China's success in India's sacred space

Discussion in 'China' started by Yijiuliuer, Nov 21, 2012.

  1. Yijiuliuer

    Yijiuliuer Tihar Jail Banned

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    Kevin Rafferty
    Wednesday, 21 November, 2012, 12:00am
    [​IMG]

    Indians right across the vast subcontinent and, indeed worldwide, last week celebrated Diwali, the festival of lights, Hinduism's biggest festival, with fervour, a blaze of lights and thunderous blasts of firecrackers.

    But, perhaps unknown to most devotees of Lakshmi, goddess of wealth, and Ganesh, the elephant god revered as the remover of obstacles, this year had a special Chinese flavour.

    That is because many of the fairy lights, sparklers, firecrackers and even images of the idols themselves were made in China.

    China's participation in Diwali through its exports signals a triumph for international trade, particularly when Sino-Indian political relations are strained.

    But Chinese success also points to corresponding Indian failure. It is not a simple matter that Chinese ingenuity and trading skills penetrated the sacred sphere in India, but also that Indian craftsmen, industrialists and traders had business snatched from their own backyard.

    India's Prime Minister Manmohan Singh, up and coming leader Rahul Gandhi and planning chief Montek Singh Ahluwalia need to put their heads together and urgently look at India's economic shortcomings and to go beyond the conventional economic categories in trying to find remedies.

    Visitors to Chandni Chowk, the main thoroughfare of Old Delhi - and five centuries ago regarded as the richest street in the world- as well as to other major shopping areas in New Delhi, could easily see that Chinese lights and fireworks had conquered. The Associated Chambers of Commerce and Industry of India even dubbed this as Chinese Diwali, estimating that Chinese sales had leapt by 45 per cent from last year.

    But there were wider business lessons to be learned here.

    Indian shopkeepers praised the Chinese exporters for their competitiveness on price. A string of 100 lights made in China was selling for between 40 rupees (HK$5) and 60 rupees, whereas the Indian version cost about 100 rupees. The Chinese also scored on innovation, casting the lights in shapes from fruit to stars.

    What was more surprising was that Chinese manufacturers have also managed to penetrate the market for the production of the images of the gods.

    Traditionally, these were made of clay by thousands of Indian craftsmen. But increasingly clay is being replaced by plastic and rubber icons, which have the advantage of being unbreakable.

    China also produced Lakshmi lampshades, which can be used as lights and as images of the goddess.

    Ganesh has always been recreated in a folksy way, including in a cricket-playing reincarnation, but this year careful devotees would have seen images of Lakshmi not only loaded with bling but with an inscrutable oriental face.

    This is not just a quirky story about an Indian festival.

    There are important economic and social issues at stake, along with the important question of India's battle to pull itself out of poverty and to emulate China as a potential economic superpower.

    In terms of the more than damned lies called statistics, India is already winning and is chasing China hard. The OECD, the club of rich industrialised nations, recently pointed out that in terms of purchasing power parity, India has already overtaken Japan to become the third biggest economy in the world.

    Such national and global aggregations, however, fail to measure the immense gaps between and within countries.

    Per capita income in Japan, now displaced to the world's fourth-biggest economy, is about US$35,000 or 24th in the world in per capita terms; that of India is a mere US$3,600, languishing in 125th place.

    The Indian figures mask the immense chasm between the rich and the poor. The same issue of the Hindustan Times newspaper that highlighted the Chinese success at Diwali also had a society page celebrating film stars attending a premiere, with many of the women wearing designer saris and weighed down with glittering jewellery.

    The same society page also recorded Bollywood superstar Amitabh Bachchan giving a Diwali present of a new red BMW Mini Cooper S car, worth 2.4 million rupees or almost US$45,000 to his granddaughter Aaradhya. Aaradhya is just a year old.

    Superficially, India and China share much in common, not least the appalling choking pollution, the glittering shopping malls and growing gaps between rich and poor. But India lags in myriad ways great and small. Growth has slowed significantly and was only 6.5 per cent in the fiscal year to March.

    Becoming a slumdog millionaire is a chance in more than a million.
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  3. Yijiuliuer

    Yijiuliuer Tihar Jail Banned

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  4. cir

    cir Senior Member Senior Member

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    Indians are so fond of GDP measured in PPP。

    The last 10 paragraphs of the article paint a rosy yet false picture of India's standing in relation to its major competitors,developed or emerging。
     
  5. drkrn

    drkrn Senior Member Senior Member

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    Indian shopkeepers praised the Chinese exporters for their competitiveness on price. A string of 100 lights made in China was selling for between 40 rupees (HK$5) and 60 rupees, whereas the Indian version cost about 100 rupees. The Chinese also scored on innovation, casting the lights in shapes from fruit to stars.

    the only advantage of china goods is their cost-they are fu**ing cheap

    innovation,:shocked: you know what we call sub-standard goods in india(made anywhere) CHINA MAAL
     
  6. sayareakd

    sayareakd Moderator Moderator

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    one whihc cost 40 Rs, will not last on next Diwali, but made in India will last for next 5 Diwalis. Even shop wala dont guarantee Chini products, one it left shop you are on your own.
     
    lcatejas likes this.
  7. Energon

    Energon DFI stars Stars and Ambassadors

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    This is a classical example of divergent economic models where one succeeds and the other one fails.

    Indians always harp about the substandard quality of Chinese products but fail to see the bigger picture. The Chinese have maximized their comparative advantage when it comes to manufacturing of cheap goods by investing heavily in infrastructure and mechanization. Chinese factories with their combination of vast labor and automation can efficiently produce large quantities of goods that are then rapidly transported by rail, road and ship all the way to their consumers around the world.

    Indian craftsmen on the other hand are still operating in the 14th century. There has been virtually no advancement in automation or organization. Workers in small shops tucked away in small streets working with their hands cannot compete against organized factories, even if they pacify themselves with the banner of "tradition". What's even funnier is that union workers reject automation and organization out of the fear of job losses and moronic politicians play into these demands for the sake of populism. This is the classic creative destruction phenomenon where technology is rejected due to fear which actually results in lower productivity and higher unemployment. The inability to face creative destruction is why the industrial revolution occurred in England and not France or Spain. There's a new industrial revolution going on in China and India is missing out just like the French.
     
    Spindrift and W.G.Ewald like this.

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