ISSUE - 125 8th SEPTEMBER [THURSDAY] EDITOR’S DESK The sports community of our country has always been mired in controversies. Corrup- tion, doping, lack of transparency are some of the few points that have always kept the media abuzz. Now when a bill was recommended to bring about some level of transpar- ency in the system that too fell kaput! Get the complete story this week on our Cover Story on the Sports Development Bill. The ever growing concerns over the euro zone drowning further into debt. Now Italy seems to be the one which might pull in the final straw. With Italy‘s national debt is 1.9 trillion euros, or 120 percent of gross domestic product the highest rate of debt in the 17- member euro zone, after Greece the stakes are indeed very high. Catch up upon our writer‘s opinion here this week on this ongoing crisis. With us turning 125 this week we are covering a brand that itself is turning 125, yes you guessed it right! Its Coca Cola! Get to know about many an unknown facts about this gi- ant here this week For all you sports buffs out there, this week we are covering your favourite sports star Lionel Andrés "Leo" Messi. Touted as the successor of Diego Maradona. Get to know more about this ‗wonder boy‘ this week. Moreover we bring to you again our regular sections of Fast Track, Quick Bites, News @ IBS and Market watch to enrich your knowledge further. Cheers, Supriya Mamgain EDITOR 1 OPINION 5 FOCUS 8 COVER 2 BRAND 6 NEWS @ IBS 9 FAST-TRACK 3 QUICK BITES 7 MARKET 10
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ISSUE - 125 8th SEPTEMBER [THURSDAY]
EDITOR’S DESK
The sports community of our country has always been mired in controversies. Corrup-tion, doping, lack of transparency are some of the few points that have always kept the media abuzz. Now when a bill was recommended to bring about some level of transpar-ency in the system that too fell kaput! Get the complete story this week on our Cover Story on the Sports Development Bill.
The ever growing concerns over the euro zone drowning further into debt. Now Italy seems to be the one which might pull in the final straw. With Italy‘s national debt is 1.9 trillion euros, or 120 percent of gross domestic product the highest rate of debt in the 17-member euro zone, after Greece the stakes are indeed very high. Catch up upon our writer‘s opinion here this week on this ongoing crisis.
With us turning 125 this week we are covering a brand that itself is turning 125, yes you guessed it right! Its Coca Cola! Get to know about many an unknown facts about this gi-ant here this week
For all you sports buffs out there, this week we are covering your favourite sports star Lionel Andrés "Leo" Messi. Touted as the successor of Diego Maradona. Get to know more about this ‗wonder boy‘ this week.
Moreover we bring to you again our regular sections of Fast Track, Quick Bites, News @ IBS and Market watch to enrich your knowledge further.
Cheers,
Supriya Mamgain
EDITOR 1 OPINION 5 FOCUS 8
COVER 2 BRAND 6 NEWS @ IBS 9
FAST-TRACK 3 QUICK BITES 7 MARKET 10
COVER STORY– SPORTS DEVELOPMENT BILL -RAJAT MONGA NOBODY GAME FOR IT
No, this week‘s cover story is not Anna Hazare or corruption. I think our overzealous media has
already given an overdose of that phenomenon. This week‘s cover story is about an event which
didn‘t even make it to front page of many newspapers but has the potential of having far reach-
ing consequences.
I am talking about the radical National Sports Development Bill which was rejected by the Cabi-
net in the meeting held last Tuesday. The draft bill which is aimed to bring transparency, ac-
countability and efficiency the way sports federations are run in India was killed before it could
even take birth. But about this a little later.
First lets just look at the way sport administration works in India. Each game in India has a fed-
eration headed by a chairman who is not a sportsperson as a matter of fact he is not even closely
related to that sports, yes I am talking about our politicians. For how long are their tenure would
be your next question. Well the answer is perpetually. Lets take few examples
The entry of the Chautala brothers — Abhay Singh and Ajay Singh — heralded an era of total
politicization of the sports federations. Between them, the two brothers control the Indian Ama-
teur Boxing Federation and the Table Tennis Federation of India. Sharad Pawar manages ICC,
Vilasrao Deshmukh, is the chief of Mumbai Cricket Association, Farooq Abdullah, heads
Jammu & Kashmir Cricket Association, and Praful Patel, All-India Football Federation presi-
dent are few manes in this huge list. Who can forget our own Suresh Kalmadi the former IOA
chief? No prizes for guessing who were against this bill when it was presented to the cabinet
meeting.
So what is about this bill that has ruffled so many? The bill sought to bring in revolutionary
changes in the functioning of sports bodies in the country, which included putting an age limit of
70 years and tenure restrictions besides bringing these bodies under RTI. It also ensures 50% of
the elected members of the federation are ex-sportspersons. This will ensure end of reigns of
politicians who been running their federations for decades with no accountability. It wasn‘t only
the cabinet members who are against this landmark bill. The Indian Olympic Association (IOA)
and several other National Sports Federations had vehemently opposed the bill since the drafting
stage, saying it was an attempt to interfere in the functioning of the bodies. Cricket administra-
tors had also reacted sharply to the proposed bill which sought to put it under the purview of the
RTI. The cash-rich BCCI which would have come under RTI maintained that it would not be
binding on the Board which does not take any grant from the government.
Though all hope is not lost. The good intended sports minister has found support from the sports
fraternity which has for so many faced the apathy and indifference of these sports federations
and he intends to fight on. No matter what happens to this bill in the future, the Indian politicians
have once again shown why they can‘t be trusted for doing the right things.
THE IBS TIMES
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I am talking about the
radical National Sports
Development Bill which
was rejected by the
Cabinet in the meeting
held last Tuesday.
So what is about this
bill that has ruffled so
many?
FAST-TRACK NEWS -SAINYAM KUMAR, NITIN ARORA, NITIKA THAKUR Assocham seeks review of Land Acquisition Bill Industry body Assocham has sought the review of the Land Acquisition Bill, as it is heavily loaded in favour of land owners and may not create conducive environment for economic growth. Assocham secretary general DS Rawat said in a statement that the Land Acquisition bill cleared by the cabinet needs to be debated before it comes into force as it may not create conducive environment for eco-nomic growth.
Global cybercrimes cost $114 bn annually: Symantec A study by Symantec Corp, the maker of Norton computer security software, estimates the cost of global cybercrimes at $114 billion annually. The Norton Cybercrime Report 2011 said 431 million adults were victims globally in the past year, with costs of cybercrime surpassing the combined global black market in marijuana, cocaine and heroin. India Inc reluctant to invest locally doubles overseas investment The reluctance of Indian companies to invest locally stands in sharp contrast to the millions they are sending overseas to build factories, buy resources, build infrastructure and start financial services ven-tures. Corporate investments overseas into joint ventures and wholly-owned subsidiaries almost dou-bled to $5.5 billion in the April-June quarter this fiscal from $2.96 billion in the corresponding quarter a year ago. India's GDP to grow 8.1% in 2011, second only to China: UNCTAD The Indian economy is likely to expand by 8.1 per cent in 2011, the fastest growth rate in the world after China as stated by the UN agency. In its global release of Trade and Development Report 2011, the United Nations Conference on Trade and Development (UNCTAD) said the India economy will grow by 8.1 per cent in 2011, against to 8.6 per cent in 2010, despite slowdown in developed nations and many other countries. Solve Long Pending Border Issues The growing importance of Bangladesh to India, the Prime Minister Manmohan Singh will visit Dhaka next week along with 5 CMs for one of the biggest foreign policy moves in the region. The Chief Minister of West Bengal, Assam, Tripura, Meghalaya and Mizoram will accompany Singh, an event that is rare in the Indian Politics. It is a signal to the Bangladesh that India is ready to press the reset button on the ties with the two nations.
BJP Questions the Congress: Lokayukta With Modi and Gujarat at the centre of the controversy, Congress and BJP spared no efforts to argue their view points regarding the law for appointing the Lokayukta. BJP MPs lead by Advani headed in the parliament premises after the Lok Sabha was adjourned, criticizing Beniwal for bypassing the Chief Minister. The Upper house also witnessed an argument between Chairman Hamid Ansari and Jaitley on the same. Aircraft Skids off the Kochi Runway It was a miracle that what may have ended in a Manglore type of crash that killed 158 people. An Air-bus A-320 carring 137 passengers and 6 crew members skidded of the runway and finally stopped nose down. All aboard are safe, however the aircraft suffered serious damages. Rain, crosswind and low visibility are likely the reason for this mishap.
Jean-Baptiste Say–French classical, liberal economist and scholar. Jean-Baptiste Say is known for his contribution to Say's
Law of Markets and for his work on "A Treatise On Political Economy". Say was born in 1767, taught political economy in France
at Conservatoire National des Arts et Metiers, and later at the College de France.
Atlanta, Georgia - On May 8, 125 years ago, when John Pemberton poured the first cup of Coca
Cola in Jacob's Pharmacy, probably never imagined it would become a beverage shared by peo-
ple from over 200 countries today. Coca Cola‘s journey as a brand has evolved ever since, from
a pain relief syrup to becoming a ubiquitous brand being available everywhere, to its authentic
face of competition, to its current face of ―happiness‖.
This could not have been more apt a brand to track for this 125th issue of The IBS Times, Brand
Track Column. In this column of the Brand Track I would try to do justice to the historic 125
years of this brand that is responsible to change the dress colour of Santa Claus. Yes it is true.
Santa Claus‘s original colour as most us don‘t know was green. It was in the winters of 1950‘s
when Coca Cola ran an ad campaign with Santa Claus in red and white, to promote its drink in
the winters as well, as coke was a drink predominantly consumed in the summers only.
Coca Cola has moved beyond time and location to become a brand of the world today. It always
believed in going global by being local. It adopted the lifestyles of the countries it was intro-
duced in and accordingly customized its position in that country. There are a couple of great
lessons to be gleaned Coca Cola‘s archive that all brands should heed. One of them being
adopting ―Coke,‖ a nickname invented by consumers but resisted by Coca-Cola initially. The
brand chose to embrace consumers‘ shortened name, and the positive impact on the brand
should be a lesson to those marketers today that are overly resistant to consumer brand input.
Another lesson to take home is how Coke created experiences in its consumer‘s
life. Early Coke ―ads‖ were trays, calendars, posters, pocket mirrors, things that
were relevant and welcome as part of consumers‘ daily lives. Today‘s brand
apps that make life easier or richer, that delight consumers just for the sake of it,
play a similar role. Even the advertisements which are made to tap on the local
sentiments of each country reflect Coke‘s way of creating an experience. As
marketers we have learned that the brand should go where the customers go and
Coke is the best example of this strategy. It has not only changed with times in
terms of shape of bottles but also has changed its marketing campaigns from
sponsorships to online fan pages to happiness machines.
The script, red colour, the wave logo, and even the ribs on the bottle have all been with the
brand for the past 125 years. And yet, Coke manages to constantly reinvent and evolve to relish
the minds of the current generations and will do for the generations to come. This is no easy
feat and it is something that all brands aspire too. I salute this brand and wish Coke a Happy
125th and many more to come.
THE IBS TIMES
As marketers we have
learned that the brand
should go where the cus-
tomers go and Coke is the
best example of this
strategy.
Coca Cola has moved
beyond time and location
to become a brand of the
world today.
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QUICK BITES- NEWS THAT CAN’T BE MISSED ! - NITIN ARORA
Big Shots… Navin Wadhwani to head RIL's M&A unit
WTO director general Pascal Lamy in India on 5th September 2011 for the DOHA trade Talk.
Indira Nooyi, Sonia Gandhi, Merkel among top 10 most powerful women in the world: Forbes
Company Talks… Growing Economic uncertainty causes IT majors to shift their cash to bank FDs from Mutual funds.
Companies under the brand name of KK Birla to shed their legendary tag.
Ind Swift laboratories to raise funds up to 500 crore through issues of securities from domestic and
international market.
State bank of India plans to open new branches and offices in 10 countries.
N C Jha gets 3 - month extension as acting CMD of Coal India Ltd.
Economy Speaks…
Zero Job growth is the latest Bleak sign for the US Economy.
PM clears Anil Ambani‘s name to lead India - China CEOs Forum – focus on the boosting the eco-
nomic and commercial ties between the two nations.
India and China to hold its first Strategic Economic Dialogue.
Planning commission to pare down 12th five year plan growth target to 9% from 9.2%
Inflation a serious problem, but likely to fall says plan panel.
Double Digit food Inflation is worrisome Union Finance Minister Pranab Mukerjee said monetary
policies of RBI will take some time to have an impact.
The Argentina – Venezuela FIFA friendly has grossed seven crore from corporate sponsors.
On the 10th anniversary of the 9/11 terrorist attack, US warns of a small plane attack.
.
The Captains of the Ships..
Director (Refineries) Indian Oil- Rajkumar Ghosh
CMD Power Grid Corporation of India- RN Nayak
GMR Infra MD- B V Nageswara Rao
Director (Finance) SAIL- A K Chaudhary
THE IBS TIMES
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FOCUS OF THE WEEK– THE WONDER BOY - ADHIRAJ SOOD
Deep Assortment- A retail merchandising strategy in which the retailer stocks a number of varieties of a particular product line.
Carrying a deep assortment of a particular product can lead a company to becoming a "super specialist". It also limits the space for other
products that would allow it to reduce its risk exposure. Some types of businesses are able to offer a deep assortment of a product while at the
same time offering a wide variety of products.
THE IBS TIMES
It‘s been long since I wrote for The IBS Times. I have tried to bring something new and something
unique every time I write FOCUS. In FOCUS we have covered various CEOs, CFOs and new financial
instruments, but this time I am covering a man who is not related to any of the above mentioned three
fields but defines class in its true sense. He was covered by every Indian newspaper on the front page
last week. This has been a difficult article for me to write because I am a diehard Real Madrid FC loyal-
ist and he plays for our biggest rivals. But in the end I thought let ‗FOOTBALL: the beautiful game‘
win. By this time I think most of you would have guessed whom I am talking about, every mentioned
CEO and CFO in our IBS times wants to meet him and see him play and perform. This man proves
‘class is class’.
Born in Rosario, Argentina; captains the Argentina‘s football team, plays for FC Barcelona, I am cover-
ing this time the man who is called The Wonder Boy and whom Diego Maradona declared as his suc-
cessor- Lionel Andrés "Leo" Messi. At a young age of 24, Messi has already won Ballon d‘Or and FIFA
World Player of the Year twice. With Barcelona, Messi has already won 5 La Liga titles and 3 Champi-
ons League titles (with scoring in two of those finals).
At age of 5 Messi was already playing for a football
club called Grandoli, by the age of 8 he was playing for
Newell‘s Old Boys. River Plate was keen on signing
Messi but could not afford his medical bills which were
minimum $900 a month (he was suffering from growth
hormone deficiency). So his father arranged a trial with
Carles Rexach, the sporting director of FC Barcelona
and this is how the great Messi landed in Barcelona‘s
youth academy.
From there his fame grew leaps and bounds; he became the youngest player for Barcelona to score a La
Liga goal. He also proved that the ―New Maradona‖ tag was not at all hyped up by emulating Mara-
dona‘s most famous goals in a space of single season. Messi scored a goal against Getafe FC which was
a replica of Maradona‘s famous goal against England at the 1986 World Cup in Mexico, known as the
‗Goal of the Century‘. He also scored a remarkably similar goal to Maradona's 'Hand of God' goal
(against England) against RCD Espanyol.
When Messi won 2009 Ballon D‘Or by beating Cristiano Ronaldo; the margin of 473 to 233 was the
largest ever. A year before he also won his first international honour, an Olympic gold medal, with the
Argentina Olympic football team in Beijing.
You know greatness is not defined by calling yourself great (this one goes for me), greatness is defined
by the height you reach, at what age and how you reach it. People like Messi are followed and prayed in
a country like India (where cricket is the only sport followed) because they come from small families
with loads of problems but they reach the sky and nothing can come in their way of GREATNESS.
Only god knows where this BOY (or should I refer to him as MAN) would reach in times ahead as he is
just 24.
You know greatness is not
defined by calling yourself
great (this one goes for
me), greatness is defined
by the height you reach,
at what age and how you
reach it.
He also scored a re-
markably similar goal to
Maradona's 'Hand of
God' goal (against Eng-
land) against RCD Es-
1 2 3 4 5 6 7 8 9 10 11
NEWS @ IBS– ALL HAPPENINGS IN IBS HYDERABAD! - NITIKA THAKUR After a mid week break of two days, the whole IBS was geared up again on Friday with CP‘s, vivas,
project submissions and classes. Apart from the academic activities, club events made the Friday eve-
ning in IBS entertaining and enriching.
STOCKYARD – ANTI CORRUPTION MOVEMENT IN INDIA
StockYard organized a freewheeling discussion on Anti – Corruption movement in India. The event was
honored by the National coordinator of Lead India Foundation, Mr. Sudharshan Archarya. He shared his
views on anti corruption movement in India and the LokPal Bill. The event was graced by faculty Prof.
G.K Srikanth who addressed the audience and enlightened the students on the current scenario of cor-
ruption. The event was an interactive discussion where the students shared their views and concerns re-
garding the situation. The masters of the ceremony Suhani and Rajat took the audience through the his-
tory of Lokpal and corruption. In a nutshell the discussion was a huge success and an educative session.
DOT CLUB – TECH Q
Develop on Technology Club conducted its first event TECH – Q a technological quiz. The event had a
plethora of questions on Softwares, operating systems, mobile phones, famous personalities, major play-
ers and almost everything under the technological umbrella. This quiz was not only for the geeks and
nerds but also for laymen and game freaks, who have a keen interest in and are up to date regarding the
latest gizmos and gadgets in the market. The first round was conducted so that the teams would get some
time to charge up their grey cells, this was the elimination round and out of a total of twelve teams, eight
teams were selected for the next mumbo jumbo. Next was the crossword round, wherein the participants
had to rack their brains really hard to find the solutions. The final round was match the following, the
questions were a concoction of tough and easy statements and the participants were suppose to match
the right answers with their statements or questions. The winners of the event were- Manikandan A and
Subhankar Gon (2012) and second - Sunil Reddy and Prateek Watwale (2012)
ECOBIZZ – CRESCENZO
EcoBizz came up with a mind boggling game which tested the participants on their knowledge in eco-
nomics and finance. A total 40 teams enrolled for the event with 2 members per team. The game had
three rounds. While the first round tested the participants on lateral thinking which required the partici-
pants to think and understand the word from the pictures and hints shown, the second round was an au-
dio visual round which tested finance, business and general knowledge of the players. It was also the
objective to improve multitasking skills, which is a prerequisite for managers. The third round was to
strategize and think how to spend the money given to each players. The winners of the event were
Bharti Chaudhary & Trishendu Deb and runners up were Phani Bhushan and Abhishek Singh.
THE IBS TIMES
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MARKET WATCH - VASUNDHARA ARORA
The triple-edged sword of interest rate hikes, soaring inflation and weakening global conditions have made India‘s GDP numbers slide for the first quarter of FY‘12 to 7.7% which is lower than the last five quarters. Series of rate hikes by RBI to deal with inflation ate into consumption levels which fell from 8% to 6.3% from the last quarter. A sigh of relief in this gloomy picture was a robust climb in investments from 0.4% to 7.9%. With many global and local events lined up in September, it always is an action-packed month. RBI‘s monetary policy to be released on the 16th is something to watch out for as analysts expect another 25 bps in interest rates to combat inflation which might act as a deterrant to the weakening growth of the country. The Movers & Shakers of the Week
To maintain its competitiveness in the fierce industry, Maruti Suzuki has got 15-20 new vehicles lined up for launch over the next five years with a majority being low-cost small car offerings including facelifts and variants. With the new environment minister at the centre, Coal India‘s project stuck under environmental norms start getting approvals seeking an investment INR 420 billion over the next few years to set up washeries and foreign acquisitions. SAIL is planning to start its production from one of the largest iron ore mines in Asia, Chiria by 2014. With an investment nearing INR 35 billion, the mine will become operational in another three years thereby facilitating SAIL to quadruple its annual steel pro-duction capacity of 800 MT in medium term.
Global Cues:
After a prolonged phase we witnessed Indian boarses running ahead of all the markets in the world rising at whopping 6.1% during the week followed by Brazil (6%) and Singapore (3.5%). Analysts expect the outperformance of Indian markets to continue on the grounds of falling correlation between Indian markets and those of developed west which stands at 0.3 in 2011.
Coming as no surprise, U.S. and Chinese markets were the only ones to end in red recording 0.4% and 2.3% losses respectively. U.S markets were on a bleak trading trend owing to dismal employment numbers and Indian markets were very quick to respond to the delay in QE3 by Fed on the grounds to curb soaring commodity prices in emerging markets.