Saturday, June 5, 2010

Education:India Vs USA....Mr Kapil Sibal....are u listening?

LUXURY CULT - American education: our biggest luxe brand



RADHA CHADHA



Harvard and Yale, USC and NYU are popping up in conversations--as in “my son is going to Columbia“ or “my daughter is going to Wharton“--and it got me thinking that American colleges are the rising luxury brands in India. They come at a hefty price tag--$200,000 (around Rs93 lakh) for a basic four-year undergraduate programme (postgraduate programme costs vary depending on what you do--the popular two-year MBA, for instance, tots up in the region of $120,000+). We bought 103,260 American college seats last year, making Indians the largest international student group entering the US in 2008-09. Do some back-of-the-envelope math and as a nation we committed $15 billion to send our bachchas to America. Forget Louis Vuitton bags, Rolex watches and Mont Blanc pens--for that matter, forget bigger-ticket Mercedes and BMWs--American education is the luxury product that Indians are blowing serious dollars on.

So I caught up with a few mums to understand what makes them put their 17-year-olds on a plane with a hug and a prayer and a dent in the bank balance. The answer is pretty simple: quantity and quality. Quantity, of course, refers to the huge number of students applying for a very limited number of “good“ college seats in India, and the whole get-your-child-into-college routine reaching such absurd levels that kids rejected by St Stephen's in Delhi are welcomed by Stanford in California.
Quality refers to the fact that a Stanford education is on a totally different planet compared to what even St Stephen's-- or most top-notch Indian colleges, the venerable IITs included--can offer. And if Stanford or big brand Ivy League institutions are out of junior's reach, there are hundreds of other American colleges that will provide him with an excellent education. The upshot: If you can rustle up the dough--substantial as it might be--you take junior out of the great Indian college rat race and get him a top quality education at an American university instead.
If you buy into the 3 Idiots thesis that education is about finding your passion as against following the crowd, it is about focusing on real learning as against a bloody-minded focus on marks and grades, it is about a true awakening of the mind as against mindless learning by rote...then that's exactly what the American colleges offer. Join a liberal arts programme and you spend the first two years exploring and experimenting with a variety of courses till you find what turns you on enough to major in it. The result is that kids who go in thinking they want to become physicists discover that their real passion is English literature, and those who went in to study history end up falling in love with economics. You have two loves? No problem, do a double major, as in neurosciences and psychology, or economics and international relations. Your heart pulls in two opposite directions? No sweat, weird combos are perfectly acceptable, as in a double major in economics and drama, equipping you for a career on Wall Street and Broadway. In Indian colleges, there is little flex--you shoot the “subject“ bullet on Day 1 and stick to it for the next four years (and often for the rest of your life) even if you discover you have made a horrible mistake.
The mums tell me that their kids are totally transformed by the educational experience in the US. You send in your over-protected, chauffeur-driven, maid-serviced, classes-bunking, late-for-everything brat (who can't load a washing machine if his life depended on it) and the young man/woman who comes back four years later is a confident world citizen--concerned, engaged, well-spoken, personable, open-minded, who can not only load a washing machine but also put together a well-argued paper, who wants to save the world, and who, believe it or not, has some leadership skills that you can actually see. This transformation from coddled home bunny to budding international leader happens thanks to the amazingly rich academic resources that surround him.
Go on a tour of a few of these colleges and it is like being in a candy store of learning. Beautiful campuses, stunning old buildings steeped in history, excellent professors (including Nobel laureates who still teach), path-breaking research activity that you might be able to assist in, a mouth-watering range of courses to choose from, and an extraordinary variety of extracurricular activities to sharpen your teeth on. Compare this to iffy-quality teachers (57% of Indian college teachers don't have a master's/PhD degree), teacher-less classes (25% of teaching positions in Indian colleges are vacant), outdated research facilities, and perhaps the most damaging aspect--a chalta hai (anything goes) environment that our youngsters come to accept as the norm.
The send-junior-abroad trend is now percolating down the income ladder.
The money involved is enormous and what amazes me is that a growing number of middle-class families are stretching themselves financially (sometimes close to breaking point, like we do for daughters' weddings) to buy a foreign education. American colleges aside, Indians are dispatching their kids to the UK, Australia, Singapore and other countries in large numbers. Sure, some get scholarships and other forms of financial assistance, but most pay full fare. Foreign universities are lining up to open colleges in India, but we won't let them in (contrast this with China, which has frantically built foreign partnerships, and had 700 foreign academic programmes operating in 2006). In the meantime, hundreds of thousands of Indian families are “importing“ education from these same colleges.
And paying a king's ransom to give junior a royal chance at life.
Radha Chadha is one of Asia's leading marketing and consumer insight experts.
She is the author of the best-selling book The Cult of the Luxury Brand: Inside Asia's Love Affair with Luxury. Write to her at luxurycult@livemint.com www.livemint.com Read Radha's previous Lounge columns at www.livemint.com/radhachadha
It is that time of the year when college admission results are rolling in, and names like Harvard and Yale, USC and NYU are popping up in conversations--as in “my son is going to Columbia“ or “my daughter is going to Wharton“--and it got me thinking that American colleges are the rising luxury brands in India. They come at a hefty price tag--$200,000 (around Rs93 lakh) for a basic four-year undergraduate programme (postgraduate programme costs vary depending on what you do--the popular two-year MBA, for instance, tots up in the region of $120,000+). We bought 103,260 American college seats last year, making Indians the largest international student group entering the US in 2008-09. Do some back-of-the-envelope math and as a nation we committed $15 billion to send our bachchas to America. Forget Louis Vuitton bags, Rolex watches and Mont Blanc pens--for that matter, forget bigger-ticket Mercedes and BMWs--American education is the luxury product that Indians are blowing serious dollars on.
So I caught up with a few mums to understand what makes them put their 17-year-olds on a plane with a hug and a prayer and a dent in the bank balance. The answer is pretty simple: quantity and quality. Quantity, of course, refers to the huge number of students applying for a very limited number of “good“ college seats in India, and the whole get-your-child-into-college routine reaching such absurd levels that kids rejected by St Stephen's in Delhi are welcomed by Stanford in California.
Quality refers to the fact that a Stanford education is on a totally different planet compared to what even St Stephen's-- or most top-notch Indian colleges, the venerable IITs included--can offer. And if Stanford or big brand Ivy League institutions are out of junior's reach, there are hundreds of other American colleges that will provide him with an excellent education. The upshot: If you can rustle up the dough--substantial as it might be--you take junior out of the great Indian college rat race and get him a top quality education at an American university instead.
If you buy into the 3 Idiots thesis that education is about finding your passion as against following the crowd, it is about focusing on real learning as against a bloody-minded focus on marks and grades, it is about a true awakening of the mind as against mindless learning by rote...then that's exactly what the American colleges offer. Join a liberal arts programme and you spend the first two years exploring and experimenting with a variety of courses till you find what turns you on enough to major in it. The result is that kids who go in thinking they want to become physicists discover that their real passion is English literature, and those who went in to study history end up falling in love with economics. You have two loves? No problem, do a double major, as in neurosciences and psychology, or economics and international relations. Your heart pulls in two opposite directions? No sweat, weird combos are perfectly acceptable, as in a double major in economics and drama, equipping you for a career on Wall Street and Broadway. In Indian colleges, there is little flex--you shoot the “subject“ bullet on Day 1 and stick to it for the next four years (and often for the rest of your life) even if you discover you have made a horrible mistake.
The mums tell me that their kids are totally transformed by the educational experience in the US. You send in your over-protected, chauffeur-driven, maid-serviced, classes-bunking, late-for-everything brat (who can't load a washing machine if his life depended on it) and the young man/woman who comes back four years later is a confident world citizen--concerned, engaged, well-spoken, personable, open-minded, who can not only load a washing machine but also put together a well-argued paper, who wants to save the world, and who, believe it or not, has some leadership skills that you can actually see. This transformation from coddled home bunny to budding international leader happens thanks to the amazingly rich academic resources that surround him.
Go on a tour of a few of these colleges and it is like being in a candy store of learning. Beautiful campuses, stunning old buildings steeped in history, excellent professors (including Nobel laureates who still teach), path-breaking research activity that you might be able to assist in, a mouth-watering range of courses to choose from, and an extraordinary variety of extracurricular activities to sharpen your teeth on. Compare this to iffy-quality teachers (57% of Indian college teachers don't have a master's/PhD degree), teacher-less classes (25% of teaching positions in Indian colleges are vacant), outdated research facilities, and perhaps the most damaging aspect--a chalta hai (anything goes) environment that our youngsters come to accept as the norm.
The send-junior-abroad trend is now percolating down the income ladder.
The money involved is enormous and what amazes me is that a growing number of middle-class families are stretching themselves financially (sometimes close to breaking point, like we do for daughters' weddings) to buy a foreign education. American colleges aside, Indians are dispatching their kids to the UK, Australia, Singapore and other countries in large numbers. Sure, some get scholarships and other forms of financial assistance, but most pay full fare. Foreign universities are lining up to open colleges in India, but we won't let them in (contrast this with China, which has frantically built foreign partnerships, and had 700 foreign academic programmes operating in 2006). In the meantime, hundreds of thousands of Indian families are “importing“ education from these same colleges.
And paying a king's ransom to give junior a royal chance at life.
Radha Chadha is one of Asia's leading marketing and consumer insight experts.
She is the author of the best-selling book The Cult of the Luxury Brand: Inside Asia's Love Affair with Luxury.

Write to her at luxurycult@livemint.com www.livemint.com Read Radha's previous Lounge columns at www.livemint.com/radhachadha


My Comments:
I just came through this article of Radha Chadha at Live Mint and I was impressed by what she said.I  was impressed because what she wrote is absolutely true.There is no an ounce of a lie.
Though Indian are making inroads in USA job market at each and every level from IT to NASA ....these are students who are above par of average intelligent students.But what we are doing those who have average or below average intelligence? Nothing....there is a BIG ZERO ....and remember when I say average IQ it means they are good to become an MBA at Stanford College......and below average means some college below Standford.

The most astonishing aspect of our system in India is once you miss the bus your carrier is OVER .That is the most disheartening part acoording to me.Once you are not able to get marks in 12th Garde , your carrier is gone.You have to be a simple graduate and we all know what salary one gets who is just a simple graduate.
Student don't get a second chance in India...WHY is it so?If someone fails in 12th Grade and reappear again in 12th exam and he passes out with excellent marks still his marks are deducted as a second trial....what?If you tell any American he will give the same reply....WHAT?
Do anyone know, present Prez of USA, Barack Obama , left the college after studying for couple of years and went to Kenya and again after 6-7 yrs came back and completed his college degree?
Have we Indian has that liberty?NO...why?
What Radha has written is absoluetly true.First 2 years of college is just you experiment of variety of cources and then you decide where your first love is.......
Other thing I have observed here is there is no hurry for anything.They give you ample time to make it up.It is also not so that one have big big courses and you end up under a pile of books.No way.
The biggest Flaw I am seeing in our system is the exam of 12th Grade.That is the acid test.Acid test for the student, his/her parents.No TV, No movie, no enjoying anything , nothing......The whole year, student, parents are under tremendous presurre.Our system encourages CRAMING.One has to recall everything of the whole year and write the answers in Exam....that is terrific.
In USA, once the exam is gone....it is OVER.....you have not to revisit it......because they believe that any person cannot remember what he has read or learned more then 15 days and that is true.
But here student has to recall what he has learnt in June, when the school started.Terrific , isn't it?
That is encouraging CRAMING....THAT 4 LETTER WORD......CRAM..
IIT ans IIM is just a distant dream for anyone in India.CA or IAS is a differnt class student level.
In USA, one just pass 12th grade , just have to pass it and he gets admmission in a community college very easily and that too with a very less fees.Then studying there for 2 yrs he/she can take transfer to better college of 4 year.And here also those 2 yrs are deducted from that college.
Ofcourse, one has to get good grades to get admission in good college, like say B+ or B grade and that is not hard.If you do not get B grade still you end up with other college maybe lesser known but still you get admmision in college....
So the difference between the learning here is there is no hardship and no anxiety.
Not everyone is awakened from the birth.There are some children who are not  studious at the initial stage of their carrier.The maturity comes later.What should be done to them?
Is the world  for those WHO are studious and genious only from the begining ?If someone misses a year or two, and then he realise that he has done wrong, he can't recitfy his mistake?Well, our educational system gives no chance to them.But USA educational system gives chance to these students.
I have seen many students carrer got ruined because they were not able to get excellent marks (not good) in 12 th Grade......and their parents can't afford to give donation, they were not able to get admmission in good college.
I persoanlly feel , that is where India needs to look upon......grassroot level change....remember not every student is serious about life.At young age all make mistakes.Mistakes of taking things lightly and at the age of teens, all are same.They DREAM....just in their mind, I will do this and I will do that....but do not put the effort. The realization comes after 20 or 25...or even later and by that time he has already messed up with his life .They needs to get a chance.....
In USA anyone can get admission at any age.....you need to have the will to do ,that's all......

33 comments:

  1. Hi Rajeev,

    Totally agree with you on this. Our education system, though considered one of the best in the world, promotes mugging and securing marks. We don't encourage anything less than an engineering or MBBS!!! A person who has no interest in Eng/MBBS can clear it only if he mugs and vomits on the paper...!

    A big flaw!!! We have no encouragement for innovation!!! I work for an indian IT Co. Here too, we don't want to innovate!!! We wait for Microsoft to release something, take numerous training sesssions from them on that technology, and then continue working on that till a new release is on the offering.

    All we can do is wait and hope for the people who matter to realize this.

    Cheers,
    Sumit

    ReplyDelete
  2. Hi Rajeev,

    Just a column that one would have seen in today's paper's:

    http://www.moneycontrol.com/news/cnbc-tv18-comments/25-public-holding-must-for-all-listed-cos-govt_462228.html

    25% Public Holding must for all listed Cos

    As far as my understanding goes, seems to be good news. Hoping for your views.

    Cheers,
    Sumit

    ReplyDelete
  3. Hi Rajeev,
    Nice article. Few things have been nicely pointed out about our educational system. There are definitely some flaws in our system but then our system has been successful in keeping education away from capitalism. Even in my wildest dream I will not accept that there is something good about USA. Its a complete consumerism culture. Even if wine is sold there it will be marketed as "Drinking little wine is good for heart" now only god knows when liquor became became better than milk. If someone is so worried about his heart he can very well opt for milk. Same way those universities that gives second chance to the students is not doing so because they bother about student's life but instead its business to them, the more years u spend in studies the more money those colleges earn. Its business, its consumerism. USA can never care about people unless its not making sense in currency.
    People like Radha Chadha write articles to earn their bread and butter, they will write only those things that people want to hear no matter the truth is other way round.
    Many articles in economic times are just a marketing bluff of some real estate thieves and are just paid articles. U will always find one common thing in these articles "ppl in india have changed and want good quality life and are ready to shell out money" - This actually means that ppl have become fools and are buying something for 50 lacs whose worth is not even 10 lacs.
    Rajeev I am really sorry for writing this but some so called radha chadha writing something against india that too for few bugs is something not appreciable. Marketing foreign education is fine but it does not mean she has got license to degrade indian system.
    Americans get many facilities through out their life and that is why they perform and there is nothing great about it but Indians don't get that kind of environment but still elbow-out Americans, that's why India is incredible and people like Radha Chadha should understand this.
    But I thank you that u pointed out that the next big thing to invest in is education sector stocks.

    ReplyDelete
  4. Share,
    I have seen that you are a good critisizer.You need to be in journalism.
    I have written in my comments that going for community college for first 2 yrs cost you nothing.
    There are loads of scholarship here.One can avail that as well.
    Moreover, you have not written on the points I have made ,like those who do not get enough marks, their life become mediocre...If someone fails to get good marks in 12th grade, what is his future....
    What is good is good.We have to accept it.I know there are certian people who do not like USA, actually hates USA.But remember USA as of today is the world largest consumer , 33%....you must have seen what happened in 2008....stock market, Jobs,financial sector everything....Do you think all the infrastructure one sees in USA has come without any planning?For the same level of Infra we will need atleast 5 decades and not less.Even now, how many projects in India gets completed in time and how much we lose due to delay of such project , everyone knows it.
    We need to learn from USA what we need to learn.Why big companies are originated from USA?
    Planning and execution is very important aspect for any business as well as the bringning up the economy.WE INDIAN LACKS THAT.....
    I will only say here, that you have been not able to understand the matter in this post properly....
    Can you imagine, a cousin of mine who was here for 40 yrs, came at the age of 20, after brining up her 2 children, she get enrolled in Medical Technology course and making excellent pay?She started at the age of 45......Can you imagine that can happen in India?And mind well, she got all the fees from scholarship.
    You will not understand all these things.You have put a blindfold on your eyes....

    ReplyDelete
  5. That's really great and of course this cannot happen in india that someone can get a degree at the age of 45 and get a good job also.
    Till now my experience with foriegn imports is "Door ke dhol suhane hote hain aur paas ane par kaan phat jate hain".
    We imported American Idol, Miss World contests saying that they give a platform for poor but only after seeing it in india did we realize that its full of politics and nonsense and there is no free lunch.
    Because of these image I do not blindly believe in foreign imports no matter its education or entertainment.
    But since you live in USA so u might be knowing better that we do so I really apologize if I had hurt you. Thanks for the reply rajeev.

    ReplyDelete
  6. Rajeev one more thing, I always thought that every citizen has the right to live a quality life and this must not depend on his skill sets. Govt must be capable of providing basic requirement of a all citizen and as per ur post USA is doing it. So don't think I hate USA. I actually love it because of its army and strict checkups.

    ReplyDelete
  7. share,
    The thing you are prejudiced is about American Idol, imported goods etc...but remember , USA do not produce anything small.
    A simple BIC razor is made in China or France in USA.
    But you were looking at the narrow picture of what we imbibe from USA which is not good according to you.But there is lot to learn from them apart from that.
    Apart from IT, we are nowhere in the horizen compare to USA or world.See the Infrastructure of China, Thailand,Malasia, Korea..these are big and small Countries and they have blossemed.The basic is Infra structure and basic needs like Water, electricty , foods and houses.Roti, Kapda aur Makan....that is where we lacks.
    Our politician/industrialist has billions and billions of dollar(not rupees) in Swiss bank and now also in German Bank.That is terrific....
    Just try to see the broader picture.....just don't look at what you do not like...see what is there is where we lacks...
    Madhu Koda having Rs 900 cr as Cash in a Bank!Have you ever thought what can be done with that 900 cr..how many project can be started with that?With thise billions lying in Swiss or German bank, out entire deficit gets over and we come in surplus...
    We have become so use to about corruption that it is now become part and parcel of our life....
    With 900 cr thousands of Villages can have borwell and have water.Thousands of Canels can be made and farming can blossom....I donno the figure how much Sharad Power made in Sugar prices...but should be HUGE...atleast as good as Madhu Koda's figure...now just imagine each and every MP is going to have such wealth,then what will remain for Poor man!
    How India is going to progress this way.Have you seen Sharad Power in Parliament when Sushma Swaraj was speaking about Suagr bags hide in godowns that was uncovered by Headlines Today?
    Sharad Power was laughing....at the allegations..I don't say BJP is good..I am pointing at what happened...this is not the time to point out that everyone is bad....this is time to bring the culprit under scanner and give them punishment...Amm admi ki soch se upper utho bhai....

    ReplyDelete
  8. Rajeev and share
    Though everyone knows, I may just repeat....
    Madhu koda was a labourer in late nintees , in an iron mine at Gua. even though the workers including him had been promised the wage of Rs.20.50 per day,they would get only Rs.16 after signing/'thumbing' in every evening. Imagine..Just b4 10 years.....

    ReplyDelete
  9. Hi KK,
    My point here is if all MP's is accumalating money like Madhu Koda and Sharad Power are doing and they should be doing it, I or anyone must have no doubt about it, then just imagine what India losing as exchequer and that is my concern.
    It is a pity that Congress cannot do anything to Sharad Power or Madhu Koda .That is our bad luck.
    These are huge money, it is just not a crore or 2...I donno where the greed will end of our politician and who will bell them.....
    When I think of these figures, my mind stops thinking.....Rs 900 cr CASH!Wow!....and if we multiply it with 572 MP's...what comes the figure!

    ReplyDelete
  10. The article on education is really good......The reality of the education system is that it is expensive, and produces a lot of average Bachelor graduates who are not finding jobs.

    The kids who go to community college get admissions to the average universities in the average programs, since all of the high demand seats are filled and the classrooms are full. This happens all over, and parents only realize this happening after the 2 years are over and they cannot get admission to the top university or the next one down in their own city.

    The Guaranteed Programs that make one a doctor, physicist, pharmacist, Anasthesiologist Nurse, Lawyer etc are all filled by the students getting into the program from year 1 and going through the strictest of the 1st two years of routines of the University. If that was not the case, NO ONE would go to Universities.

    Indian kids come to the US but have a big challenge of language, environment, living style and yet survive well. That is an amazing feat that they resolve, but at that age it is easier since the student is riding on a high horse in their minds. I did it also, and I am not sure how I was perceived in those days (speaking from experience above).

    What I do not understand and comprehend is how can the parents afford this tuition and boarding costs. Text books are $50 to $125 each, and it is MANDATORY to use those particular books. Tuition at most Average Universities is $20K per year. At good universities it approaches $30K per year and at the better/best ones it is $30K to $60K per year. I have visited 6 of them in the last 9 months and I know these facts by sitting with my son at these presentations from those 'cute' visits that the article talked about above. I have been living here in the US and have a hard time comprehending and coming up with the funds, so, how do the Indian parents do it with a multiplier of 46 ($1 = Rs46 today).

    Tough game, but great education system......

    KKP

    ReplyDelete
  11. Very true rajeev. I was arguing on a wrong side. Yes if politicians are brought under scanner then definitely india can become a better place to live. I hate Madhu koda, Sharad pawar, infact congress as a whole is the most corrupt party.
    Well I think I took this matter to a very different direction. But thanks for your patient replies.

    ReplyDelete
  12. Rajeev,

    I totally agree.Thats is also my point
    If a worker of Rs.16 in 1999 was capable of making crores and crores easily through the underground politics from a relatively backward state, then what will be the capacity of this country to find out resources...That is why I think lack of wealth is not a major problem for this country .(Dear share ,please note it and post reply.)Real problem lies in modern culural attitudes.That is a curse of south asean countries in their physical and mental attitude towards the life.Unfortunately cultural values is parallely linked to the real education.Historically,After Buddist era, India faces a gloomy millenium in the field of education,but this period western countries advances a lot.This period is an era of basic knowledge of modern science and related techs.Our cultural attitude due to lack of education through the medieval age drive us nowhere..still we couldnt free from that basic difference..Once upon India was a powerful country among south asia and south East Asea and we had most reputed universities in the world.It is made up on a systematic culture of a nation .After a series of internal conflicts and foreign invasions we slowly lost that cultural momentum.How can we regain it.If education flourishes,culture also flourishes and vice versa...but how...what is the first step...culture or education...?Cannot predict easily...
    Example.
    How can the nations defeated in the second world war are still among the top 8 richest countries?India never faces such a disaster.then why?Bcz these nations were well educated b4 war eventhough they were trapped with wrong politicians who led to war.Even wrong politics couldnt destruct the cultural values of the nation...
    Thanks for ur post and reply.
    I share the same pain that what the money to spend for building flourished country has been flowing into dirty hands.....
    But no solution for atleast one decade...
    even a child in india knows Sreeman 2G SPECTRUM will continue in his portfio till the tenure.Just imagine...If there was a man like this type in the above countries in post- war period,Angela Merkel couldnt feed The Great little Greece.

    If thre ia man like

    ReplyDelete
  13. Rajeev
    Sumo has recorded his doubts above.I am sure everyone has confused with the govt decision.I am optimist with the news,but same time expect a sudden shock from market giants.it is worth to get ur view in this subject,if u dont mind....
    I expect the remarks from other friends too

    ReplyDelete
  14. Hi KK,
    When Sharad Power makes money in Sugar scam, artificially creating a demad while hiding Sugar bags in Go-downs,just we have to think that much of money is paid more by citizens of India...and that includes the most needy ones as well and that will constitute almost 80% of people of India .
    Now if those money which poor citizen doled out more for Sugar buying that would have been diverted to some other important things one need to buy and thus these money would have come back in the system and economy would have flourished in much better way and in that government would have earned Taxes and have generated revenue.But here all went in just one mans a/c...Sharad Power...and that money will never come out as it is in Bank and that too overseas.....
    See,KK,these all creates a rippling effect......money gets static,money gets suked up,government loses, country loses.....same can be explained for Madhu Koda...we have enough raw material in our land....Cooper, Nickel,Manganese,Iron Ore....in Jharkhand and other state....but these mines which can go cheaper gets costly due to the bribe industiralist has to pay and the end product becomes costly.....I donno when these will be understood by the ruling party......No hope seen to me as well...as u rightly said...one decade atleast....and maybe more....

    ReplyDelete
  15. Hi Rajeev,
    once again nice article on Indian & US education.
    And also the point of delays in Infra projects.
    I personally avoid all direct Infra companies because of the delays and the black money need to give to acquire the land and to politicians.
    But as per your suggestion I have taken L&T, which is indirect Infra-play and need not do the above things.
    Actually I am a bit late, but about RJ's interview which are the stocks in Agriculture sector you are bullish on?
    I studied few of agro-chemicals and found out 2 value buys. One is Insecticides India and other one is excel crop care.But these are only value buys.
    Do you see any potential multi-bagger in agriculture sector?
    And if you track what about Jain Irrigation?(overvalued at present, but my broker says its the next Infosys?)
    With Regards,
    Vikas

    ReplyDelete
  16. Hi Rajeev

    do you think its worth holding cronimet.
    also jindal drilling is going to demerge its business , looks like it shud be beneficial for the company. wud appreciate ur comments.

    thanks
    ravi

    ReplyDelete
  17. Hi Rajeev and KK,
    As KK pointed out that wealth is not the problem of this country and yes that's true. This problem is not only in india actually its everywhere. Its not that developed countries do not take bribes or always follow a value system. Its the way that we see things that makes the difference. The mentality to run after money mindlessly was introduced to india by foreign countries only(Britain) and now its resumed by USA. Can you tell me what's the need for Ratan Tata to earn money at 70+ age. He has already accumulated thousands of crores that can feed his next 7 generations in 7 star hotels without working for even a single minute. He works more than 10 hours a day to do this. Or take example of Warren buffet, ambanis, etc etc. People just earn like a score card. Just keep increasing the score mindlessly without understanding that we started earning money to lead a peaceful life and not to fill a score card. These people undergo lot of tension and painful time to increase these score card. God knows for what they are earning. They can atleast give way to other aspiring enterpreanuers and help build economy, build people. There was a time in india when ppl used to pray "Sai inta dijiye jame kutumbh samaye, main bhi bhooka na rahun, sadhu na bhuka jaye" (kabir's dohe). But things have changed now, infact contaminated by foriegn powers. "Sirf mera pet bhara rahe, baki sab bhuke mar jaye". Bhagwan ka naam lene ki umar me paise ke piche bhagte hain. But this does not apply to middleclass as if he stops earning, his family will come to an end. I am talking only about those who have accumalated thousands of crores and who do not need to earn anymore. They can do service to the country instead of running behind money. Today USA is flourishing because there are still resources left to be exploited but when they get over then it will understand the value of "Values", Indian values that it spoiled. To me India knows the highest number of species, humans, animals, birds, etc etc because its value system cares for every life but USA knows only two species, "Seller" and "Buyer", rest all are products. If someone is ready to buy animals, they will kill it and sell. Tomorrow if someone will ask for humans, they will find out a way to do that also, there are plenty of resources in the name of somalia, brazil, etc. Believe it or not, india flourished because it had a system in which they used to give back everything whatever they got from nature and that's why it always had abundant resources whereas today's capitalism believes in exploitation of natural resources and since its available in plenty we are not feeling the pain at present but definitely our future generation will feel for our deeds. I think this values is what we lack and not a Stanford degree.

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  18. Dear Rajeev,

    An article in todays Business Line.

    Sujana Towers eyes expansion abroad

    Sujana Towers Ltd (STL), part of the diversified Sujana Group, is scouting for overseas contracts even while being upbeat enough about opportunities in the domestic market to set up a design centre in Hyderabad.

    Its strengths of being an integrated manufacturer of steel structures and having a large installed capacity of 2.28 lakh tonnes per annum place it in a good position to execute big projects in the telecom, power infrastructure building and balance of plant business in the power sector, said Mr Y. S. Chowdary, Chairman.

    STL recently commissioned a tower manufacturing plant at Khanapur in Medak district, which should be the single largest facility in the country. Another plant is at nearby Bollaram, while it has taken a cable factory on lease at Patancheru again in Medak district, he said.

    Having established businesses in Kenya, Zambia and Malawi in Africa for telecom, STL is setting up a subsidiary in Dubai to get into executing EPC contracts and has Digitech Business Systems in Hong Kong for sourcing hardware from China. “We are also exploring options in Sri Lanka,” Mr Chowdary told Business Line.

    Design Centre

    The Design Centre in Hyderabad will focus on CAD/CAM design and software for logistics management of the tower business, which is quite complicated. Some 55 types of components go into a tower. A 1,200 kV tower testing facility is also in the offing.

    With the design capability the company would be able to provide the entire gamut of operations from design to execution.

    Already, it manufactures and supplies the entire requirements for the transmission line up to 765 kV and controls the total supply chain, he explained. STL manufactures galvanised steel towers used in power transmission and telecom sectors.

    National Grid

    The Rs 700-crore turnover STL sees major opportunities unfolding for it from the national grid initiative being driven by NTPC, NHPC, and PowerGrid.

    When fully operational in 2012, the grid is expected to have a total inter-regional transmission capacity of 37,150 MW. During the XI Plan an investment of Rs 1,40,000 crore has been planned for the transmission sector.

    The existing demand-supply gap and projected addition of thousands of MW of energy in the next five years to drive the economic growth implies considerable opportunities and STL is well prepared to take advantage, Mr Chowdary said.

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  19. Dear rajeev

    I appreciate your ideas about education system and agrees to the differences in india and America.We indians have a unique way of thinking,life style,beliefs...You cannot compare with mighty Americans. Yes, I do agree with the negative parts in our educational system. For thousands of years we follow a system which enables to view the world in a uniqe way, We are indians,and we should be INDIANS.

    Vishnu R Nair

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  20. Dear Rajeev

    Your opinion about Jai Balaji Industries.
    It is eying a huge Expansion plan for a market cap of 16000Cr by 2014(According to Chairman)now their market cap of 1400Cr.They are looking for foreign partners for JV to their dreams. How you feel, this is going towards "A Gaint in the Making". Over the next few months expect the commissioning of power plant,coke oven plant,rolling mills,pallet plant and ductile pipes.The company is doing everything that it can to make itself a company to reckon.A big giant in the making.
    Please convey your opinion.

    With lots of regards

    Vishnu R Nair.

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  21. Vishnu,
    I appreciate your love for India and I being Indian I also love my country.
    But my concerns of student who are not studious and not intelligent is not taken careof.
    Seems you are an IIT or IT Eng or IIM or CA and have great job.
    You will never understand what it means to live a mediocre life in India....
    Makes no sense to stick same old system which is now not fessible in this present time....
    I again write, those who are having an excellent job or business, do not know anything what is meant by a simple mediocre life...where your father gets ill and no money to pay for Hospital and hence cannot get admitted to hospital or due to lack of money you are not able to buy nutrient foods or not able to but something for son or daughter..
    We Indian wants to remain in same way so that we have better life and the down and trodden remains like that forever..That is our mental attiitude.
    Everything that happens good should happen with me and my family we don't care for others...We say we care for our family and relatives...can anyone tell me how many of us helps monetarily to their close relatives and friends when needed?.......

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  22. Dear Vishnu,
    Jai Balaji MD claims of major expansion and while looking at that looks good.But seems to me at 200 it is fully priced and just a setback in sentiment it can further go down as the p/e is high....though I do not track it....but some of my friends are recomending it to me...

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  23. Vikas,
    I have already recomended Excel Crop long time back @115, then also Sabero Organics @35, Aries Agro @50.....

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  24. Hi KK,
    The main reason for this decision is due to the fact that many Cos is very closly held but it will not create any negatives on market as there are very less Cos where the Promo holding is over 75%.

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  25. ravi,
    Jindal Drilling looks excellent stock for LT investment.
    Cronimet looks good and can be still held on.

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  26. What I feel is that our education system is such that it only creates clerks mentalty. As we are still going on the system which Englishmen created when they want rule india. We are still very far of innovation or we dont want to. The fear of failure never allow us to do innovation and this attitude is everywhere in india.

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  27. Dear Rajeev

    let me introduce myself. I am a civil Engineering graduate working in a consultant in Bangalore. I do feel our system is not perfect.What i feel our educational system become a business,a profit making corporate business
    My family is a small middle class one having anual income of around Rs 300K. It is hard to maitain a life.I studied Engg in Government fees (Only Rs.2000/yr in 2001) now it is Rs 34000/yr. What about the other expenses.
    I agree with you that good quality education we need & universities should come here.But unfortunate thing is,only the above middle class will benefit from this.
    In Bangalore or anywhere in india, you will see children having 10 to 15 years working in restorents, shops etc.What about them.
    I have gone through a hard time to learn something and I know how hard it is to realize your dream
    I hope Indian government act accordingly.

    regards
    Vishnu R Nair

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  28. Rajeev,
    I have seen this first hand. In the place I came from i.e Kerala, everyone wants their son to be a doctor or engineer so that he gets a job in Bangalore. Lot of kids do basic degree courses ( Maths ,Physics) are considered less intelligent and are ridiculed, or looked at with sympathy.

    Nobody want to learn. Everyone want to be first in the rat race!!

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  29. uno,
    The main reason simple graduate are not given respect is because simple graduate has very average salary.India nees to create jobs and the payscale should be high for them as well.
    I have a nephew in USA.He is just a simple BS and after 2 yrs as Sales officer he has become the manager.....and that too when the economy in USA is slow...he is in Citi Bank....now can u imagine a simple graduate in India can go uplike this....in such a short time?

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  30. hi Rajeev Sir,
    So correct and so real your article that I am amazed to read this article .By this our other knowldge is also improved.By doing this I dont know how great serrvice you are doing .But I love to read your articles so much .Keep in touch.With due respect and regards.
    Mahesh vakharia

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  31. Hi Rajeev,

    I am unable to paste my writeup why I dont know .Anyway a very informative artilde which only says about you are widely read.With due respect and regards
    Vakharia Mahesh

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  32. Rajeev,
    You are correct. the maximum job that they could end up getting will be some Clerk job in a PSU. How wouldn't they be corrupt when they see those IT crowd spend money like anything.

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