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Development: Meaning, Measurement and Strategies - Part Five of ten

Trend of HIV Infection in Patients with Tuberculosis in Rural India

Indian Tourism : Potential Unexplored

Universal Print Systems Wins Grand Prix Cyrel 2000 Award

P&G Launches Tissue Handkerchief

IndonetGlobal.com places Rs 4.59 crore Equity with Bank of Madura

Tamil Portal www.webulagam.com Launched

Latest Whisper in Chennai : P&G Launches ‘Tampax’

Winds of Deregulation in the US

The Great Depression of 1930s led the US to embark on the New Deal - a far reaching program of experimentation and expansion of government authority over the economy. Though the Tennesse Valley Authority was a great experiment in public ownership, but for the most part, government would seek to control the key parts of the economy not through ownership but through a distinctly American approach of economic regulation.  Thus this contrasted with the Europe and other developing world.  But still government had significant influence over the market.  In the American context of the 1930s the regulatory idea became the solution to the problems of the marketplace.  This idea would maintain its grip for decades until new economic disruptions and a growing intellectual critique undermined the consensus.  By 1960s, the real scrutiny of regulatory system began.  By then it was entrenched, inefficient, and overloaded with cases that it moved through with none of the vigor envisioned by its New Deal framers.  Absence of an overall regulatory policy and the deterioration of the quality of regulatory personnel made delay the hallmark of federal regulation.  Despite this, the Nixon administration carried out a great expansion of regulation into new areas, launching affirmative action and establishing Environmental Protection Agency, the Occupational Safety and Health Administration and the Equal Employment Opportunity Commission.

The 1970s in the US were overall characterized by chronically poor economic performance with inflation reaching the highest level since the end of the World War I and unemployment stood at 9.2 percent.  Many attributed these problems to the increases in state activity.  In those two decades government spending, government taxes, government deficits, government regulation and government expansion of the money supply increased rapidly.  All this brought to the fore the consequences of the system of regulatory capitalism.  The system seemed to have bogged down. It was too rigid, too slow, too distorting.  It hobbled technological and commercial innovation and most importantly by replacing the decisions of the market with its own decisions, it denied the market the salutary effects of competition.  It froze relationships, shored up cost levels and institutionalized inflation.  Conditions warranted a change, and America was ready to go in a new direction.  The specter of market failure had shaped four decades of government economic policies.  But the message of the 1970s was that government could fail, too.

Third Worldism

Most of the countries in third world faced a gigantic task of turning a colony into a nation.  Mixed economy as a strategy of development had been the main plank of economic policy in these countries.

The policy makers in India thought that competition was bad and generally showed contempt for the price mechanism.  Instead they believed that central planning, strong state control, and government knowledge would do a better job of allocating investment and determining output than would many millions of individual decision-makers.  Bureaucratic dictates were better than the give-and-take of prices in the marketplace.  Very often, the focus was on investment itself rather than on the productivity of the investment and the quality and value of what was produced.  The expansion of the public sector was carried out with great enthusiasm in India.  The state would control some sectors exclusively, in others, the then existing private enterprise was allowed to survive, but the state would take charge of all new undertakings.  Hosts of new public companies were created which ranged from power utilities to chemical plants to automobile assemblies, even hotel chains along with state-owned banks.  These various companies would be national champions, the economic embodiment of India's independence and would demonstrate India's skills and capabilities to the nation and the outside world and they would help the new nation together.

The changes were also most striking in Africa.  Almost everywhere, the government retained ultimate responsibility for currency, defense and foreign affairs.  As momentum gathered, local governments expanded their scope of responsibility.  The pessimism about markets is greater in Africa than elsewhere.  Lack of regard for local education, health or infrastructure under colonization tainted capitalism with racism and contempt.  It seemed, people were not in a position to participate in the market.  The new scheme of African socialism, according to the African leaders, would somehow combine modern growth and traditional values.  One of the main tools of control adopted by the African countries in general and Ghana in particular was the marketing boards, which were responsible for buying crops from farmers and reselling them for export.  In Ghana, the Cocoa Marketing Board grew in size, staffing, and power.  It was joined in short order by marketing boards for timber and diamonds, and a host of other state organizations aimed not only at exports but also at regulating local trade in foodstuffs, fish, and household goods.  The pervasive involvement of the state in almost every aspect of investment and commerce made Ghana a paragon of development economics.  With the influence of Soviet Union, Ghana had also adopted a rigid seven-year plan.  State-owned companies and public authorities mushroomed in all fields as also the mismanagement and graft.  The price was most painfully felt in the countryside as state used cocoa revenues controlled by the cocoa marketing board, to cover the growing losses of public companies.  The imposition of unrealistically low cocoa prices combined with bloated organization of marketing board, devastated the industry.  Many farmers switched crops and Ghana lost its mantle as the world's largest cocoa producer.  Its currency reserves depleted, it fell back on barter trade and loans from the Soviet Block.

The problem of national control was most acute for the great many countries that depended for survival on exports of primary products, whether agricultural or mineral.  The choice seemed to be whether foreign multinationals would capture all the rents from these products or whether a national firm could step in.  If multinationals found it cheaper to export raw materials than to invest in a processing plant, what hope was there that the producer countries would ever turn their plantations to modern agro-industry?  It was perceived that multinationals brought economic distortion, not growth in economy.  This belief led to expulsion of multinationals from many countries.  In India IBM and Coca-Cola which refused to share their technology with local companies were asked to pack their belongings and leave the country.

At the end, in many of the countries of Latin America, Africa and South Asia, ordinary people were not getting better-off.  Unable to profit from the pervasive reach of the state sector, they suffered from shortages, decaying infrastructure, bureaucratic harassment, petty corruption, and the continual postponement of promised investments.  State-led development was falling short of its promise.  Corruption and waste from dubious investments were all too common.

[To be continued]  

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Background

HIV  and Tuberculosis is on the rise in certain urban pockets  of India.  In a first ever study, the trend of HIV  infection  among  tuberculosis  patients was assessed at Tanjavur, predominantly  a rural place in south India.

Methodology

HIV  seropostivity was assessed during 1996 among  510  confirmed tuberculosis patients attending Govt. Raja  Mirasudar  Hospital, Tanjavur,  The  findings  of  this sentinel surveillance   was compared  to  the  1999  survey  conducted  among  405 confirmed tuberculosis   patients.   Agriculturists   &   Farm   laboureres constituted 65/of study population.

Results

HIV  seropositively was 0.59% among 510 tuberculosis patients  in 1996  and the rate was found to increase alarmingly to an  extent  of  8.9%  among  405  tuberculosis patients surveyed  in  1999.  Disseminated tuberculosis and atypical radiological patterns were also observed in 1999 survey.

Conclusions

HIV  Infection is making strong inroads in the agriculture  belts of  south India, hitherto considered as low prevalence zones.  The study  also revealed that a sizable proportion of patients  with HIV and tuberculosis is in the late phase of immunosuppression.

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India has vast potential for tourism industry, thanks to her geographical diversity. It is estimated that India can attract 100 million tourists per annum. However, this potential is not prudently and efficiently explored by India, though Indian Government is at present running a campaign titled “Explore India Millennium Year”. India has to inform the world more about the nation.

On the face of it, Explore India campaign seems fine. However, this is not adequately supported by a focused strategy. Take for instance the poor road, rail and air facilities in the country; and poor environment around our monuments. Thus, it is prudent to retain the existing customers and satisfy them rather than creating new products and customers. A marketing effort to market India as a tourist destination will yield fruitful results only if the infrastructure is in proper place. Thus, the present efforts by India looks like an effort of a salesman rather than a professional marketing expert.

Tourism in India has to be viewed from two angles. One from the point of view of overseas tourists. Only these tourists bring foreign exchange to India, at a macro level. Next,  considering the nature of India, even  travelers within India has to be encouraged, since this helps to gain national integration and more employment opportunities at rural levels. For promoting both national and international travelers, there has to be a high level of co-ordination between centre as well as state tourism departments. They can jointly promote tourism. Gujarat Tourism Department is in the right direction by which it has already tied up with Tamil Nadu, Jammu and Kashmir and Kerala.

Information flow also plays a vital role in tourism development, especially with international tourists. The general image of India itself is like ‘I thought they were mostly poor people and had no idea that there were so many interesting things to see’, according to Sir Edmund Hillary, New Zealand High Commissioner for Delhi in the eighties. Apart from creating a free flow of information on India and its image,  it calls for a web-linked strategy. There are many Indian tourism web sites on the web. However, there can be found no complete Indian portal on tourism. The Cental Government can have an integrated tourism effort based on the web, since leisure is pre-planned in overseas. And an integrated web strategy is a must to attract foreigners. A foreigner should be able to plan his complete tour schedule through web inclusive of his accommodation to payments. Just releasing press advertisements alone will not yield results, since press advertisements have very little life compared to netvertising.

Further, India has over 20 world heritage spots and none can be found in UNESCO’s ‘world heritage city’ list. Even smaller countries such as Sri Lanka and Nepal find a place in this list. Africa has 15 world heritage cities compared to India and against India’s tally of zero. India, Indian Government or it’s tourism department made no effort at all over the years to have even one of them declared a ‘world heritage city’ by UNESCO. Thus, this is a clear vindication of the fact that India lacks an integrated communication-cum-strategy with respect to tourism industry.

The Millennium Gala may be a great opportunity which India can exploit, if India can prudently draw and execute an integrated strategy involving state governments, infrastructure, private players and internet. The government should take the responsibility at a macro level and leave the micro promotions to the private and state players, since there is a huge potential at each pockets of India. Most of the Indian states have realised tourism potential and they are executing their own campaigns. However, at the moment we find Indian efforts with respect to tourism are adhoc without any focus compared to other countries.  

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Chennai-based Universal Print Systems ltd. (UPSL) has won the first place in the category of Label line work in the recently held Grand Prix Cyrel Asia 2000 awards in Kuala Lumpur, Malaysia. This competition in its inaugural year is conducted by DUPONT CYREL, Malaysia and is instituted for awarding the best label printed in Asia.

The first winner of this award for label line work from Asia is Universal Print Systems for their King Fisher Premium Lager Labels. This award is a feather in UPSL’s cap as it comes in the inaugural year itself notching up a notable win amongst 270 other entries received from all over Asia.

This unique label for United Breweries for their King Fisher Premium Lager brand was printed on a high speed 8 colour narrow web Mark Andy Flexo Press with online UV, punching, knurling and die-cutting in a single pass. UPSL was awarded for the technical finesse in printing, reproduction and overall print quality.

This award once again reiterates UPSL’s commitment to quality in label making not only in India, but throughout Asia and the World thereafter. Reinforced by its growing client base comprising of big companies like SPIC Henkel, CavinKare, Supreme Industries, Lucas TVS, Kiwi TTK, Cibavision, Ford India, Konica, Nutrine and others.

Encouraged by this success, UPSL is gearing up to enter into internet related business for which necessary infrastructure is being developed. The company is also planning for joint ventures in this regard.

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Procter & Gamble Home Products has launched ‘Tempo’ tissue handkerchief in a learning market in New Delhi. A leader in the tissues market globally, Tempo is a multi-purpose tissue handkerchief and is the only product with “4/ply sheets”, making it the strongest and most absorbent product available in the Indian market. The key product benefit lies in it’s ‘wet strength’ as it does not disintegrate on contact with water and unlike regular tissues, does not tear when used to wipe away moisture. Tempo can be used for a variety of tasks from wiping sweat and grime, to being used during a cold. it is especially useful for make up removal as it is extremely soft on the skin.

Tempo meets diverse consumer needs, from those of the Indian housewife, college students, school children to those of the corporate executive. Tempo’s high absorbency, along with the convenience of being a disposable product, makes it highly suitable for daily use. It offers a variety of uses such as draining oil from fried food, addressing emergency spills, cleaning glass surfaces, or wiping dishes dry. Tempo makes for a hygienic product as its 4/ply strength prevents disintegration when used for a cold, thus avoiding spreading of germs.

Comments Mr Shailesh J, Marketing Director, “With the launch of Tempo, the consumer can now avail of a quality tissue handkerchief that is durable, convenient and can be used for a multiple tasks. tempo saves consumers the unpleasant task of carrying and bringing back dirty and soggy handkerchiefs.”

Attractively packed and affordably priced, Tempo is available in a handy pack at Rs 5.  It is available in two variants - Menthol and Neutral. The Menthol variant especially provides a soothing effect when used during a cold or for regular facial use.
 

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Chennai-based IndinetGlobal.com (ING) promoted by the Subuthi Group with wide ranging interests in wind energy, corporate finance etc., has placed an equity of Rs 4.59 crore with Bank of Madura. This placement of equity is to further strengthen its plans and consolidate its foray into the IT sector specifically into the internet arena with a slew of Informative and e-com oriented portals.

Having a strategic partner and an associate company in California, USA - Subuthi Overseas Inc. (SOI) - ING is in the business of software development, e-com, web related activities including B2B and B2C, development of Indonet Centres and other IT enabled services. SOI has recently been valued at US $ 8.4 million by Ernst & Young.

Continuing its quest for excellent and path breaking services in the e-com and internet world, ING is scheduled to come out with an IPO sometime in the month of May-June this year.

ING also acts as an offshore software development facility for SOI, servicing Fortune 500 and other prestigious clients like IBM, Merrill Lynch, Oracle, Visa International, Bank of America, Charles Schwab, Ernst & Young, Adelphia Communication, etc. Whilst in India, ING is set to offer informative portals that would be trend setters in its area of operation and also provide B2B and B2C services to large customer base. Soon to be established, its Indonet centres are a precursor to the above. Centres where a customer will have all modern communication facilities, online education, web designing, browsing and other related activities.

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Webulagam.com was launched on the Tamil new year day on 13th of April, 2000. The site was launched by the world’s first Hindi portal Webduniya.com.

Hemant C, COO says, “Indian languages have a rich history and tradition. webulagam.com is a reflection of the above sentiment. Our endeavor is to take advantage of the explosion of internet opportunities and technology to provide Tamil surfers with what the rest of the world has been gradually getting used to. We have assembled a vastly experienced team led by Sudhangan - the well known journalist.”

Webulagam.com is a pure Tamil portal providing news, information on culture and entertainment, and which also enables unhindered and instant global contact and communication in Tamil and English which makes this portal fully interactive. Webulagam offers a depth of content with a rich blend of tradition and modernity with a distinctive Tamil flavour that will take the internet to millions of Tamils living in India and many more spread across the globe.

Webulagam has a host of content channels : News, Sports, Business, Literature, Religion, Cinema, Humour, Discussion, Caricature and Infortainment.  The portal also provides
e-mail, chat and e-greeting services. Further, the site offers astrology and weather predictions, health and recipe information, apart from a section on children.

Click here to visit www.webulagam.com

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Procter & Gamble hygiene & Health Care has launched for the first time in Asean-Australia-Asia region, Tampax, a quality Tampon for the Indian woman, in the markets of Chennai and Madurai in Tamil Nadu, India. The feminine brand is being launched in four variants - regular, Super, Super Plus and Multi-Pack.

Tampax has been rated as one of the 100 greatest product innovations of the century as reported by Time Magazine. Accepted by millions of women globally, and sold in more than 120 countries, Tampax consists of an absorbent pad, a non-woven overwrap made of cotton/rayon blend or rayon fibres’ and a removal cord which is coated with an anti-wetting agent. The size of the absorbent pad is dependent on the tampon absorbency and the removal cord helps remove the tampon easily and conveniently. the applicator helps to insert the tampon in the right place smoothly and provides better hygiene.

Tampax provides the Indian woman with a level of physical and psychological benefits during the menstrual cycle hitherto unknown to the Indian woman. When inserted in to the body, Tampax absorbs menses at the source and prevents leakage thereby giving the user ultimate protection. Since the product works from within, there is much less chance of menstruation odor. The strong absorbency of the product leaves the user feeling clean about her body. Also, there is no incidence of bunching and shifting like in the case of cloth or ordinary pads as Tampax fits perfectly inside the body. Tampax allows the woman freedom to pursue normal everyday activities during her period just like she does on other days. It also offers the user a feeling of wearing almost nothing at all and hence almost makes her forget her periods.

Mr Vijay S, Marketing director says, “Tampax is yet another milestone in our endeavor to improve the lives of Indian women. The consumer can now avail of a product that offers a greater sense of freedom, hygiene, comfort and convenience. With the introduction of Tampax, we are making available to the Indian women the same excellent choices of menstrual protection that we offer women around the world.”

The Regular Tampax is priced at Rs 68, Super at Rs 72, Super plus at Rs 75 (all for a pack of 8 Tampons each) and the Multi Pack for Rs 120 (for a pack of 15 Tampons).

The company has also set up a special consumer hotline in Chennai to disseminate additional information on Tampax and answer consumer queries. The numbers are :
for Chennai              - 9841010033    and
For outside Chennai - 09841010033