The BRICS alliance, initially formed in 2006 by Brazil, Russia, India, China, and South Africa, has experienced a transformative expansion in 2024. The BRICS grouping collectively occupies considerable economic power in the globe. The expansion of BRICS membership has further boosted its influence. The group represents a significant portion of the world’s population, Gross Domestic Product (GDP), global trade, and energy production. In 2023, Brazil’s President called on the BRICS nations to create a common currency for trade and investment between each other, as a means of reducing their dependability on vulnerable American dollar exchange due to rate fluctuations. 

Officials and economists have pointed out the difficulties involved in such a project, given the economic, political, and geographic discrepancies between Brazil, Russia, India, China, and South Africa. Brazil’s president doesn’t believe nations that don’t use the dollar should be forced to trade in the currency, and he has also backed for a common currency in the Mercosur block of South American countries. The Southern Common Market, commonly known by Spanish abbreviation Mercosur, and Portuguese Mercosur, is a South American trade bloc established by the Treaty of Asunción in 1991 and Protocol of Ouro Preto in 1994. Its full members are Argentina, Brazil, Paraguay, and Uruguay. Right now, it’s an assumption that BRICS currency will increase payment options and reduce the vulnerabilities, of currency fluctuation.

What other BRICS leaders think? South African officials said a BRICS currency was not there on their agenda. Building a BRICS currency would be a “tough political project”, South African central bank governor announced in July 2023. He said that for getting BRICS currency they will need a banking union, a fiscal union, to some extent they will need macroeconomic merging of the BRICS nations. A lot of disciplined mechanism will be required for the countries that fall out of line with it. Most importantly, they will need a common central bank, in which country could it be located? Trade imbalances cannot be ignored. All BRICS member countries have China as their main trading partner and little trade with each other.

The potential benefits of a BRICS currency include reducing dependence on the US dollar and increasing economic cooperation among member countries. The potential benefits of a BRICS currency include a dominance in international trade and a preference from 58% of countries.

BRICS leaders have said they want to use their national currencies more instead of the dollar, which strengthened sharply last year as the Federal Reserve raised interest rates and Russia invaded Ukraine, making dollar debt and many imports more expensive. Russia’s sanctions-imposed expulsion from global financial systems last year also fuelled speculation that non-western allies would shift away from the dollar.

Last year’s BRICS summit was a tricky assignment for Indian Prime Minister Narendra Modi, who aimed to tackle several thorny issues: balancing India’s ties with Russia and the West, managing BRICS expansion, and addressing border tensions with China. Modi tackled these issues plus some more upcoming bilateral trade problems gracefully.  

India has a strong voice in the BRICS and the UN, India spoke out against policies or actions that may harm the interests of any member. For example, India turned down China’s request to allow Pakistan, Sri Lanka, and Mexico to join the BRICS.

Coming back to the issue of BRICS currency: each of the BRICS countries supports the currency initiative for different reasons. Russia and China are at the forefront of the de-dollarisation move for their political interests. Russia is trying to avoid US sanctions by challenging the dollar-dominated financial system, while China is promoting the Renminbi (official currency of the People’s Republic of China) as an alternative. Since more than 17 percent of its reserves are in Renminbi, Russia has a greater preference for transacting in Renminbi. On the other hand, India, South Africa, and Brazil have their own pragmatic reasons for supporting the move. Reduced dollar dominance in international transactions will make it easier for these nations facing a dollar crunch to repay their debts owed to international organisations. A 2019 study by Global Business Review compared the regime-switching behaviour of the real exchange rates of the five BRICS nations before and after the group’s formation. It concluded that the inclusion of a stronger policy interaction in the region, especially in monetary management, shows the chance of a strong currency union amongst BRICS members.

From 1^st Jan 2024, Saudi Arabia, Iran, the United Arab Emirates, Ethiopia, and Egypt have announced to join BRICKS block. The expansion of BRICS will diminish South Africa’s significance even further because the two African states joining, Egypt and Ethiopia, are both more populous than South Africa and are experiencing higher rates of economic growth, though in much smaller economies.

More than 40 countries have expressed interest in joining, the question of whether BRICS would admit new members was finally answered during a recent group’s summit. Despite pre-summit reports of division over the potential expansion, leaders from the five-nation bloc announced that Saudi Arabia, Iran, Ethiopia, Egypt, Argentina, and the United Arab Emirates (UAE) would join the group starting in 2024. Argentina was invited to join but declined the invitation.

With the addition of these six countries, BRICS now represents 42 percent of the world’s population and 36 percent of global GDP. The primarily economic bloc was originally created as an alternative to the U.S.-led international order, with the goal of offering growing countries in the Global South a to counterbalance the Western institutions.

Conclusion

The potential impact of a new BRICS currency on the US dollar remains uncertain, experts are debating its potential to challenge the dollar’s dominance. However, if a new BRICS currency was to stabilize against the dollar, it could weaken the power of US sanctions, leading to a further decline in the dollar’s value.

The Diwali just got over. And, our stance of boycotting Chinese goods was without really understanding facts and figures.

One of the obvious global fact is that trade between countries increases economic wellbeing. I think the growing uproar for a ban on Chinese goods needs to be tackled reasonably. The Chinese embassy recently cautioned India about it. Our trade data shows that our bargaining power is narrow: India needs China more than China needs India. China accounts for nearly 20% of India’s imports. Toys, kite strings and crackers may be the most visible imports for consumers, but they don’t even make the top 10 by category. The big numbers are assigned to industrial goods, such as electrical machinery, nuclear reactors and organic chemicals and iron & steel. Among the top ten categories, in eight categories by value, India imports more from China than any other nation, essentially covering out the demand for a blanket ban.

The fact is that the boycott will cost the Indian traders selling Chinese goods a big loss. Chinese manufacturers have already earned their money from Indian traders. The boycott will be a tremendous loss for the Indian traders and ultimately it will be a loss for the Indian economy.

Due to cheap prices Indians can afford buying Chinese products such as jute bags. Chinese poly-bags might be a much better alternative. The middle class of Indian society will not face problems with the boycott. However, if there is a lack of availability of Chinese products, poor people will have to sacrifice the most.

Why are Chinese goods so cheap? Cost of a product depends upon the cost of raw materials, employees, infrastructure, transportation, energy and ease of starting a business to name a few major factors. Most of the raw materials for products that are cheaper when made in China, are readily available in China at a very good price quality index. Public infrastructure in China is very cheap. Goods can be transported efficiently, on-time and across country at a much lower cost than in India.

Comparatively, Indian manufacturers cannot rely on public infrastructure for reliable transportation.Cost and ease of starting a business in India is notoriously very high. It is relatively easier and cost efficient in China. Bribery in China is low; punishment when caught being bribed is too harsh. Therefore, Chinese products are cheap as compared to Indian products.

And, certainly a boycott on Chinese goods is not going to make Indian products cheaper and competitive. Lets’ get our facts right – due to the competition from the Chinese goods, Indian businesses are grounded, and they do not enjoy the monopoly. Our Government cannot support the boycott for two reasons: firstly, it will be against the decorum of the World Trade Organization. The costs of which may be heavy to bear for the Indian government. Secondly, Indian government’s developmental plans also depend on Chinese products. For example in the field of solar power generation, about 66% of the total imports of solar power panels were from China during the first three months of the fiscal year 2015.

China is the king of manufacturing. Let us think reasonably; the chances are extremely low that a modern commercial gadget or device does not have a single component that is not made in China. To what extent are we going to boycott Chinese goods? Let’s not behave ultranationalist.

It’s easy for social media loyalists to dissuade the common man in India from buying anything Chinese; they dissuaded us during Diwali. Since China has problems with India’s stand on Pakistan-based terrorist Masood Azhar, we must therefore stop using all things Chinese; this is certainly not the logic. As usual, the opinion generators on social media are high on provoking us, but rather poor on facts. The fact is – whatever be China’s position as far as India’s fight with terrorism is concerned, we cannot afford to ban Chinese goods imports. The matter must be handled subtly, using bilateral trade as a weapon suits ultra-nationalists but not India’s economy. Ultra-nationalists are people having the belief that their nation will benefit from acting independently than from acting internationally.

As per the website of Indian Department of Commerce last year, we imported more from China the highest value of goods, than the combined amount India spent on importing stuff from United States, UAE and Saudi Arabia last fiscal. India imported goods worth $61.7 billion from China last fiscal when we exported merely worth $9.05 billion to it. India is profoundly dependent on Chinese imports and any weakening of trade ties between the two countries will substantially hurt Indian businesses, not so much China.

Once again, why is India unable to compete with China when it comes to exports? According to a logical answer Commerce Minister Nirmala Sitharaman gave in Lok Sabha during the Monsoon Session earlier this year, trade deficit with China has been increasing as India relies on Chinese exports such as manufactured items to meet the demand of fast expanding sectors like telecom and power. Whereas. India’s exports to China, are characterized by primary and transitional products. The consequence of this is that we send products to China which are not high value-added, whereas China is sending products such as telecom instruments, computer hardware, peripherals, fertilizers, electronic components/ instruments, project goods, organic chemicals and drug intermediates, consumer electronics, electrical machinery and equipment, iron and steel etc. India’s trade deficit with China increased from $38.67 billion in 2012-13 to $48.45 billion in 2014-15. Trade deficit is an economic measure of a negative balance of trade in which a country’s imports exceeds its exports. A trade deficit represents an outflow of domestic currency to foreign markets.

So friends this Diwali our approach towards boycotting Chinese products was much of a misguided slant. Lets not jump into the social media bandwagon without thinking. Let’s behave maturely, let us understand our national priorities first.

The consumer behavior analysts have noted through many studies that ‘Country of Origin’ has become a significant phenomenon in today’s marketing practices. The words ‘Made’ and ‘In’ conveys the strength of the product.  The label ‘made’ on the packing label of the product refers to the manufacturing aspect of the origin of a product. It is often related to legal certifications, the technologies involved ingredients and techniques as well as work ethics and safety standards. And, ‘In’ refers to the origin and the geographical dimension of origin such as the location of the manufacturing process and the source of ingredients. ‘Made In’ therefore suggests information and associations that are both tangible and intangible. The ‘Made in’ tag helps consumers to make rational and emotional decision both.

In its 2005 “Year of Ideas” issue, The New York Times Magazine listed nation branding among the year’s most notable ideas. The way a country is perceived can make a significant difference to the success of its trade, business, tourism efforts, as well as its diplomatic and cultural relations with other nations. Simon Anholt coined the term ‘nation branding’ in 1996 and since then he has been working with governments to help them plan the policies, strategies, investments and advance which lead their country towards an improved profile and reputation. America has become the largest and most powerful brand in the globe; it virtually shapes the world in almost all dimensions such as national governance, policies, exports, people, tourism, economic and social status etc. In the fast growing global village nation’s branding is considered as big as federal mega-projects. Steve Silver and Sam Hill, both marketing experts define nation branding as most complex (brand) positioning problem; how can we brand a nation? A nation is as big as a Meta brand inclusive of numerous mega brands. There are so many mega activities of in a nation such as political governance, commerce, education, human resource development, environment, foreign affairs, infrastructure, environment, tourism, culture and heritage and most importantly the national character. The study of national character refers to anthropological studies after World War II.

The Japanese are known as law abiding people; the Americans are known for their grit for freedom – freedom of speech, freedom to pursue their own interests, freedom from bullying, freedom of religion, freedom of movement within the country, freedom to associate with whomever they please. The Chinese are known for their orientalism; the French are known as arty.

The country of origin (COO) specifically matter to the customers because every country has its reputation and the association between the product and the country’s expertise matters while buying products. For example Italy is known for designs, North Caroline for furniture, France for fashion and wine, the USA for entertainment, India for spices, Germany is famous for cars. Today’s consumer understands legal and safety issues sharply. Consumers today look at the ‘made in’ label with many perspectives. The ‘made in’ dependent on a combination of many factors – from heritage, to design and physical manufacturing, skilled labour, infrastructure, market intermediaries etc. Hence manufacturers can leverage a lot on the country of origin as one of their competitive advantage. A company needs to be physically present in the country; the design and patents need to have emerged from talent in the country, or the brand needs to have factories or parts of the production process in the origin nation. In the past, when it was  enough to ‘borrow’ associations from a country for pure marketing purposes, today consumers not ready to accept country of origin as a choice driver unless it is bona fide.

Successful brands contribute to nation branding. Of the world’s 500 largest stock-market-listed companies measured by revenue in 2014, among the Fortune 500 companies 28 are headquartered in Germany. Well-known global brands include Mercedes Benz, BMW, SAP, Volkswagen, Audi, Siemens, Allianz, Adidas, Porsche and DHL. Thus, famous brands strengthen branding of a country. Similarly, brands across every category, like Apple, Cadillac, Clinique, Coca-Cola, Ford, Kellogg’s, McDonald’s, Microsoft, Ralph Lauren, Starbucks and M&M’s have made the USA a strong nation brand. These corporate have made Germany and America leading nation brands.

The concept of branding is viewed as ‘cultural diplomacy’ of nations. It is a somewhat new way of looking at a nation, but every nation is already a brand. Every nation is perceived in the minds of people living differently in nooks and corners of the world. Some countries are known for good things, some for bad, and others have mixed insights. Based on the different perceptions, nations in the world interact and do business with each other, either contributing to its development or encumbering it. For example Africa is associated with civil war, Iraq with suicide bombings, Pakistan for terror bombing, India for scam and Cuba with Fidel Castro’s dictatorship (though he is dead). On the other hand, countries such as the US, Canada, Germany or France, are perceived positively for decades for their sound political and economic development. Nation branding is based on the underlying hypothesis that every nation can make a good or bad brand depending on its efforts. The important thing to realize about branding a nation is that one of its ingredients is the escalating value of something that is found already within that nation.

Consumers in developing countries like India, China, and Brazil still tend to prefer brands that come from other countries. Global supply, manufacture and export of goods began to accelerate in response for lower prices and greater choice of goods. Companies became international or multinational and the rise of an affluent middle class in the USA, Europe, India, China and UAE demand more sophisticated marketing. Due to rise of consumerism, categories of goods and services became more sharply defined. And, most brands started crossing the borders of their origin. With all the great business strategies, advertising, marketing and intelligent supply chain strategies even today in the 21^st century for most of the brands, their place of origin and heritage continues to be a key part of their appeal and differentiation. Their name, identity, design and symbolism of logos or trademarks become synonymous with their country or place of origin.

We should realize the fact that Brand building in emerging markets is a difficult task. As the rapid growth in an emerging market gives millions of consumers new spending power, they eye for and are encouraged by their counterpart in developed countries to buy established brands. Marketing efforts in developing countries is very multifarious.

In 2003, when Mahindra & Mahindra launched a smartly designed sport-utility vehicle called the Scorpio, CNBC India, BBC World’s ‘Wheels’ program, and others chose the vehicle for the

‘Car of the Year’ awards in the SUV category. That was not a small achievement: The made-in-India automobile won top honors ahead of global best sellers such as the Mercedes-Benz-E-Class and Toyota Camry sedans. To M&M, which manufactures tractors in several countries as well as vehicles targeted at India’s semi-urban and rural markets, the awards signaled that it could finally take the world’s automakers head-on. Even as the Scorpio successfully battles multipurpose vehicles like Toyota’s Innova and GM’s Chevy Tavera at home, M&M has started marketing the SUV in South Africa, Spain and many other countries.

As a nation, Singapore’s stunning rise from third world to first world in a matter of 30 years was spearheaded by an intensive and rigorous closely-coordinated programme of nation branding. Today, brand Singapore attracts the investments, business, trade, tourism and talented human resources from all over the world which is helping it further to become more flourishing nation. This state is internationally known as a vibrant, safe, corruption-free place to do business. Name any of the great businesses of the world; everybody wants to be in Singapore! The vibrancy and liveliness of the nation in its culture and the fine art attracts more and more tourists. In global surveys of quality of life, Singapore regularly tops the charts.

Nation Branding is catching up rapidly: the brand must be accepted internally first, i.e domestically, meaning throughout the nation, by all stakeholders. Only then can it be effectively promoted internationally.

Kong Qiu famously known as Confucius was a Chinese teacher, editor, politician, and philosopher of the approximately until 403 BC which is also called the Spring and Autumn Period of Chinese history which corresponds roughly to the first half of the Eastern  Zhou dynasty. This period can also be described further as a golden era because the concept of morality was established and practiced. Confucius emphasized personal and governmental morality, correctness of social relationships, justice and sincerity. His followers competed successfully with many other schools during the Hundred Schools of Thoughts. The concept ‘hundred schools of thought’ refer to an era of great cultural and intellectual expansion in China. Though, that era was loaded with chaos and bloody battles, but it was also known as the Golden Age of Chinese philosophy because a broad range of thoughts and ideas were developed and discussed freely. This phenomenon is also been called the Contention of a Hundred Schools of Thought.  The Qin Dynasty tried to suppress Confucius’s philosophy and thinking but Qin lost his dynasty soon, and Confucius’s thoughts received official sanction and were further developed into a system known as ‘Confucianism’.

Confucius’s teachings center on graceful existence of people; he also imbibed correctness and integrity in his philosophy. It seems Confucius was threatened with his life; but he kept going. He used say “I hear and forget. I see and I remember. I do and I understand.” He believed that every human being is capable of cultivating moral feelings and virtues. To the morally cultivated individual, virtue is what he or she desires for its own sake and virtuousness is the foundation of a successful society.

If you read Confucianism in details, you will observe that Confucius overestimated the power of virtue. Virtue cannot protect the weak against the strong, and it is powerless against wickedness and naked selfishness. In pressing situations, people often simply find it more convenient to resort or submit to the use of power in order to protect themselves or advance their interests. Ironically, Confucius was keenly aware that his moral approach could not save the world from moral and political decay.

Confucianism is a complex system of social and political ethics based on dutiful piety, kinship, loyalty and righteousness. His teachings cover a wide range from how a “true gentleman” should behave in his daily life to how a ruler should govern with a benevolent concern for the well-being of his subjects. In other words, it’s a kind of moral guide and direction for good governance based on values of hierarchy, group orientation, and respect for seniors in age and tradition. The Confucian system is based on morality.

The Analects of Confucius is a collection of sayings and ideas discussed between him and his followers and contemporaries, traditionally believed to have been written by Confucius’ followers. The Analects was considered merely a commentary. But its status grew to be one of the central texts of Confucianism. The Analects has been one of the most widely read and studied books in China for the last 2,000 years, and continues to have a substantial influence on Chinese and East Asian’s thoughts and values today. In today’s chaotic world where morality has lost its value it’s all the more important for us to read about Confucianism. Once Confucianism is saved, it could make the world a much better place to live in.

Today’s generation feels that Confucianism is a very old tradition of thought that can no longer work effectively. They feel it is utopian in nature; hence for the modern world it requires systematic reconstruction. Confucianism also needs saving because of the chronic gap between its political ideals and the reality of societal circumstances. But to save Confucianism and to let it save the world, we must first learn its profound insights and its profound failures. Even in those days i.e 403 BC the political elite were motivated more by self-interest than by virtue, and played by the rules of power rather than the rules of rituals designed to ensure good governance. Same is the case even today. Confucius’s solution was to revitalize the style of governance. He observed that power goes to head and it is difficult to stay grounded when people have power in their hands.

Confucius felt that legalism spoils the social fabric; legalism is based on the belief that people are evil by nature and that people behave properly only if compelled by strict laws and harsh punishments. Xunzi who was one of the contemporaries of Confucius, led to the development of Legalism. He believed that people had to be forced to make the right decision. He did not believe in the essential goodness of all human beings, and he did not believe that they could make the right decisions. Whereas, Confucius felt that reward and punishment makes people shameless and turns them further away from independent moral cultivation. To accept Legalism is equal to abandoning the best aspects of humanity. Second, reward and punishment alone cannot ensure long-term stability and peace. If people have no virtue, sophisticated systems of sanction only breed ingenious crimes, and no government of any kind can save the day. If you see our system closely, that’s what criminals do. They study the loopholes in laws and exploit it to the hilt.

The Confucians cannot agree with the Legalist strategy, yet they admit that their rituals and virtues fail to control elite behavior. The challenge then becomes this: Is there any alternative that effectively tackles problems in the non-ideal world and yet retains Confucian ideal aspirations? This question has haunted Confucians for over 2,500 years, and continues to do so even today.

The best way to meet this challenge is to adopt liberal democratic institutions that are shaped by the Confucian conception. Confucianism has good instrumental reasons to adopt democracy, because of its view that political authority exists for the happiness of the people. Under suitable social and economic conditions, the institutions of liberal democracy – limited government, democratic elections, human rights, and civil liberties appear to be more effective than other political systems in restraining political power, preventing unconcealed corruption, and forcing elected officials to work for and respond to the people. Well, all this does sound utopian.

While democracy can promote and express Confucian values, Confucianism can also work to the advantage of democracy. For a democracy to function well and not deteriorate into aggressive politics based on narrow self-interest, it needs virtuous citizens. The cultivation of Confucian morals, as a form of humanity-based moral education, may well be more effective than liberal civic education in instilling the virtues of such a citizenry.

Confucianism can also provide food for thought on how to select virtuous and competent people to serve in politics. If democratic elections do not furnish an adequate number of high-caliber politicians, or if they discourage politicians from making policies conducive to the people’s long-term interests, Confucianism would consider alternative institutions to supplement democracy. By way of example, establishing a second legislative chamber whose members consist of seasoned participants in public service with good reputation in serving the people.

The Confucius Institute program began in 2004 and is overseen by Hanban – the Office of Chinese Language Council International. The program is governed by a council whose top-level members are drawn from Communist Party of China and various state ministries. The institutes operate in co-operation with local affiliate colleges and universities around the world, and financing is shared between Hanban and the host institutions. The related Confucius Classroom program partners with local secondary schools or school districts to provide teachers and instructional materials. Confucius Institutes are sometimes compared to language and culture promotion organizations such as Britain’s British Council, France’s Alliance Françoise and Germany’s Goethe Institute. Unlike these organizations, however, Confucius Institutes operate within established universities, colleges, and secondary schools around the world, providing funding, teachers and educational materials.

In his maiden speech on 27^th September 2014, at 69^th United Nations General Assembly (UNGA) India’s new Prime Minister Narendra Modi advocated unity among various nations in the world; he advocated “G-All” grouping (group of all nations in the world), rather than participating in smaller fractional groups like the “G 8”.   Mr. Modi solicited the gatherings that in spite of existence of a body like United Nations why nations are operating in various Gs with different numbers?  Every Government will have to discharge their responsibilities for development of the world, which calls for better coordination of policies and understandings. Mr.Modi spoke astutely in the gathering and was applauded by the audience. The gathering went euphoric after his speech.

Talking about the fact that the UN is completing 70 years in 2015, the Indian Prime Minister Mr. Modi said, “We need to think how to create a G-all atmosphere when the UN is about to celebrate its 70 years next year.”

Though in the past, nations could afford to exist in isolation, today it is simply impossible for any nation to do so. The world has changed; the nations are interdependent on each other. The earlier we realize this fact the better. Each nation should realize that it is sharing the planet with others. As nations are progressing in research and development in science and technology, societies are getting unified. Another fact is no nation in the world can exist without bilateral trade; therefore, whatever happens in a nation eventually affects many others. Within the context of our interdependence, isn’t it high time that our self-interest clearly lies in considering the interest of others?

The world is getting highly complex because of the brewing politics between the mightier and smaller – less developed nations. No single nation can call the shorts. At least for the sake of   international trade, nations have to consider each other’s concerns and interests. Mr. Modi offered crisp comments on ethical base of sovereignty of nations. He said there are many pragmatic issues beyond profit and loss. “Let us pledge that 2015 will mark the year when we steer the world in a new direction. Let us work towards a sustainable world,” Mr. Modi said. He solicited a promise to reform UN Security Council by 2015.

The need of the hour is to counter terrorism which is emerging in new forms and names every day. No nation is free of terrorism. And, there are some nations that are giving protection to the terrorists. State terrorism, Bioterrorism, Cyber terrorism, Eco Terrorism, Nuclear Terrorism and Narco Terrorism are challenging law makers, law enforcing authorities and political systems to distinguish different types of terrorism as part of the larger effort to understand how to counter and dissuade it.  All countries need to unite to fight terrorism. The shadow of terrorism must end. A comprehensive Convention on International Terrorism is urgently required.

On the issue of Kashmir, when Pakistan Prime Minister Nawaz Sharif spoke at length, Mr. Modi crisply made it clear to the world that the neighboring country of India needs to create an atmosphere for peaceful talks without the shadow of terrorism.  Pakistan must accept its responsibility of creating conducive atmosphere for the serious discussion. From the first day, NDA government has worked towards promoting friendship and cooperation with its neighbors, and it is keen on resolving Kasmir problem.

Every nation has its own culture and tradition in its foundation of civilization. Mr. Modi said India sees the entire world as a family; it cares for the prosperity of the world. Indian culture believes in brotherhood. Mr. Modi has paved way for world bodies like UN to ponder on restructuring sovereign rights and responsibilities of nations in an interdependent world; a serious thought needs to comprehend on how certain rights stand in the way of achieving important international objectives.

Fragile elements and cyclical alterations are tightly linked to the interdependence of world. I conclude my review of Mr. Modi’s brilliant speech at UNGA on the point of interdependence of world by giving three examples. In 1986, a chemical fire and spill in Basel, Switzerland poisoned 185 miles of the Rhine River; this incident damaged ten years of ecological recuperative work because it threatened public water supplies. The long-term consequences are a matter of debate even today.

In 2007 the subprime crisis in United States led global financial markets to topple since in August 2007; the sensex in almost all major countries fell down with a hefty loss. The American Stock Exchange lost 645 points at 14,936. The NSE Nifty ended at 4,346, down 183 points. Elsewhere in Asia, Hong Kong’s Hang Seng Index slumped 730 points to 22,455. Japan’s Nikkei plunged 378 points to 16,871. Taiwan’s Taiwan Weighted index crashed 395 points to 8892, and China’s Shanghai Composite index shed 170 points at 4,301. The world economy even today is suffering from this global financial and economic crisis that has become severe since the second half of 2008. Europe was the next affected, thereafter its effect spread to the rest of the world. East Asia did not escape. The depth and speed of the worst crisis is worldwide through the financial sector and trade linkages, and its severity has affected the recession particularly in emerging market economics, small countries, and East Asia.

In another episode, a nuclear reactor explosion at Chernobyl produced measurable increases in radiation in far distant places. In the immediate expanse of the reactor, agricultural fields were contaminated. In a number of European countries, crops were contaminated and preventive measures were initiated. The long-term consequences of this case are also a matter of debate and speculation. But the veracity of the convergence and interdependence of world economy can no longer be ignored.

The proverb “United we stand, divided we fall” is so true!!

The Academic Ranking of World Universities (ARWU), also known as the Shanghai Ranking, is a publication that was originated and compiled by the Shanghai Jiao Tong University to rank universities globally. This ranking has been conducted since 2003. It is conducted annually on well-thought and strategic parameters. The results are published by the Shanghai Ranking Consultancy. This is one of its kind ranking.

The Chinese Government backed this ranking to provide a global benchmark against the various universities in China – this they did to assess their progress. The aim of the ARWU is for Chinese universities to do some hardcore and path breaking research in the area of science. The efforts taken by the Chinese Government in the area of higher education is praiseworthy.

The Academic Ranking of World Universities is considered one of the three most influential and widely observed international university rankings, in addition to the QS World University Rankings published by British Quacquarelli Symonds using the pre-existing methodology and innovative cooperation between Times Higher Education and Thomson Reuters.

While we look at strengths, weaknesses cannot be hidden either. The ARWU is criticized for its heavy focus on the natural science more than the social sciences or humanities and its explicit focus on research more than the quality of instruction.

The ranking consists of the following parameters:

International outlook: People, research (7.5%)

This category looks at diversity of students on campus and to what degree academics collaborate with international colleagues on research projects – both of these elements show how global an institution is in its outlook. The ability of a university to attract undergraduates and postgraduates from all over the world is the key to its success. The top universities also compete for the best faculty from around the globe. So in this category the aspect of international faculties is also given importance. The other indicator in this category is of the proportion of a university’s total research journal publications that have international co-authors. This parameter clearly shows importance of global approach that needs to be adopted by an institution.

Research: Volume, income, reputation (30%)

This category is made up of three indicators. The most prominent one is looking at a university’s reputation for research excellence among its peers. This category also looks at university research income, scaled against staff numbers and normalized for purchasing-power parity.
This is a contentious indicator because it can be influenced by national policy and economic wellbeing in a country. But, this indicator looks at the will of a University to spend money on research to increase its capability and thus considers that this is valid measure. Data is gathered to take account each university’s distinct subject profiles, reflecting the fact that research grants in science subjects are often bigger than those awarded for the social sciences, arts and humanities research. The research environment category also includes a simple measure of research productivity – research output scaled against staff numbers. The number of papers published in the academic journals indexed by Thomson Reuters is given lot of credibility. This gives an idea of an institution’s ability to get papers published in quality peer-reviewed journals.

Citations: Research influence (30%)

A citation is a reference to a published or unpublished source. More precisely, a citation is an abbreviated alphanumeric expression fixed in the body of an intellectual work that denotes an entry in the bibliographic references section of the work for the purpose of acknowledging the relevance of the works of others to the topic of discussion. This parameter attracts 30 percent of overall score. It looks at the role of universities in spreading new knowledge and ideas.

It examines research weight by capturing the number of times a university’s published work is cited by scholars globally. In 2014, Thomson Reuters examined more than 50 million citations to 6 million journal articles, published over five years. The data are drawn from the 12,000 academic journals indexed by Thomson Reuters’ Web of Science database and include all indexed journals published between 2007 and 2011. The citations help to show how much each university is contributing to the sum of human knowledge. It shows whose research has stood out, has been picked up and built on by other scholars and, most importantly, it has been shared around the global scholarly community to push further the boundaries of our collective understanding, irrespective of discipline. The ranking excludes any institution that publishes fewer than 200 papers a year to ensure that it has enough data to make statistically valid comparisons.

Citation helps referencing – it’s a way to give credit to the writers from whom scholars borrow words and ideas. By citing the work of a particular scholar students can acknowledge and respect the intellectual property rights of that researcher. A student/academician can draw on any of the millions of ideas, insights and arguments published by other writers, many of whom have spent years researching and writing. All that is needed is to acknowledge their contribution in newer building assignments.

Industry income: Innovation (2.5%)

A university/institute must essentially help industry with innovations, inventions and consultancy; it is its core mission. This category seeks to capture such “knowledge transfer” by looking at how much research income an institution earns from industry; it is scaled against the number of academic staff it employs. Industry income earned by innovation suggests the extent to which businesses are willing to pay for research and a university’s ability to attract funding in the competitive commercial marketplace.

It is a practical indicator of institutional quality. The Universities need to align education and research to meet the rising needs of industry and main concerns of the nation. The industry-academia interface must go to review the curriculum and pedagogy to ensure that they are pertinent and contemporary for the industry.

Teaching: The learning environment (30%)

This category employs five separate performance indicators designed to provide a clear sense of the teaching-learning process environment of each institution from both the student and the academic perspective. The teaching and learning category looks at staff-to-student ratio.
Where there is a healthy ratio of students to staff, the former will get the personal attention they require from the institution’s faculty. The teaching category also examines the ratio of doctoral to bachelor’s degrees awarded by each institution. It determines that institutions with a high density of research students are more knowledge-intensive and that the presence of an active postgraduate community is a marker of a research-led teaching environment valued by undergraduates and postgraduates. The doctorate-to-bachelor’s ratio is taken into consideration. The teaching category also uses data on the number of doctorates awarded by an institution, scaled against its size as measured by the number of academic staff it employs, as well as giving a sense of how committed an institution is to nurturing the next generation of academics, a high proportion of postgraduate research students also indicates the provision of teaching at the highest level that is thus attractive to graduates and effective at developing them.

Undergraduates also tend to value working in a rich environment that includes postgraduates. This indicator is normalized to take account of a university’s unique subject mix, reflecting the different volume of doctoral awards in different disciplines. The final indicator in the category is a simple measure of institutional income scaled against academic staff numbers.

This figure is adjusted for purchasing-power parity so that all nations may compete on a level playing field indicating the general status of an institution that gives a broad picture of the infrastructure and facilities available to students and staff.

Indian Universities/Institutions need to adhere to the global standards. The rankings parameters are usually based on tough standards. Only, Punjab University appears in the World University Rankings in the top 400 universities list for 2013-14. Although India has 42 central universities, 285 state universities, 130 deemed universities and 125 private universities, barely 3 or 4 of them are appreciated worldwide. Like Chinese Government backed Academic Ranking of World Universities to provide a global benchmarking for their universities for improving the educational standards, when will India raise its status?

According to a Times of India report based on QS BRICS 2014 University Rankings published on Tuesday, 29^th July 2014, India is the only country among BRICS nations (Brazil, Russia, India, China and South Africa) that couldn’t find a place in its top 10 list. Barring Russia, all other nations in the group are developing countries and newly industrialized States. A low ranking for Indian universities among these five nations brings down status of India in the world. India needs to immediately streamline its educational policies to showcase its strengths in research and development. However tough the parameters of ranking might be, we need a strong policy framework in place to augment our educational levels. Let’s stop underestimating the importance of quality education.

Switch on your television for watching any program – be it news, a movie, dance show, award function anything and you are going to watch some of the baby brands’ commercials highlighting the usage and benefits. You will see cute babies and their pretty mummies in the commercials. Baby care products range from baby hair oil, talcum powders, strollers, baby diaper brand, nappies brand, baby soap brand, baby shampoo brand, baby skin care brand, feeding bottles, feeding spoons, baby furniture to a baby food brand! Baby products are available all over the market, be it an exclusive baby store, online, retailers or medical shops or the shop in shops in malls. The market size of Indian baby care products are expected to grow by 40 per cent to Rs 4,200 crore in 2014 on account of rising income levels and increasing awareness, ASSOCHAM (The Associated Chamber of Commerce & Industry) reported in Economic Times recently.

Baby care products need a well planned promotional mix for their positioning. Product Positioning is a marketing technique intended to present products in the best possible light to different target audiences. Since these products are bought for babies, the marketers need to target parent’s mindshare. And, parents will think and make sure whether the products are worth for their precious child. The baby care products need to connect to the emotions of the parents. The promotional mix comprises of five elements these elements are personal selling, advertising, sales promotion, direct marketing and publicity.  Promotional mix specifies how much attention to pay to each of these five elements, and how much money to budget for each. A promotional plan can have a wide range of objectives, varying from increase in sale, lunching new product, retaining its position, acceptance, creation of brand equity, positioning, competitive retaliations, and last but not the least shaping the corporate image.

Parents are keen to give their child the best of all. They want to see their baby growing happily and comfortably. And, the market is booming with products to meet with the parents’ expectations and demands like never before! India has emerged as the most preferred market for the companies involved in baby care product manufacturing and marketing, says a RNCOS (a business research and consultancy firm) report. The growing segment of population in the age group of 0-4 years in India provides the desired kick in comparison to other baby products’ markets worldwide. Many new entrants and existing players have flooded the market with traditional and specialized products in a bid to grab the market shares.

In a country like India, there is one core challenge which needs to be addressed. The Indian baby care market is restricted majorly to the urban areas. Despite accounting for majority sales, the urban areas are still to be fully penetrated when compared to other developed and developing markets in the Western countries. Thus, the players need to work on under-penetrated yet over crammed market. I am calling the baby care products under-penetrated because the demographic spread is broad and far-flung which needs to be covered, and the market is crammed because of substitution of cheaper local brands. When it comes to Infant food products there are challenges such as cultural aspects, competition from cheaper substitutes, and regulations on ‘Infant Food Promotion’ from Ministry of Health and Family Welfare which plays a key role in hindering the growth of this potential market in the country. However, baby care market in India has experienced growth over the past few years due to changing consumer mindset and increasing awareness of baby care products.

Rise in disposable income level, availability of premium products, and increasing awareness have significantly revolutionized the baby care market. Unlike olden days, when mothers would devote their all time to the infant, today’s moms can’t do it because family and career both are equally important for today’s women. She needs to balance her career and parenting on a fine line; she depends on support from family members, maids, nannies, crèches and the baby care products to bring up her child.

But, it is observed that baby care products are still taking baby steps while positioning strategies are concerned.  Baby steps are a tentative act or measure which is the first stage in a long or challenging process. The buyer behavior needs a closer look.

Even today in 21^st century majority of Indian households believe in using lentil atta (flour) for rubbing rubbing on the body of newly born baby before bath. It is supposed to remove hairs on the body. Flour is kneaded in to a soft dough ball dipped in warm oil. Turmeric and almond oil is used to knead the flour. Honey is the most common first food for most of the babies born in India.  For the care of umbilical region mustard oil or coconut oil is used, black kajal is used for eyes is applied on fore head to keep evil souls away from the baby. The child is kept inside the room for almost a month so that it is not exposed to communicable diseases. Traditional massage of a baby starts from the feet to head of the body of a baby with coconut/almond/olive oil prior to bath. It is customary not to cut nails of infant for few months. In India cutting of hairs for the first time generally after one or three years is like a festival for most of the people. It’s common practice of keeping hing (asfoetida) or ajwain (carom seeds) tied to the naval region of the baby. It is believed that it improves the digestion of the baby and helps in checking the colic pain. The home-made nappies are still in used for babies. So here goes the scenario. The traditional style is still practiced and it works great wonders. The child’s entry in the household is thoroughly enjoyed by all members. The entire family is engaged in bringing up the baby.

While we see the above described traditional childcare practice, we also see Proctor & Gamble, Johnson & Johansson, Wipro, Dabur and Kimberly-Clark working on profitable business models and well-positioned brands. That’s India.

Procter & Gamble’s diaper Pampers targets guardians and healthcare professionals handling babies and toddlers who use baby products as part of their daily routine. This includes baby care centers, hospitals, and other infant care providers. Pampers brand consists of three major product lines namely: diapers and pants, wipes, and Kandoo and bibsters. In it’s more than 50 years of history, Pampers successful positioned itself as a dependable brand in the market. The message of quality and product value still rings a bell in the minds of consumers. By educating and informing consumers on the possible products that can be used for the different developmental stages of babies, Pampers is able to gain loyalty from consumers. From time to time, Pampers had reinvented itself time and again and suitable strategies are adapted to suit with the current atmosphere and environment of the market. Currently, Pampers is giving a tough fight to substitute brands such as Huggies, Luvs, and number of private and generic brands that are also eroding the market share of Pampers. Huggies of Kimberly-Clark is the major competitor of Pampers because of its close similarity in terms of quality and price, in fact Huggies has superseded Pampers market share.

Dabur which is which is one of the leading players in the baby care segment, has three products in its portfolio, including the flagship Dabur Lal Tel which is used for massaging the child, it enjoys an overall market share of over 25 per cent. The company has other products such as Janma Ghunti (baby tonic) and Gripe Water (digestive tonic). The company emphasizes on the usage of power of Ayurvedic herbs andplant extracts thus making it safer to consume. There are brand loyalists of Dabur who will buy their products even when they shifted their base from India.

Johnson & Johnson sells baby skin care, bath acre, linen, washcloth, talcum powder, foaming products, shampoo and conditioning. J&J Brand positioning is done by increasing consumer awareness, through advertising & promotional activities, good product visibility which I think is very important and availability in the market through best supply chain practices.  J&J provides good visibility, consumer offer to the shoppers, better service to retailers, good competitive schemes, and better quality products at reasonable rates; thus, making its brand effective in the market in comparison of other brands.

A lot of market research goes in the entire product life cycle of the products. Marketing research is one of the most important marketing activities. Products are introduced depending on the taste preference and keeping the price point in mind. Three P’s – Popularity, Positioning and Pricing of the product matters in the market.  Young parents still go for affordable products while shopping for their babies. Thus, consumer buying behavior, purchase pattern and complex buyer behavior play a key role in deciding on the lines of introducing products/entering a target market.

While we see the market overflowing at times cluttered with range of products, in the coming years, innovation in products and marketing strategies will be the key focus areas for most of the companies operating in the Indian baby care market. It can also be very much expected that in future, penetrating deep into the urban market in conjunction with the rural market will provide exciting growth opportunities to the potential industry players. While we discuss about the positioning strategies, we need to seriously deliberate on some of the glaring features of Indian market:

Indian demographic distribution is 72 percent in rural areas while the rest 28 percent live in urban or semi-urban areas. With the average purchasing power of the Indian population increasing along with hygiene awareness the rural market is the market of the future. To me, the rural-urban divide is slowly blurring. However the traditional make-up of Indian families needs a different strategic treatment.

• India requires specialized products. It requires a flexible marketing mix offer.  You cannot afford to shake the traditional style of the childcare.

• The TV and print media can reach the buyers. These two media forms the potential to create the brand awareness among the buyers through various advertisements and promotional campaigns.

• Indian customers go for ‘value-for-money’ concept; reasonably priced, easy to use, less complicated instructions, comfortable, good fit, cleanliness-prone, and environment friendly and hygienic products are accepted. Most importantly products need small packaging – smaller packs are sold easily. Frugal packaging is always best sold in India.

• Indian market is OTC driven (over the counter); regular revamping of distribution network helps backed by re-staging of brands. The retail networking is expanding very fast; hence retail outlets are best suited for baby care products.
• The main drivers for the baby care market in India, will however, remain to be the rise in investments from companies, the soaring demand and the increasing working women population apart from the factors discussed above which will set the pace for this industry in India in the coming years.
• Developing a distinctive, differentiating and value-based positioning concept is a must. Creating a positioning statement which will touch the Indian mind set with key messages will always work.

Brevi from Italy, Combi from Japan, Bubba Blue from Australia, Tiny Love from Israel, Grup Baby from Turkey, US Baby from China, Kiddy Gmbh from Germany, Tolly Joy from Singapore and Farlin from Taiwan are some of the top brands which will be foraying into the Indian baby care products market. The market is growing at a fast pace.

Its 100 years today since the World War I broke on 28^th June 1914. I strongly believe all wars defies logic.  Sociologists and psychologists can tell us many of the reasons for war, but when we see the results of war its tragic effects only tell us that war is unreasonable and illogical. Yet it is still unavoidable. Why? What is it in mankind that causes us to war?

The 1^st World war began on a small note when Austria-Hungary declared war on Serbia. This seemingly small conflict between two countries spread rapidly: soon, Germany, Russia, Great Britain and France were all drawn into the war, largely because they were involved in treaties that obligated them to defend certain other nations. Western and eastern fronts quickly opened along the borders of Germany and Austria-Hungary. The war drew in all the world’s economic great powers which were assembled in two opposing alliances.

World War I killed more people – more than 9 million soldiers, sailors, and flyers and another 5 million civilians. It involved 28 countries, and cost $ 186 billion in direct costs and another $151 billion in indirect costs. It became a very costly afire. It was the first war to use airplanes, tanks, long range artillery, submarines, and poison gas. It left at least 7 million men permanently disabled. World War I probably had more far-reaching consequences than any other proceeding war. Politically, it resulted in the downfall of four monarchies; Russia in 1917, Austria-Hungary and Germany in 1918, and Turkey in 1922. It contributed to the Bolshevik rise to power in Russia in 1917 and the triumph of fascism in Italy in 1922. It ignited colonial revolts in the Middle East and in Southeast Asia.

The war severely disturbed the European economies and allowed the United States to become the world’s leading creditor and industrial power. The war also brought vast social consequences, including the mass murder of Armenians in Turkey and an influenza epidemic that killed over 25 million people worldwide.

Many socio-economic events reveal the utter unpredictability of the future. At the dawn of the 20th century, most Europeans looked forward to a future of peace and prosperity. Europe has not fought a major war for 100 years because their belief in human progress was shattered by World War I, a war few wanted and few unnecessarily got drawn into it. At any point during the five weeks leading up to the outbreak of fighting the conflict might have been averted. World War I was a product of miscalculation, misunderstanding, and miscommunication.

No one anticipated a war of unimagined magnitude or duration of World War I. At first the armies relied on outdated methods of communication, such as carrier pigeons. The great powers mobilized more than a million horses. But by the time the conflict was over, tanks, submarines, airplane-dropped bombs, machine guns, and poison gas had transformed the nature of modern warfare. In 1918, the Germans fired shells containing both tear gas and lethal chlorine. The tear gas forced the British to remove their gas masks; the chlorine then scarred their faces and killed them.

Conflicts between two nations is ought to take place on various issues; but is war the solution to it? There is little difference between human and animal reaction to war: animals have a strong instinct to fight and defend their territory, humans are no different. What really separates humans from animals is the scale of the fights. The human’s fights are terrifying and blood-spattered. World War I proved that if disputes are to be settled only by war, then human kind will not survive and the whole world will vanish.  – Let’s avoid a third world war.

War is not something that any sane person wants to be involved in. World War 2 is a great example: Hitler was trying to take over the world eventually by committing genocide. He needed to be stopped. Genocide means the systematic destruction of all or part of a racial, ethnic, religious or national group by Killing members of the group. You cannot have someone trying to take over the world, especially in such a gory manner.

Unfortunately war is necessary in some cases. In several cases, the only way to stop certain pretense is through war. Think, if certain rulers hadn’t been deposed through war efforts, where would the world be? Unfortunately there are people and governments that will not change through peaceful talks and beneficial agreements.

Wars often start from silly, petty arguments. It’s proved sometimes war is the outcome of national ego.

Some sociologists feel education is the answer to stop war. They say that if everyone had the best education possible then war, racism and all other social problems would give way to a worldwide peace. But if you look at people who opted for war were most educated, then what happened? Adolf Hitler, Joseph Stalin, Adolf Eichmann, Joseph Goebbels, Idi Amin, Pol Pot, Mao Tse Tung, Sadam Hussein, Slobodan Milosevic and many others were educated people. Does knowledge breed ego in people? Today, knowledge is given priority in all nations but still the number of wars and their severity has not reduced.

Historically, men and nations attempt to secure peace through political alliances. But, even these have not been able to offer lasting peace. In an address to the United States Senate in 1919, President Woodrow Wilson said, “The League of Nations is the only hope of mankind.” World War I was supposed to have been “The war to end all wars“. But it proved wrong. World War II began only 20 years later.  Thousands of treaties have been made and disbanded.  Our intensions of peace are fanciful, short-lived and fragile; any number of treaties may be formed for peace, but wars are not prevented. It is futile to put all our hope in political alliances.  War cannot create peace and peace cannot create war. It is therefore left to us, to the people of this world whether we want war or peace.

Lastly, some social scientists have envisaged World War III (WWIII, WW3 or the Third World War) to describe a worldwide conflict following World War II. The anticipated dates for the war are from September 1, 2029 – November 11, 2036. The war will break everywhere except Antarctica and most of Africa. The elements for the war would hypothetically be such as Syrian – Turkish border clashes, China’s aggression due to various reasons, same with Russia, economic collapse in word, termination of United Nations, Korea will reunite under democratic government, NATO will occupy the Middle East, dissolution of SCO (Shanghai Cooperation Organization). SCO is a Eurasian political, economic and military organization which was founded in 2001 in Shanghai by the leaders of China, Kazakhstan, Kyrgyzstan, Russia, Tajikistan and Uzbekistan. Post war all SCO governments will reconstruct, Palestine will officially gain independence from Israel.

The World War III will result into reinstating of United Nations. China and Russia will have democracy. Both countries’ some province will enjoy democracy while some province will merge with neighborhood countries.

Can World War III be averted? Looking at the world scenario today, possibilities of it cannot be disputed.  But, let us hope that the hypothesis of World War III remains an illusion perpetually.

]]> https://drvidyahattangadi.com/world-war-i-centenary/feed/ 0 https://drvidyahattangadi.com/what-are-the-advantages-of-bed-and-breakfast-accommodation/ https://drvidyahattangadi.com/what-are-the-advantages-of-bed-and-breakfast-accommodation/#respond Fri, 13 Jun 2014 12:32:06 +0000 http://drvidyahattangadi.com/?p=567 BED AND BREAKFAST (or B&B) is a small lodging establishment that offers overnight accommodation and breakfast, but usually does not offer other meals. Since the 1980s, the meaning of the term has also extended to include accommodations that are also known as “self-catering” establishments. Classically, bed and breakfasts are private homes with fewer than 10 bedrooms available for commercial use.

BED AND BREAKFAST have come a long way; the term itself has been coined in the UK after World War II. At that time numerous foreigners needed a place to stay and local people had opened their homes and started serving breakfast to those overnight guests. Hence, a BED AND BREAKFAST is accommodation offered in someone’s private home. The proprietor may live on premises or nearby. Breakfast is usually homemade and sumptuous served in the dining room, the bedroom or at a patio in the private garden of the house. The majority of BED AND BREAKFAST offers a private bathroom. Privacy and sociability are equally available depending on the inclination of the guest.

BED AND BREAKFAST offers cozy, clean and comfortable surroundings to the guests; generally the rooms are set up just like a room in your own house. Every BED AND BREAKFAST setting is different. Some BED AND BREAKFAST have shared bathrooms, so if you don’t mind that, you may save some money to stay there.

A research conducted on BED AND BREAKFAST says that people who have stayed at BED AND BREAKFAST  have rarely regretted it. The hospitality they receive from their host is impeccable. Usually people who offer BED AND BREAKFAST service are warm and social and like to have people in their homes. They are more helpful to their guests and will go out of their way to accommodate the guest’s requirements. If you are planning a quiet vacation to relax and spend some time on the beach or a woods, find a BED AND BREAKFAST in the location and add charm to your holiday.

Besides a homely setup, BED AND BREAKFAST offers cool atmosphere, and personal pampering which cannot be compared to a hotel. Moreover, the BED AND BREAKFAST hosts are always a good source for detailed local knowledge and great help for planning a trip. Guests generally communicate directly with the owner which allows them to make prior planning for special requirements. It’s a sort of hybrid between a luxury hotel and a private home, embodying the best of both worlds.

Usually for BED AND BREAKFAST owners running the service is a secondary source of income or a primary occupation. Generally the owners themselves prepare the breakfast and clean the rooms, but some BED AND BREAKFAST hire staff for cleaning or cooking. A property which hires professional management is uncommon.

It is very difficult to put a strict label to BED AND BREAKFAST; they have some differentiation parameters. Location, architecture, interior decoration, facilities and services – all these features of a BED AND BREAKFAST vary in large amounts depending on location, standards, and people running the place. BED AND BREAKFAST are to be found in townhouses, country houses, farms, cottages, villas, lodges, country inns, historic homes, castles, cabins, carriage houses, boats, mansions, ranches, apartments, boats and everyday homes. The list can go on endlessly. But it is the variety that makes staying in BED AND BREAKFAST so exciting, romantic, and thrilling.

Travelers can come together with the host’s family members; I have one good experience to share; when we visited Goa in Canacona few years back, the hosts were so kind that they included us in their family function – ring ceremony of their granddaughter.  The ceremony was very traditional and elaborative, three hours long which began with a puja. It was followed by dinner – typically Konkani style. Today, even after 7 years, we are in touch with the family (BED AND BREAKFAST owners) that’s the charm of BED AND BREAKFAST .

World over, BED AND BREAKFAST are run in different fashions. Registered Irish BED AND BREAKFAST is star rated but the majorities are not registered. Generally, BED AND BREAKFAST in Ireland are family owned & run with a small percentage being managed but still with the personal service expected in this sector. Owners/Hosts must live on premises. Breakfast can mean a cooked or continental style buffet.

In China expatriates have re-modeled traditional structures in quiet picturesque rural areas and opened a few rustic boutique hotels with minimum amenities. Most patrons are tourists but they are growing in popularity among the Chinese

In Cuba, which opened up to tourism in the 1990s after the financial support of the Soviet Union ended, a form of BED AND BREAKFAST  called ”casa particular” (private home) they are famous and will be seen outside the tourist homes.

In Hungary, BED AND BREAKFAST is very popular. Usually is a small family-run hotel, a friendly ambience and a pleasant atmosphere. It provides an affordable alternate for the hotels. In Hungarian the BED AND BREAKFAST  is called “Panzió” or “Szálló”.

In India, the government is promoting the concept of BED AND BREAKFAST. The government is doing this to increase tourism; in 2010 Common Wealth Games especially BED AND BREAKFAST was given a boost, keeping in view the expected demand for hotels.  In India, BED AND BREAKFAST have been classified in 2 categories – Gold & Silver BED AND BREAKFAST . All BED AND BREAKFAST will be approved by the Ministry of Tourism who will then categorize it as Gold or Silver based upon the pre-defined criteria.

BED AND BREAKFAST business model is copied from the British. The British were the pioneers in this business. They are famous in southern province of Skania, Stockholm, Gothenburg, Malmo etc.

The custom of opening one’s home to travelers dates back the earliest days of Colonial America. Lodging establishments were few and far between in the 18th century and, apart from a limited number of coaching inns, travelers relied on the kindness of strangers to provide a bed for the night. Hotels became more common with the advent of the railroad and later the automobile; most towns had at least one prominent hotel.

During the Great Depression, tourist homes provided an economic advantage to both the traveler and the host. Driving through town on US highways, travelers stopped at houses with signs reading Tourists or Guests welcome, indicating that travelers could rent a room for the night for approximately $2. The rooms brought needed income for the home owner and saved money of the traveler, representing an intermediate option between inexpensive camp or cabins and costly railway hotels. In 1950s and 60s the Motel was a fad, the motels had carved niche for themselves then. They are in present days called ‘economy limited serving hotels’.

Through the 1980s and 1990s, BED AND BREAKFAST s increased rapidly in numbers and evolved from home stay BED AND BREAKFAST with shared baths and a simple furnishings to beautifully renovated historic mansions with luxurious decor and amenities. Printed directories listed options in various cities. By the mid-1990s, the Internet made it more affordable for innkeepers to promote their properties worldwide; it provided on-line reservation software and allowed travelers to view detailed photos, videos, and reviews. BED AND BREAKFAST s are found in all states, in major cities and remote rural areas, occupying everything from modest cottages to opulent mansions.

Some advantages of BED AND BREAKFAST:

• Breakfast is included: While this may seem obvious, it’s actually a wonderful amenity in terms of convenience and cost savings. BED AND BREAKFAST offer anything from a continental spread to a hot gourmet meal. As a special touch, some facilities will even serve this meal in your room.
• Privacy and peace: BED AND BREAKFAST tend to be more exclusive with fewer guests. They don’t often cater to large families and are more popular among couples. If you’re looking for a place to spend a quiet weekend, a BED AND BREAKFAST may be your best option.
• Personalized service: At a BED AND BREAKFAST, there are only a handful of guests. The hosts give you a much more personal experience. Typically, the gatekeeper is the owner and thus he makes sure that you have a great stay.
• They are usually located in quite areas. Unlike hotels, BED AND BREAKFAST s are often found off the beaten path. This provides you with a great opportunity to see less traveled parts of the community that you would otherwise miss, it gives you chance to rewind. They are good place to meditate.
• More secure. At a BED AND BREAKFAST, there are fewer people coming and going. With lesser guests, BED AND BREAKFAST owners tend to keep a much better eye on the hotel property than a typical hotel staff. In fact security is one of their priorities in service.
• Taste the local flavor: BED AND BREAKFAST are usually established and run by locals, therefore, the local spirit, local custom and way of life is maintained. You are served local food, and can enjoy some local entertainment. BED AND BREAKFAST s tend to offer all those special extra touches that can make your stay pampering and luxurious. Comfortable bed linens and bathrobes, organic food, and locally roasted coffee and beverage, are only some of the many perks that may be offered. Some facilities even stock snacks and drink in the common areas and rooms in case you get hungry.
• Enjoy extra activities. Many BED AND BREAKFAST offer additional recreational activities in their regular packages. Depending on the location, you may be able to enjoy biking, hiking, canoeing, golfing, or skiing, go get there.

So next time you plan an outing, do try the BED AND BREAKFAST facility.

In its 2005 “Year of Ideas” issue, The New York Times Magazinelisted nation branding among the year’s most notable ideas. The way a country is perceived can make a significant difference to the success of its trade, business, tourism efforts, as well as its diplomatic and cultural relations with other nations. Simon Anholt coined the term ‘nation branding’ in 1996 and since then he has been working with governments to help them plan the policies, strategies, investments and advance which lead their country towards an improved profile and reputation. America has become the largest and most powerful brand in the globe; it virtually shapes the world in almost all dimensions such as national governance, policies, exports, people, tourism, economic and social status etc. In the fast growing global village nation’s branding is considered as big as federal mega-projects. Steve Silver and Sam Hill, both marketing experts define nation branding as most complex (brand) positioning problem; how can we brand a nation? A nation is as big as a Meta brand inclusive of numerous mega brands. There are so many mega activities of in a nation such as political governance, commerce, education, human resource development, environment, foreign affairs, infrastructure, environment, tourism, culture and heritage etc.

Few years back marketing Guru Philip Kotler launched the World Marketing Summit (WMS), an annual gathering of professionals, in Dhaka to find solutions to global challenges such as climate change, healthcare and skill development. The purpose of the summit was building strategies for creating a better world.   When somebody asked a question to Philip Kotler how emerging economies like India and China should build brands?  He answered the question plausibly stating that emerging countries need to understand importance of marketing strategies. Imagine importance of marketing for building brands as big as nations.

In the emerging economies like China, India, Russia and Brazil many businesses are in the first stages of life cycles, most of these are product driven companies. In India lot of companies are just focused on market share, instant profits, and very little focus on marketing values. In some developing countries marketers have now recognized the importance of lasting impact of branding exercise, reputation and importance of being customer-driven.

Mr. Kotler’s advice to the business world is to become a brand that has distinct meaning. He says it is not enough for companies to be known for what they are producing or manufacturing; for instance it is not enough for people to know that Nike makes athletic shoes. Nike means much more…… It’s a lot of work!

Nation Branding: Role of Government

Coming back to nation branding; the role of governments is to appreciate the best companies around and to assist them in becoming more excellent in the country, and then in the region and then in the world. The government should make it easier for companies to be export-driven, to put in quality control policies, to raise adequate funds as and when required. The government needs to have business friendly approach.

Any nation in the world cannot take its position for granted. The economic scenario changes swiftly. According to leading economists in the world, there are approximately 28 emerging economies which are marching ahead. Countries like Brazil, China and India are regarded as the largest in the world today though the G8 has not included them. There are countries like Greece and Italy who are losing their foothold from the stable nations in the world. Greece is already in major breach of euro zone rules on deficit management and with the financial markets betting the country will default on its debts, this reflects badly on the credibility of the euro. There are also fears that financial doubts will infect other nations at the low end of Europe’s economic scale, with Portugal and the Republic of Ireland coming under scrutiny. If Europe needs to resort to rescue packages involving bodies such as the International Monetary Fund, this would further damage the euro’s reputation and could lead to a substantial fall against other key currencies.

The concept of branding is viewed as ‘cultural diplomacy’ of nations. It is a somewhat new way of looking at a nation, but every nation is already a brand. Every nation is perceived in the minds of people differently living elsewhere in the world. Some countries are known for good things, some for bad, and others have mixed perceptions. Based on these perceptions, other nations in the world interact and do business with other nations, either contributing to its development or hindering it. For example Africa is associated with civil war, Iraq with suicide bombings and Cuba with Fidel Castro’s dictatorship. On the other hand countries such as the US, Canada or France, are perceived positively for decades for their sound political and economic development. Nation branding is based on the underlying assumption that every nation is a brand good or bad depending on its efforts. The important thing to realize about branding a nation is that one of its ingredients is the intensification of something that is found already within that nation.

Singapore – Rise from third world to first world

Singapore’s stunning rise from third world to first world in a matter of 30 years was spearheaded by an intensive and rigorous closely-coordinated programme of nation branding. Today, brand Singapore attracts the investments, business, trade, tourism and talented human resources from all over the world which is helping it further to become more flourishing nation. This state is internationally known as a vibrant, safe, corruption-free place to do business. Name any of the great businesses of the world; everybody wants to be in Singapore! The vibrancy and liveliness of the nation in its culture and the fine art attracts more and more tourists. In global surveys of quality of life, Singapore regularly tops the charts.

Singapore’s exit from Malaysia was a unique historical situation. It is hard to think of another example in history when a state was expelled from a larger country. Singapore’s problems for its fight of independence were not distinctively glamorized.  High levels of unemployment, lack of sanitation, scarcity of potable water, and ethnic conflict were some conditions that marred Singapore then and still typify many third world countries today. It was common scene then on the streets of the country Chinese and Malays often fought street battles that ended in bloodshed.

The unusual effectiveness of the Singapore government has won worldwide acclaim over the years. The Institute of Management Development’s World Competitiveness Yearbook 1997, ranked Singapore as the country which has adopted most effective and fastest strategies and implementations in government policy. Berlin based Transparency International placed Singapore in fourth place worldwide in 2003 for absence of corruption. To explain Singapore’s economic success, it is important to understand the predominant themes that have distinguished its governance from less successful third world countries. At the heart of the Singapore model is the social contract that was articulated between the ruling PAP (People’s Action Party) run government and the people of Singapore. In essence, it said that while the people were willing to accept more government control they also gave up some individual rights. People worked hard while the government created the environment which delivered prosperity and a better quality of life.

The World Bank ranks nations on various parameters on the basis of ease of doing business, from 1 to 183. A high ranking on the ease of doing business index means the regulatory environment is more conducive to the starting and operation of a local firm. This index shows the best countries the world which allows businesses to prosper.  As of today, Canada ranks number one in this list.

Environmental scanning of a nation for brand building

Environmental scanning of a nation helps in the brand building exercise of a nation. It is the study and interpretation of the political, economic, social and technological events and trends which influences businesses to establish in a nation.  The following parameters involve in environmental scanning:  

Economic Environment

It is very complex and dynamic in nature that keeps on changing with the change in policies or political situations. It consists of three elements: (i) Economic Conditions of Public (ii) Economic Policies of the country (iii) Economic System and other Economic Factors such as infrastructural facilities, banking, Insurance companies, money markets, capital markets etc.

Political environment

The government policies affect the businesses extensively. Political beliefs of Government, political strength of the country, relation with other countries, defense and military policies, centre state relationship in the country, thinking of opposition parties towards business Units attract or distract FDI in a country. 

Socio-cultural environment

Influence exercised by social and cultural factors, not within the control of business, is known as Socio-Cultural Environment. These factors include: attitude of people to work, family system, caste system, religion, education, marriage etc.

Technological environment

A systematic application of scientific knowledge to practical task is known as technology. Everyday there has been vast changes in products, services, lifestyles and living conditions, these changes must be analyzed by every business unit and should adapt these changes.

Natural environment

It includes natural resources, weather, climatic conditions, port facilities, topographical factors such as soil, sea, rivers, rainfall etc. Every business unit must look for these factors before choosing the location for their business.

Demographic environment

It is a study of perspective of population i.e. its size, standard of living, growth rate, age-sex composition, family size, income level (upper level, middle level and lower level), education level etc. Every business unit must see these features of population and recognize their various needs and produce accordingly.

We Indians should take some lessons to brand ourselves in the globe.