Special Report Looking beyond recession: Strategies for India Inc.
Friday, August 19, 2022
  • Circulation
  • Advertise
  • About Us
  • Contact Us
Organiser
  • ‌
  • Bharat
  • World
  • Editorial
  • Analysis
  • Opinion
  • Defence
  • Sports
  • Business
  • More
    • RSS in News
    • Special Report
    • Culture
    • Sci & Tech
    • Entertainment
    • Education
    • Books
    • Interviews
    • Travel
    • Health
    • Obituary
SUBSCRIBE
No Result
View All Result
Organiser
  • ‌
  • Bharat
  • World
  • Editorial
  • Analysis
  • Opinion
  • Defence
  • Sports
  • Business
  • More
    • RSS in News
    • Special Report
    • Culture
    • Sci & Tech
    • Entertainment
    • Education
    • Books
    • Interviews
    • Travel
    • Health
    • Obituary
No Result
View All Result
Organiser
No Result
View All Result
  • Home
  • Bharat
  • World
  • Editorial
  • Opinion
  • Analysis
  • Culture
  • Defence
  • RSS in News
  • Subscribe
Home General

Special Report Looking beyond recession: Strategies for India Inc.

Archive Manager by WEB DESK
May 10, 2009, 12:00 am IST
in General
Jeay Sindh Freedom Movement chairman Sohail Abro

Jeay Sindh Freedom Movement chairman Sohail Abro

Share on FacebookShare on TwitterTelegramEmail

The adverse effects of the ongoing slowdown have affected all the sectors of the Indian economy. Retail, FMCG, Information technology, Telecommunication, tourism etc, have witnessed terrible times in the recent days. The Oxford Dictionary defines Recession as ?a temporary decline in the economic activity or prosperity.? According to the dictionary of commerce ?Recession is a downturn in the economic activity, one phase of the business cycle. Decreased investment, falling consumption and increased unemployment are characteristics of this phase. Ironically, The NINJA (no income, no job and asset) crisis in the US can be reflected in a few words for the borrowers: ?My interest is not to pay the principle and my principle is not to pay the interest.? According to an ASSOCHAM Eco Pulse Study, India is among the worst affected emerging countries to have lost foreign exchange reserves as much as 3.5 per cent of its GDP due to currency imbalances in last four months triggered by global financial crisis, second only to Russia in BRIC nations. However, the Indian companies are not loosing their way. The re-evaluation and efficient implementation of strategies is helping the companies to sustain themselves. The following are some of the strategies which can aid in the tough times of recession:-

Cost management ? Most of the companies are undertaking measures to manage their costs. Unfortunately, most of the times these cost cutting measures leads to termination of employees and salary deductions which may ultimately lead to an inefficiency in operations. According to a recent report released by the labour bureau ?The effect of economic slowdown on Employment in India?, 5,89,020 people have been terminated from their jobs from October 2008 to January 2009.

The measures of cost cutting should be in a way that does not hamper the company'simage and at the same time leads to efficiency in the operations. Vishal megamart, a value retailer, has undertaken cost cutting measures which is helping the company to reduce its cost as well as to maintain efficiency. Vishal has already closed some of its larger warehouses and has opened a new centralised warehouse in Gurgaon. Future group, on the other hand, has clubbed its back office operations to reduce its cost. Managing the cost should be done in a way that does not affect the brand name of the company as well as contributes towards the efficiency in its operations.

Download Organiser App

Standout and innovate ? In the turbulent times of recession, the need of the hour is to do something that excites the customer and makes them think that the company cares for them. This can be done by standing out of the crowd and innovating. Mahindra Retail has come up with an innovative concept ?Mom and Me? which is targeting at the expecting women and their newly born babies. Similarly, Big Bazaar coming up with sabse saste 3 din reflects that the company cares for the customer and provides value for money to the customers.

Interpreting consumer behaviour? The companies should spent more in consumer research and should interpret what the customer wants. According to a KPMG survey attracting the customer and investing in the consumer research should be on the priority of the companies. This is a customer centric era and not a producer centric era. The companies should shift to value from lifestyle. The companies should offer more discounts, lower prices and should provide value added service to sustain in these times.

Rural gold mines ? The big giants like Reliance, ITC, HUL, Tata etc., have already realised that the there are gold mines in the rural areas which are yet to be tapped. The companies should look beyond the metropolitans and concentrate on these areas as well so as to generate more revenues and to have a sustainable competitive advantage.

The road ahead
Most arguably, India has witnessed the toughest time in the past few months. The impact of the slowdown has shattered the dreams of the ?Rise India? story. Most of the big giants have seen a sharp decline in their revenues and have faced complexity in attracting the customers. But as it is well said by Jon English ?You can lay down and die, or you can get up and fight, but that'sit ? there'sno turning back.? The India Inc. has taken the necessary initiatives to curb the effect of recession. They have restructured their strategies and are looking forward to retrieve their revenues and business. The series of actions taken by the India Inc. has shown an encouraging trend but when would the India Inc. come out of this chaotic phase is a question which most probably nobody can answer.

(The writer can be contacted at Faculty?Retail Management, Rai Business School, Espire Campus, A-41, MCIE, Mathura Road, New Delhi.)

Month-wise estimated job loss

ShareTweetSendShareSend
Previous News

VHP protest the film Challange Nibi Na Sala

Next News

Book Reviews Comments by cartoons

Related News

Peshwa Bajirao-I: The Protector of Dharma

Peshwa Bajirao-I: The Protector of Dharma

Protests continue to flare up in various cities and towns of PoJK against 15th Amendment

Protests continue to flare up in various cities and towns of PoJK against 15th Amendment

Assam to send 1,000 youth to visit Cellular Jail in Andaman & Nicobar Islands to draw inspiration from freedom fighters

Assam to send 1,000 youth to visit Cellular Jail in Andaman & Nicobar Islands to draw inspiration from freedom fighters

Maharashtra: Abandoned boat with arms, ammunition recovered from Harihareshwar Beach ahead of Janmashtami celebrations

Maharashtra: Abandoned boat with arms, ammunition recovered from Harihareshwar Beach ahead of Janmashtami celebrations

TN govt. school headmistress refuses to hoist national flag citing religious reasons

TN govt. school headmistress refuses to hoist national flag citing religious reasons

GIFT city – a pet project of PM Modi is all set to shape global financial trends

GIFT city – a pet project of PM Modi is all set to shape global financial trends

Comments

The comments posted here/below/in the given space are not on behalf of Organiser. The person posting the comment will be in sole ownership of its responsibility. According to the central government's IT rules, obscene or offensive statement made against a person, religion, community or nation is a punishable offense, and legal action would be taken against people who indulge in such activities.

Latest News

Peshwa Bajirao-I: The Protector of Dharma

Peshwa Bajirao-I: The Protector of Dharma

Protests continue to flare up in various cities and towns of PoJK against 15th Amendment

Protests continue to flare up in various cities and towns of PoJK against 15th Amendment

Assam to send 1,000 youth to visit Cellular Jail in Andaman & Nicobar Islands to draw inspiration from freedom fighters

Assam to send 1,000 youth to visit Cellular Jail in Andaman & Nicobar Islands to draw inspiration from freedom fighters

Maharashtra: Abandoned boat with arms, ammunition recovered from Harihareshwar Beach ahead of Janmashtami celebrations

Maharashtra: Abandoned boat with arms, ammunition recovered from Harihareshwar Beach ahead of Janmashtami celebrations

TN govt. school headmistress refuses to hoist national flag citing religious reasons

TN govt. school headmistress refuses to hoist national flag citing religious reasons

GIFT city – a pet project of PM Modi is all set to shape global financial trends

GIFT city – a pet project of PM Modi is all set to shape global financial trends

The Untold Story of Clandestine Radio

The Untold Story of Clandestine Radio

Hindi Cinema’s Tryst with Swaraj

Hindi Cinema’s Tryst with Swaraj

Rajasthan: Mob lynches vegetable vendor Chiranji Saini to death; Vikram Khan, Asad, Syabu, Taleem and others arrested

Rajasthan: Mob lynches vegetable vendor Chiranji Saini to death; Vikram Khan, Asad, Syabu, Taleem and others arrested

Understanding how Bharatiyas Can Contribute in Nation Building

Understanding how Bharatiyas Can Contribute in Nation Building

  • Privacy
  • Terms
  • Cookie Policy
  • Refund and Cancellation
  • Delivery and Shipping Policy

© Bharat Prakashan (Delhi) Limited.
Tech-enabled by Ananthapuri Technologies

No Result
View All Result
  • Home
  • Bharat
  • World
  • Editorial
  • Analysis
  • Opinion
  • Defence
  • Culture
  • Sports
  • Business
  • RSS in News
  • Special Report
  • Sci & Tech
  • Entertainment
  • Education
  • Books
  • Interviews
  • Travel
  • Health
  • Obituary
  • Subscribe
  • Advertise
  • Circulation
  • About Us
  • Contact Us
  • Privacy Policy
  • Cookie Policy
  • Terms of Use
  • Refund and Cancellation

© Bharat Prakashan (Delhi) Limited.
Tech-enabled by Ananthapuri Technologies