Why India fails in innovation? Anand Mahindra & Chanda Kochhar speak Mr Anand Mahindra of M & M and Ms Chanda Kochhar of ICICI Bank talk and introspect as to why India fails in innovating. They talk about our education system, less investment in R & D, the socialistic mindset, inability to celebrate failures and so on. They also harp upon the fact that competition has made them more innovative. In fact M & M has reached the IIT's to help them innovate as Mr Anand says.
After the opening up of our automobile industry firstly in 1983, (allowing a few newer entrants like Vespa, Suzuki, Peugeot -the Sportif , Honda, Yamaha, Kawasaki into partnership with our companies and the Joint Ventures, using Indo- Jap or Indo-Italian names and so on) the scene shook up.
Then in 1994,we had more players ( Ford, Opel, Daewoo and more) with the exclusive use of foreign brand names, but the foreign equity participation being limited and capped, with the Indian Joint Venture partners.
Lastly in 1999, it was with the infusion of full 100% equity by foreign players, that our automobile landscape witnessed a total metamorphosis from being dull and stagnant since the 1950's to becoming synergetic and dynamic during the recent decades.
Companies which were used to the sellers market like Automobile Products of India, Standard Motors, Scooters India Ltd, Premier Automobiles with some more and lastly Hindustan Motors have perished.
Our companies like Tata Motors (despite its lack of car sales lately) and Mahindra and Mahindra have done us proud by trying to remain competent with foreign players with their fighting spirit, developing competent products.
The points discussed by the two renowned honchos are quite relevant today and provide an insight into their thinking from the top level : http://www.rediff.com/business/slide...n/20140820.htm
Last edited by Rehaan : 21st August 2014 at 16:25.
Reason: As requested :)
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