BiziNation # 22: When Politics kills Capitalism

Two years after TATA announced the one lakh car, argubly a revolution of the magnitude of Henry Ford's Model T, the car industry's most binouculared project is yet to lay its foundation stone. After elaborate protests, some violence and lots of confusion, TATA took the painful call of relocating to another state. A week later, all the newspapers carried a picture of Narendra Modi, the chief minister of Gujarat shaking hands with Ratan Tata. This podcast is more about our thoughts on how politics can ruin capitalism. We want to know your take on this one. In another news, HCL is set to acquire Axon, an SAP consulting firm and TCS has bought over the back office arm of Citigroup. 
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Episode Notes

  • Tata Nano finds a new home
  • TCS buys the back office arm of Citigroup
  • HCL wins the bid for acquiring Axon
  • Warren Buffet invests in Goldman Sachs

 

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Comments  

 
0 #1 Adwait 2008-10-23 05:42
As you mentioned in the podcast, I completely agree with Mr.R.K Pachauri, and always will, however \'great\' the nano is, how many ever accolades it earns from the top car manufacturing companies it will not contribute to anything else but pollution and will ultimately choke our roads till the point where you and I will be scared to drive.

The nano may be \'low polluting\' as per the norms, but it will be a matter of months till every other family in India\'s growing cities will be the \'proud owner\' of a tata nano. It maybe a revolution in comparison to the Ford\'s model T, but there weren\'t any other luxury cars at that time. Now you have the upper Indian class who employ drivers.These drivers come to work on scooters/bicycles/motorbikes. The Indian roads are stuffed with two wheelers and autos. That\'s what \'rules\' the roads currently. Now when tata will release its nano, it will form the third category, and together the two wheelers, autos and the nanos will take over the Indian roads.

The nano according to the Tatas is for the middle class, a budget car. Only costing Re. 1 Lac, it is probably the cheapest car in the world. True, this is a landmark, it should go down in history, but what about the side-effects, lets say immediate-effects? Lets look at it from the economic perspective. Already the petrol prices in our country are rising. The nano is going to cause a revolution and will swarm the roads months after its release. The nano is not an electric vehicle ( Unlike the Reva ) and cannot be charged at home using a normal plug point. There are already dedicated lanes at numerous petrol pumps for two and three wheelers vehicles, and now I guess, they\'ll have to make a third one.

The nano as experts say is low on pollution and is well within the norms. That maybe a 100% true statement, no doubt about that, but it only is applicable for one car. No ones thought about the pollution that those thousands and thousands of nanos are going to make when they hit the roads? The current Indian traffic scenario, isn\'t the greatest. Cities like Bengaluru and Pune, are drivers nightmares, and even harmful for pedestrians walking on the footpath! The nano will multiply this problem. I guarantee that at every signal in the countries major cities, if you look outside you window, or if your walking buy you\'ll definitely see a nano, unless your sitting in one ( then maybe you\'ll see your neighbour !) !

Well its a debatable topic, and I\'ve just written my views, but I strongly believe them, and am waiting for the nano to release and see what actually happens.
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0 #2 varya 2008-10-26 18:57
this episode is the first time i have ever listened to this podcast.

the opening and ending music is good :-)

there is style, though substance of the content can surely shored up. the guy is more rational in his arguments.

the girl should also read articles which talk about the opposite view; before coming to conclusions. probably - india today or Economic Times would be a good bet.
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0 #3 Akhilesh Mattoo 2008-11-01 11:38
Hey Guys!!!!

I liked the debate on SEZs and what kind of farmer land can be transferred to the industry. If we do it according to the type of land then states that are highly fertile like West Bengal as it lies on the Gangetic plain will never feature in the list.Or fertile states should concentrate on agricultural produce while less fertile can concentrate on industry. But again will that create income disparities. There is definitely more money in industry than in agriculture today.

AKhilesh Mattoo
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0 #4 Devender Thareja 2008-11-03 15:01
Hi Abhishek/Ritika,

This was an excellent podcast. I feek much more educated in issue and my views on this issue changed after listening this podcast. I agree with Ritika and feel that government is responsible for taking care of people they rule and this land should not have been chosen for this project at first place because it\'s such a fertile land. It\'s a misuse of power on government\'s behalf to force farmers to sale the land to benefit a private company. Tata should go ahead and buy the land directly fro farmers and then apply to government to change a farming land to industrial use land.
On other hand I am totally prowd on what Tata has achieved and I find this argument laughable that Nano car is bad because it\'s very affordable and every home will have a car and it will spoil the envoroenment. Do you want to improve the envronment for some people on the expence of other peoples? It\'s like poor shouldn\'t breath, so that rich people are left with more oxizen to enjoy. This car is a milestone in India\'s engineering capabilities. I live in Canada and there was a real sense of prowd when I heard every radio station covering this story, these are the stations who name India only when a natural disatster strucks are some terrorism act happens. Go Tata go.

Devender.
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0 #5 Abhishek 2008-11-24 03:55
Thanks a lot for your kind words! The next podcast is coming up soon. Give us a few perspectives from Canada which you think we could cover in our episodes.
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0 #6 Kumar 2009-02-09 15:03
Hi Abhishek/Ritika,

Please ask your web-administrator to fix the Download Episode link above ;-)

after a bit search i know it is: http://ia311208.us.archive.org/2/items/22BiziNation/22BiziNation.mp3

Kumar
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0 #7 Aditya 2009-02-09 16:09
Kumar : Thanks a lot for pointing that out. It has been corrected
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