgage brokers, lenders, investment

bankers, regulators, rating agencies, and

investors in distant countries didn't

understand individually what the totality of

their actions would mean for US home prices,

the financial system, or the global economy.

No system can be perfectly self-conscious.

The kind of immediate social awareness that

would prevent bubbles from forming or

bursting is a physical and mathematical

impossibility. Asset price bubbles are

obvious in hindsight. US housing prices in

2006 were 50% above their long-term historic

trend. For every asset bubble that burst,

there are several alleged asset bubbles that

never blew up. For instance, is China now in

a housing bubble that will explode, or just in

a high-riding trend that will wind down? It is

difficult to predict asset bubbles for several

reasons.

Contrary to the normal laws of supply and

demand, investors often want to buy more

shares of a company after they have zoomed

up in price. Following the herd can be an

effective investment strategy until, of

course, the herd runs off the cliff.

Finally, even if you accurately diagnose the

situation as an asset-price bubble, you

cannot know exactly when it will burst. In

2003, Yale Professor Robert Shiller

persuasively showed that the US was in the

midst of a housing bubble. When a bubble

bursts, institutions with high leverage all

race to the exit at the same time. Even a

small loss at an institution with a 30 to 1

leverage ratio will force it to sell assets equal

to 30 times the loss in order to maintain this

leverage ratio. This means fire sales at badprices for this institution and downward

price pressures on all asset sales at this time.

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There is always a heated debate about

whether policymakers should try to deflate

asset bubbles before they become too large.

Many economists argue that it is not possible

to identify a bubble before it collapses. Other

economists claim that bubbles are

identifiable. The first group is generally

associated with the view that financial

markets are efficient and that bubbles

cannot, therefore, be more than temporary

and fleeting. The second group tends to

believe that there are limits to investors'

ability to take advantage of mispricing in

financial markets.

Instead of focusing on the question of

whether we can or cannot determine whether

elevated asset prices correspond to a bubble,

we should adopt the mindset of risk

managers and focus on the tradeoff between

the costs of allowing elevated asset prices to

increase further and the costs of intervening

to dampen further increases.

Nobody has a perfect model of the economy;

every model has flaws. The same principle

should apply to those who have high

confidence in their ability to identify bubbles;

if they are wrong and identify elevated asset

prices as a bubble when it is not, they have to

worry about the distortions in the pricing of

assets which actions against these elevated

asset prices would create.

The cumulative costs of resolving the current

credit crisis will be enormous for the public

sector. In simple words, if prices become

unusually elevated in an important sector of

the economy and their collapse would be

costly to the economy as a whole, it's safer to

proceed as if there is a bubble.

For insight into whether future bubbles can

be avoided, it is worthwhile to consider the

various economic theories about the subject.

One theory holds that there is no such thing

as a bubble. This is not as implausible as it

may sound to some readers. The definition of

a bubble involves prices that exceed intrinsic

value, which is hardly easy to determine.

Everyone can agree, however, that markets

periodically undergo extraordinary price

surges followed by exceptionally sharp

declines, all accompanied by massive

emotional turmoil. Some theorists explain

these incidents on the basis of psychological

aberrations. Facts show the emergence of

the bubble as a result of excessive monetary

expansion. Either way, there is no likelihood

that bubbles will vanish from the financial

landscape.

Let's suppose bubbles arise because

investors unwisely extrapolate from recent,

past experience or turn into a herd when the

market runs. Psychology may describe how

investors react once prices move, but it does

not explain why the bubble starts.

Historical analysis has led to conclude

further that the true indicator of bubbles is

overexpansion of credit. If there is too much

money sloshing around in the system, either

prices of goods and service will raise

(inflation) or some asset class will appreciate

at a rate far above trend line. The monetary

thesis' implications for avoiding bubble are

the same as for the psychological

explanations. Theories are many but only

time can test the validity of each.

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MANAGEMENT EXAMPLE

By Rohit Raina

dolf Hitler: the name itself

brings out strong emotions-Ahatred, disgust, revulsionand the memories of the barbaric acts that he

committed. Still amidst all the fuss about the

evilness of this man I am writing this article

to tell the readers about a man's managerial

qualities which were overshadowed by his

cruelty and his actions which led to a world

war. Let us look at him in a new light, as the

man who started from nothing and became

the leader of a country which was then one of

the most developed nations in the world-

GERMANY. His managerial qualities were

very promising and all of us should learn a

few things from him.

We are talking about the time when

Germany was devastated by the World War I

and the two treaties. The economic scenario

was bad, the 1929 Wall Street crash shook

Germany very badly, hunger prevailed, and

unemployment was at its peak. Then came

this man who got the people out of their

misery. He assured them of employment

making him look like the Wizard of Oz for the

people of Germany at a time where nothing

seemed to work out for them. Hitler was

motivated, oh yes; he had vision, a goal to

take his country out of economic depression

and to take it to the top.

Let us see a few managerial lessons to

be learnt from the greatest tyrant of the

world. Adolf Hitler may look like an evil and

terrifying man, but he was a man with a

miss ion and v is ion . His pass ion ,

dependability, and confidence made

Germany a powerful nation. One of Hitler's

qualities that made him a well-known leader

is his dependability. Having someone

depend upon you makes you feel powerful or

even generous. Confidence is one of the

qualities that led him to power and

popularity. Hitler was a captivating public

speaker. He would enrapture crowds with

ADOLF HITLER

Unraveling the Manager

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his vision and sense of purpose for the nation.

Adolf Hitler successfully used propaganda to

bring the whole nation under his will. People

Management was one of his greatest

qualities; he used to be 'one of them' and

treated them as a family. He played with their

children and enjoyed with them. He was a

good Problem Solver; he had an amazing

concentration power. His judgments were

quick and decisive. His acts were more like a

big brother to his staff than as a Fuehrer and

which endeared him to them. Hitler was able

to penetrate complex problems and reduce

them to a few simple, fundamental factors.Hitler was excellent with strategies and

planning. He followed through with his plan

and repudiated the Treaty of Versailles. At

first he tried to keep Germany's rearmament

a secret but by 1935 he proudly displayed

Germany's new army, navy and air force.

European nations did nothing to enforce the

treaty, leading Hitler to conclude that hecould begin to create his vision of a new

powerful and strong German nation.

In the end, I would say Adolf Hitler

may seem like the devil to many but a man

that well-known wouldn't be in history

without his passion, dependability, and

confidence to make Germany a powerful

nation. To get Germany to become a powerful

nation, he let both negative and positive

thoughts influence his actions. In my opinion,

Hitler fought till the last man with the help of

his military, economy and nothing other than

his qualities; a great example of optimum use

of resources. Being a man with qualities like

reliability, passion and confidence Hitler led

himself to popularity, success and power. Iwould like to end this article with his quote

which in itself is a perfect example of

motivation, courage, right attitude and

leadership, all of which are essential to be a

good manager.

If you win you need not have to explain but if

you lose you should not be there to explain

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CREAT VI E SIDE

A poem on B-Plan Presentation

By Atul Gupta

The first day Sir told us to give the presentation,

There was a chill in our veins, numbed were the sensations.

Everybody made groups, and started preparing,

A few laid back, as they had the daring.

There were ideas, some were original, some copy paste,

Some made with due care, some with haste.

Some did survey while some faked it out,

Ready to tackle it in the final bout.

Finance was the biggest problem,

As it was the biggest threat,

Even finance guys dreaded it,

Though it will be their daily bread.

As the date of presentation grew closer

Guys started working in dual pace,

PUMBA looked like a different world, a different place.

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On the first day of presentation

The whole class converged,

It was the day of commemoration

An occasion which was never heard.

At the start of the class, everybody had their heart pounding,

Whose name will be called, and have a grilling in a heavy gathering.

The presentations took off, completed was the first day,

The group which presented breathed a sigh of relief

Now it's their turn to sit back and enjoy the play.

Our class was surrounded by people from other classes

What did he ask, what did he say, were the queries of the masses.

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PUMBA MIRROR

Winners

ICICI

Stock Mind: Winner

Kishan Bhattad

NL Dalmia

Maadhyam 2013, National Level PaperPresentation: Finalist

Aditya Amist

Atul Gupta

Tushar Malhotra

BITS Pilani

Interface 2013, Budget Moghul: Finalist

Kishan Bhattad

AMITY

Case Study Competition: Winner

Anurag Tammadwar

Megha Gilda

Radio Mirchi

Campus Buddies: Winners

Anuj Nagpal

Tushar Malhotra,

DY Patil

Case Study Competition: Winner

Anand Maniyar

Neha Bhide

Nupoor Agarwal

Rashi Kaushik

SICSR

Business Fair: Winner

IISC Bangalore

Simulation Business Game: Winner

Clement Raj

MITSOM

Snaphunt: Winners

Tejal Phatak

Tushar Malhotra

Esha Chandak

Neha Madhekar

Shrikant Bhusare

Shubham Agrawal

Sneha Tirpude

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