Thursday, October 10, 2013

US shutdown: A blessing in disguise, if realised!

A political logjam between the Democrats and Republicans in America is a great opportunity for the Indian economy to focus on the fundamentally strong domestic market. Though majority of opinions and views circling in the virtual and print platforms outrightedly mark this event as a temorary euphoric phenomenon which translates into dropping of easy money in the economy but this occasion can be used to strengthen our reach in the domestic market.

In times where government policy framework mechanism is in bad shape and foreign investors are shying away from long term investments ('Walmart' the latest example ) its the appropriate time for the entrepreneurs to capture a stable market for their products and then expand their reach internationally. Heavy reliance on bigger and matured economies like America and Europe is highlighting the incresed volatile bottom lines of the company threatening the going concern phenomenon.

This shutdown is an appropriate event which should force the government to think about the fundamental policy alterations which can make it easy for an enterprise to survive and give masses an incentive to increase their dependence on domestic manufacturers. On the other hand its the desi and foreign entrepreneurs who need to focus more on domestic markets for stability and desired sustainablity.

Relying on export boom and dampening imports is not a sustainable existence formula neither does the debt raising mechanism. So its quintessential to have stability for existence which can be garnered through capturing the ever growing stable domestic markets.

Now its upto the government and entrepreneurs to either cherish the temporary boost or develop a perrenial existence. Looking at an event in what way would diffrentiate the prudent from the  mass.