Obama of India

The Obama fever has swept the Indian media as well. Whole talk shows were dedicated to the debate on the topic ... Will India have an Obama-esque leader in the near future?

Let me first set forward the criteria that I think defines Obama-esque:

1. Not from a family that constitutes the national elite. (Obama was hardly a household name)
   
2. Highly educated. (Obama is from the Harvard Law school)
   
3. Young. (Obama is 47)
   

So, will we have such a leader in India - NO! Not in the foreseeable future. The reasons are manifold.

Firstly, in India, it takes many decades of being active in politics before a candidate is recognized as a leader at a national level. This is even more true when it comes to prime ministerial hopefuls. I could not find the average age of the Prime Ministers of India - but I am pretty sure it will be in the late 60s. the average age of the current cabinet ministers is 60. In India, it is inconceivable to even think that a candidate can rise through the ranks nearly as quickly as Obama has in the United States.

Secondly, there is a lot less glory in being actively involved in politics in India compared to USA. The term "politics" itself is used in everyday conversation to denote negative tactics that people sometimes use to rise to the top. As a result, those among the highly educated lot who are inclined towards servicing people prefer to achieve that motive through charitable organizations or private sector rather than jump into the realm of politics.

The message is not all negative. There are many areas in which America should aspire to be more like India. We may not be able to answer the question "Where is Obama of India?", but more barriers have been overcome in the 61 years of Indian independence than 230+ years that America has been independent. We have had a female head of state and heads of states from 3 different religions. To this day, we have not seen an American president who was not a male christian. Obama has broken the race barrier but it has taken 230 years.

Something interesting to ponder over - Would Obama win the Indian parliamentary elections if he were to contest? - Lets say for the upcoming Indian elections, we have an candidate who is under 5o years of age, armed with a message of hope, having the best education, short but sound legislation history, no political pedigree and has been in the parliament for only 4 years - would we even consider that candidate for the highest office in the country? Would he stand a chance against Gandhis and Advanis of India? I think we would tell him - "We like you, but wait for another 20 years and we might consider you. We are too busy electing 80 year olds to lead a country where more than half the population is under 25."

How to Travel in India

If you are going to be traveling in India, the following piece of advice should your trip more memorable:

1. Research your destination: It is stunning how many people embark on journeys without proper knowledge of their destination. Before you even start planning your trip, do your research. Google is your friend. Read up on trip reports from people who have been there and enjoyed their trips. Make a list of places you want to visit that are around your destination. Read up on the best mode of transportation. Make a list of hotels that serve great food. Look up your destination on IndiaMike forums - an amazing source of information and advice. Wikitravel is another place with good info. Make sure you have the contact information of a local tour operator just in case things don't go according to plan on your vacation. It is good to have a backup plan.
2. Picture your destination: Websites like flickr, picasa and google image search give you a chance to see your destination before you get there. Look up pictures of various places that you want to visit and it should add to your motivation. A fun little activity is to download some images that you like and make sure you take the exact same shot on your vacation.
   
3. Decide on Accomodation: Almost every place in India has hotels to suit any budget. With the expansion of the internet, there are more and more websites emerging with reviews of hotels. Use them. Raahi.com is a decent source. Pay special attention to the hotels that mix hospitality with the local traditions and culture. A stay at these places will add to the fun and memories.
   
4. Set an itinerary: Make a plan of which places you want to visit on which days. Just performing this activity is more important than the result because it will require you do some research on the relative distances between places and feasibility of your itinerary. It will be of great help if things don't go according to plan on your trip. It will prepare you to take better decisions on your trip.
5. Find great company: Who you are traveling with can make or break your vacation. Ensure you are traveling with someone whose company you find enjoyable.
6. Have fun: If you have followed steps 1-5, there is very little chance that things will go wrong. Even if they do, you have put yourself in a position to make the best of it. Now it is time for you to relax and enjoy your trip. Do not worry if you happen to deviate from the itinerary. Trust your instincts and may you have your best vacation ever.
   

Apple's India Strategy Sucks!

As I watch the news of the new iphone launch around the world, I cant help but balk at the indifference that I see in Apple's attitude towards the Indian market.

Here is whats happening:

• Most Indian consumers have never had the chance to see the iphone.
• iphone will be released later this year in India.
• Whatever little marketing is being done, is done by the carriers (Airtel and Vodafone). Apple is surprisingly absent in the marketing campaign.

The launch of iphone presents Apple with a magnificent opportunity to begin with a bang. None of the other Apple products (ipod, macs etc etc) have the potential that the iphone does. India has close to 200 million cell phone users today and this number will keep growing by leaps and bounds for the foreseeable future.

Why Apple should re-think their India strategy:

• Numbers!! - 200 million users and growing

• Indian Spending Habits - Indians (especially the middle class) are surprisingly extravagant at spending for cell phones. For example, it is not uncommon to see people spend $$ equal to one month's salary on their cell phone as it is a status symbol. That is unheard of in the US. Assuming iphone would be priced at $300 in India, and looking at the number of people who earn that amount in a month, the potential customer base is huge.

• Brand Establishment - The Indian consumer is surprisingly brand conscious. Apple is lesser known in comparison to Sony, HP, Phillips etc. iPhone can establish the Apple brand in India which will help Apple sell more of its other products.

• Future! - Apple will be have a bigger customer base and it bodes well for the future of the company to have an established base in India.
• More iPhone Apps - The more number of users there are, the more Apps you are going to see written for the iPhone. With an intelligent strategy, Apple can mint money with the apps written for the iphone by the Indian programmers. It is a win-win situation.

Oil Pricing in India

The Govt. of India increased the price of gasoline and diesel by 10%. This was met with protests across the country that hampered the normal life. The Government controls the price of oil in India as a means to control the inflation in the economy (which currently stands close to 8%).

The Govt. was losing close to Rs.20,000 crores ($50 bil) due to the subsidy in gas prices. The increase of 10% will help cut the loss by Rs.4,000 crores ($10 bil). When the price of gas is set to a certain amount and the global price of oil increases, the subsidy amount rises with it. Hence, the loss incurred by the Govt. fluctuates with the changes in global gas price.

I propose that the Govt. should decide how much it wants to spend in subsidizing oil in a year and stick to that amount. This amount can be adjusted for inflation in a timely manner. Transfer any changes in the global oil prices to the consumers instead of absorbing them. For example, if the Govt. decides to allocate Rs. 15k crores ($40 bil) towards subsidy and the global oil price rises, do not alter this subsidy amount and transfer the hike to the consumers. Do the same when the prices dip. Let this pricing be handled by the oil companies with minimum intervention from the Government at any level. There should be oversight to ensure that the interests of the people are protected, but the intervention should be limited to a minimum. What is the big deal in letting prices fluctuate daily?

I see many advantages in taking up this approach. Firstly, the incentive/ punishment is shifted more closely to where it belongs. After all, it is the consumption by the people that is causing this fluctuation in global price of oil and with this change, they will be the first ones to experience the result of their own habits. It will increase awareness about the global supply of oil in Indian consumers, which I find is sorely lacking. It will reduce the "Bandhs" that are called upon whenever the Govt. increases the oil prices. I could not find the total economic cost of these bandhs, but I would estimate it to be quite high. This approach will curb the losses of the Government and also keep the National deficit in check.

There are some drawbacks to this approach. The Govt. will lose a significant weapon that it uses to control inflation in the economy - price of oil. However, I am convinced that the benefits outweigh the costs.