China and India


Considering China's Automobile Sector, China's passenger car market is expected to reach 3 million in current year.

Chinahas the world's largest base of cell phone subscribers which amounts to 350 million.

Foreg: Motorola

Mostof itsHardware are fit together & partly design in China.

To remain competitive in other market Motorola company have decide that they must try to make china one of the best nation.

o In the sources of innovation china has become one of the world's most productive sources such as in computer graphics and language simulation.

o Considering Financial Crisis, China's large domestic savings kept them able to pay one's dept despite huge quantity of bad loans to state firms.

o For the past two generations china has been growing 9.5% a year.

o As compared to India china has huge progress in every field.

China owns the weight and dynamic power to change the form of 21st century of global economy, as compared with America.

o China always has more power to persuade over investment as compared to India.

o China is one of the very few country building multibillion dollar, electronics and heavy industrial plants and it will also stay accurate in mass manufacturing.

o In the pacific US prevailing will be likely challenged by china's military power.

o China is more over showing its interest in Middle East and Africa.

China's contribution to innovation will grow because china is already making medicine and materials which will help everyone because china has got brains which can solve all technical problems at any amount of cost.

In few years we will see that china is going in upward direction in CONSUMER ELECTRONICS. This nation will become leader in CONSUMER ELECTRONICS TRENDS.


o India has very high standard in technological sectors & services as compared to China.

o India owns the weight and dynamic power to change form of 21st century of global economy as compared with America.

· India always tries to keep its standard high in software designing and precision industry.

· India's contribution to innovation will grow because India is already making medicine and materials which will help everyone because India has got brains which can solve all technical problems.

As compared to china Indian companies are making more profit and its banks are also in better shape.

In Middle East and Africa India is more authoritative and it also shows more interest.

o One of the American counter parts named as Cisco's Steinman puts it “Wecame to India for the cost but we stayed for the quality, & we are now investing for the innovation.

By mid-century the gross domestic product of dollar 30 trillion, India will rank just behind US as the world's third economy.

India also has modernized legal institution, modern stock market and private banks and corporations.

Hence to conclude there are many innovation implications for the leading developed nations concerning CHINA and India's rapidly escalating capabilities.

BIBLOGRAPHY/REFRENCE-Pete Engardio,”crouching tigers, Hidden Dragons,” Business week, August22/29, 2005, 52-61, PG-169,170,171, 172,174,176.

1. Evaluate the evolving balance of economic power shift from the west to east.

Since centuries the west has been super imposing their power onto the diff parts of the earth. Being super powers and inventions of technologies in the west it brought to industrial revolution in England. As a result of this there came a growth and establishment of industries. After certain period they realized about the need for establishment of new setups apart Europe and America. It was then that brought new industries in Asia.

In modern day amongst all the Asian countries India, china and Japan are the most dominating and powerful emerging markets over the world. Due to the availability of resources and manpower these Asian countries flourished with industries along with the use of modern technology. Japan and China being the most power nations in the inventions of new modern day technology and India being a hub for resources brought to uplifment of these nations.

Development in economic status of the Asian countries and rise in the standard of living of the people in these nations brought them in pace with the west in all walks especially in the economic zone. Today in modern day in the matter of finance Asian countries are one of the most sustained nations with good reserves. Many multinational companies have shifted their hub from the west to these East Asian countries. Now the so called west super powers are now dependent on these nations even on economics. In other words the power of money and position is gradually shifting from the west to east making these Asian countries the super powers in few years hence. This is the evolving balance economic power shift from west to east

2. What are the potential market opportunities for china and India? Also discuss the future competitive threats of china and India for industries in developed countries?

India and china both are emerging in very efficient way…

They both are emerging markets. They stood out boldly with their process of development say around 1950. Under the chairman of MAO china set up on a firm as an independent tribunal in 1949. Soon they were originated with collectivization of agriculture and also land reform. Also with the change in agricultural sector china also began the journey of economic progress for the country. In very same way if we talk about India,India became an independent tribunal in 1947. India has set up the firm of economy under the five year plans. This was unexpectedly preceded under xi five year plans. Globally if we see India and china both are famous and very huge countries. They both are the world's largest 1 and 2 countries in population size. But yes of course they both differ in political system. Now for example let's talk about tradition. No country can compete India for its tradition. India always had the tendency to adopt democracy and it has the world's largest democracy. India has also set up with good democratic institutions and traditions. China on the other hand followed a system which was of or relating to a centralized government in which those in control grant neither recognition nor tolerance to parties of differing opinion with no political and economic liberty. Under the process of becoming international in scope, though economic condition is in favor of progressive, it was introduced, political freedom is yet to be introduced. In the progress of becoming international in scope, there was drastic change in 21st century .it was considered that these two countries as emerging market economies and future economic super powers. Some economist had foretell i.e. some future event had been discover that china will be at the no.1 position in economic super power. Some of the economist also had the same expectation about India. India and China both the countries have to come overcome the fear and they had to handle many tasks. The tasks were such as poverty, unemployment, corruption, low productivity and tradition and some regional conflicts… for India some religion conflicts and social problems were additional tasks. At present, china is ahead of India in manufacturing department. India has always tried to perform the best in service sector, especially in IT sector, because of its benefit in English language it has performed well with its skilled labor force. India has the most useful benefit in their service sector. By taking the power over the nuclear deal, India had globally proceeded to encourage to their success. It was said by many political leaders and economists that these two most famous countries should not get involved into any competition where every motive is considered as china vs. India. It was suggested that these both countries should have cooperative spirit which would give advantage not only to both these countries but also to the neighboring countries as well as the rest of the world. They should generously work with each other, keeping the competitive spirit in their minds. By mid-century china will be overtaking US as no.1. Till that time china and India could account for almost half of the global output. Indeed there is Russian vehicle drawn by three horses abreast of china ,India and the U.S -the only industrialized country with an important conveying meaning of population growth-the most projections will be much below normal size for every other economy .In few years CHINA will take control in mass manufacturing and is also one of the few country building multibillion-dollar electronics and heavy industrial plants .India is coming up with its power say in software designing, services and slow movement of axis of industry around another axis. This brings up a tending to provoke anger question; what if the two nations merge into one huge nation it will be called as ”CHINDIA”. Enemies of these two nations politically and with economic determination to the success will definitely make that doubtful. But if their industries will try and truly team up, than they will definitely over take the world's tech industry.

This how we have given small summary about the potential market opportunities and future competitive threats.

BIBLOGRAPHY/REFRENCE-MANAN PRAKASHAN, June-2008, Economics of global trade and finance, Pg-322,323.

BIBLOGRAPHY/REFRENCE-Pete Engardio,''Crouching Tigers, Hidden Dragons'', Business Week, AUGUST22/29, 2005, 52-61, Pg no.-170.

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