Indian Players Versus Global Corporations

The balance of power in the business world is shifting slowly but strongly. The era of domination by the global corporations is over. They have to fight for every square inch of space with their homegrown rivals. I believe the same story is going to repeat in the Indian retail space.

The global corporations earlier dominated by their capital, talent and expertise. The new financial order entails easy access to capital for everybody. The markets are more transparent and global capital today is chasing the best opportunity everywhere. The talent today is much more mobile and it has discovered that the domestic companies provide enough excitement, faster mobility and more opportunity to add value. The movement of talent also leads to faster dissemination of knowledge and expertise.

Besides these, the local companies have great local relationships and understanding. So today key players in India in retail others can match any corporation in financial muscle power. They would have acquired size, insights and the right business models by the time the foreign entrants start their businesses. The lead time along with the local insighting will be of immeasurable strategic advantage and almost impossible to neutralise. So the Tescos and Carrefours will meet worthy rivals when FDI opens and they come here.

Comments

Ariella said…
Great work.

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