Wednesday, May 30, 2007

Ste(e)ling the No.2 crown

With so much happening in the Steel sector, the Government is very optimistic about the sector and is hoping that India will take on the tag of the world’s second largest steel producer as soon as 2016, with its production capacity increasing three-folds to 120 Million Tonne (MT). In the National Steel Policy, the Government had projected that India would churn out 65 million tonne steel by 2010-11, however, the figure has now been pegged at 80 MT. Currently, India stands at the seventh position, producing 44 MT of alloy while China continues to lead followed by Japan and US.

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Source : IIPM Editorial, 2007

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

Friday, May 25, 2007

INFRASTRUCTURE... SIGH...

Jeh Wadia, MD, GoAir bemoans, though with positive tinges, to 4Ps B&M, “We cannot expect infrastructure to be put up overnight but the pace of progress at Delhi and Mumbai and the planned upgradation in over 30 more airports is very encouraging.” The government, no doubt, has to support phenomenally in hiving up in- vestments in airports development and modernisation. But beyond that, airlines need a clear focus on growing the total market pie rather than increasing hold over already established hubs. Sectoral players have to understand that despite there being vigorous growth in the sector, they are losing height... and fast! And while on one hand the players (especially the LCCs) are foolishly blaming escalation in operating costs and fuel prices as being the major culprits for their sad state, the reality is that till the time airlines ‘right-size’ their operations and fleet sizes (instead of inanely expanding), airline corporations being closed down overnight is a red-alert reality. All ego work, and no fair play, makes Jack a dull – and dead – boy. Airlinershave to realise that there is good news and there is bad news. If they risibly continue doing what they are at the moment, there will be no news one day... Ouch!

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Source : IIPM Editorial, 2007

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

Tuesday, May 22, 2007

AN AVIATION BOOM? OR CRASH, BOOM, BANG?!

“I have good news and I have bad news; what would you like to have first?” goes the classic Clint Eastwood line when he enters a Wild West bar, before he goes on to shoot almost everybody with his rifle (which is the bad news) and his revolver (the good news). Indian aviation doesn’t seem far behind this example. For starters, the Indian aviation sector thundered up at a sensational 27.9% during 2006 (Jan-Dec). If that sounded stunning, digest this – passenger volumes in Indian airways grew by an annual figure of an incredible 45% during just the first six months of FY 06-07? And that when international passenger traffic clocked a growth of just 15% during the same period!

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Source : IIPM Editorial, 2007

An IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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Monday, May 21, 2007

BRAND : Fiat Palio

AGENCY : Orchard
BASELINE : The Fiat of the new generation

DESCRIPTION: A cool dude is zipping down the road in a red hot Fiat Palio. A superfast train is running on the railway tracks alongside. The dude steps up the gas to keep pace with the train, even as he sings ‘Mere sapno ki raani kab ayegi tu’ a la Rajesh Khanna in Aradhana. Oh–and there’s this babe inside the train, who can ‘see’, but can’t hear him sing. So, the dude calls her on the phone, and sings to her.

4Ps TAKE: Fiat is now ostensibly looking greedily at tapping the youth segment and is positioning itself as a zesty, new age brand, instead of drawing on its ‘lineage’. Although the USP remains their trusted name in India, the clinching benefits now on offer are ‘hip’-ness and speed. With many contenders in its segment, the brand has decided to change its communication. Does it work? Yes and no. The Aradhana number is well-used, but the train looks morphed! And how did the dude get the girl’s cell number, we wonder...

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Source : IIPM Editorial, 2007

An
IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative

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Wednesday, May 16, 2007

Aviva India

And why not. Bert Paterson came on board Aviva India with a solid two decade long experience in the insurance biz. He’s been actively involved in the actuarial, planning and strategy areas of Aviva since 1986. Also his last tenure as CEO, Aviva Turkey (since October 2002) contributed extensively to his understanding of the Indian insurance market. “In India, insurance penetration stands at 2.5% and in Turkey it was merely 1.2%. Turkish people were oblivious of insurance security systems for long but now are more aware as ‘safety for future’ is catching on. Launching similar initiatives in India seems like a deja-vu,” says Bert, adding that the gift of patience he developed in Turkey, is working wonders in India. “Like in Turkey, there are lots of ‘tomorrows’ in India too,” he winks.

For Complete IIPM Article, Click on IIPM Article

Source : IIPM Editorial, 2007

An
IIPM and Professor Arindam Chaudhuri (Renowned Management Guru and Economist) Initiative