Cover Story

When a slowdown is good news
The advertising industry has little to complain about as a host of marketers attempt to spend their way out of trouble.

Concrete game plan
Grasim is cutting costs to ride out the soft demand conditions.
Riding the downturn
Real estate tastes the slowdown earlier than other sectors, but as leader DLF shows, there are ways of managing it.
Debt, be not proud
Tata Power has a way to ease the high interest burden in this capital-intensive, loan-hungry industry.
When investors turn shy
Motilal Oswal is learning to ride the rough with the smooth.
At every cost
Investing for growth and trimming expenses go hand in hand for Samsung India.
The elephant learns to slow dance
After five years of breakneck growth, ICICI Bank eases its foot off the pedal.
Two-wheel drive
Even as it seeks to attract new classes of buyers, Maruti Suzuki India is taking a close look at its cost structure.
People power
Rather than being a drag on its performance, TCS’s 100,000-plus workforce could prove to be its trump card.
What slowdown?
Railways, ship-building, power…L&T has enough irons in the fire to keep the growth embers burning.
Tips on how to manage the slowdown
Here are seven tips on how to manage the slowdown.

2008-10-05

Digital

SUBSCRIBE NOW

Editors note

From the Editor

Over the past fortnight, Business Today reached out to key industry leaders to learn from them how they are managing the slowdown-present or prospective, severe or slight. The lessons we learnt from them are interesting and instructive.

BT More

All hail the sunday brunch

It’s the king of all meals. It’s the pinnacle of your weekend. We check out the best Sunday brunches that our metros have to offer.

A matter of estates

They were once overpriced and boringly designed, now they’re trendy, utilitarian and even sporty. It’s time to take another look at the estate.

Tipple all the way

We met Abhishek Khaitan, the MD of the liquor giant Radico Khaitan, for a chat, and discovered a cheerful young man who is having a lot of fun with spirits, music and cars as he builds an empire to be proud of.

The holy grail of wine

With the new global cuisine breaking the psychological barriers, the business of wine and food pairing promises to unravel in its own unique way.

Vijay Singh is king

The two Singhs played together at the Masters last year. While Jeev fought hard to put up a good number, Vijay showed why he is one of the best players in the world.

The kebab route

You’ve heard of the Silk Route and the Incense Road. We take you on an altogether meatier journey of discovery.

The joys of a cold meal

There’s a new trend in oriental salads, but the best stuff is off the menu.

Power play

Come 2009 and there will be a flurry of new motorcycle launches with two things in common—gut-wrenching power and a hefty price tag... We put these beasts through their paces so you will know what’s the right fit.

The world down under

The great barrier reef is not a holiday for the fainthearted. but if you want to kiss a stingray and swim with a turtle, it’s the only place in the world.

Autumn sonatas

Many legendary musicians are also adept at scoring haunting and intriguing movie soundtracks. This has been an unusually good year for such outings.We take a look at a couple of them.

More champagne!

Champagne punctuates the happiest occasions in our lives, and it’s arriving in India in a big way. In this special feature, we show you how to truly appreciate the beauty of bubbly.

Brand new buys

From luxury gizmos to exquisite tableware, there are a lot of goodies in the stores to tantalise you this fortnight.

On the boyle

In the Nineties, British director Danny Boyle re-invented the cult movie. In this decade, he seems to be doing the same with Sci-Fi. We take a look at two of his films now available on DVD.

The changeling

Worried that the stiffness of your suit and tie will prevent you from going to the party in the evening? welcome to the world of the versatile wardrobe.

A matter of estates

They were once overpriced and boringly designed, now they’re trendy, utilitarian and even sporty. It’s time to take another look at the estate.

Know your bubbles

To properly enjoy a champagne lifestyle, it helps to get the basics right first. Our resident expert, Sourish Bhattacharyya, has this brief tutorial. Are you sitting comfortably?

Six champagnes to have before you die

The Prices may test the weak-hearted, but these bottles are about as good as they get. And every one comes with lore attached. Cheers!

Artistic asanas

Kareena Kapoor swears by it and so does Bipisha Basu. What is it about Artistic Yoga that has these celebrities hooked? We decided to check it out for ourselves.

Fox in the box

When India’s football team qualified for the Asia Cup for the first time in 25 years, it marked a career high for the captain, Bhaichung Bhutia. We ask him about success, heroes and his lucky number 15.

Trends

Still hard to be bussinessman in India

According to the World Bank’s Doing Business 2009 report, India is not just ranked 122nd in the world, but fares poorly in South Asia too. Excerpts.

Market dips again

IT spending to hit $110 BN in 2012

End-user spending in information technology in India is expected to grow at a CAGR of 14.8 per cent and generate $110 billion (Rs 4.73 lakh crore) revenues in 2012.

Just wondering...

What happened to Anil Ambani’s mega power project in Dadri? Reliance Power’s 7,480 MW gas-based power project has made no progress beyond acquisition of land and statutory clearances.

Numbers of note

Oil at $100; now what?

Lower crude prices is good news, but don’t count your blessings yet.

Instant tip

The fortnight’s burning question. Is the inflationary trend in the indian economy beginning to reverse?

There will be a shakeout soon?

On a short visit to India, Jonathan Spink, CEO, HBO Asia, is amazed at the rash of television channel launches that are taking place here. He met Business Today’s Shamni Pande to discuss HBO’s plans in India.

Economy watch

The government plans to add 78,577 MW of capacity during the 11th Five-Year Plan but coal shortages and rising input costs will make the target difficult to achieve.

What does Rahul Bajaj mean? You judge

“It’s a very unfortunate thing that has happened in Singur, but I don’t think that there will be any long-term effect on India’s position as an investment destination” September 3, 2008

Talebearer

The government finally extended the ban on futures trading in four commodities—soya oil, potato, rubber and chana.

How times have changed

“Be bullish. Given today’s operating conditions, the Sensex will touch 5,000 over the next one year” Jyotivardan Jaipuria Head of Research, DSP Merrill Lynch September 22, 2003

Now, heartburn over falling rupee

There is no way you can escape the high levels of volatility in the rupee rate.

To be precise

“We can’t teach management in our classrooms and then be incapable of running a self-sufficient institution ourselves”Samir Kumar Barua, Director, IIM Ahmedabad, in Mint

Nuclear fallout

Skeptics might argue about potential benefits of the mush hyped and storied nuclear deal. However the deal crossed two critical hurdles last fortnight and awaits a third. The private sector is awaits salivating at the business prospects that may emerge it will, nevertheless, be a slow and steady grind towards vibrant nuclear commerce. Here is an opportunity list

6 Things you can buy for the price of an iPhone

Apple’s iPhone, priced at Rs 31,000, may make you swagger, but as BT discovered, you could look smarter, listen to music, watch movies on a TV, shoot pictures and print them out for the same price. T.V.

Money

Powering ahead

The engineering sector is bursting with order flows, notwithstanding the economic crunch. Time to add them to your portfolio.

The tough get going

A beaten-down market, falling asset prices, and a negative real return are hurting investors. How should you ride out the storm?

What to do with your ULIP?

With the stock markets going nowhere, ULIP schemes are struggling. ULIP corpus has taken a hit, but don’t get out of it in a hurry. We tell you why and how to stay up for the long-term.

Back to the gilt floor

Investors can benefit from rising yields of government securities for medium-term gains.

A matter of dividends

Should you opt for growth or dividends from a mutual fund?

The see-sawing investor

A new study reveals the impact of volatility on investor behaviour in India.

Turning sweeter?

Sugar stocks are surging ahead on the back of improved demand.

Features

The flight abroad

Vijay Mallya cannibalises the Deccan brand as Kingfisher spreads its wings abroad.

Bangalored redux

Like John Kerry four years ago, Barack Obama is another US Democratic presidential candidate who appears to be threatening to put a spanner in IT outsourcing. Is he serious? The Indian industry, however, feels it is a mere political rhetoric as there are not enough skilled resources available for IT in most of the advanced nations. T.V. Mahalingam reports.

Back from the dead

Whirlpool, written off as a has-been till as recently as five years ago, has scripted a remarkable comeback.

Plotting trouble

A majority of the “happy” farmers in Singur feel the Tatas are not being unreasonable in opposing relocation of vendors, while the angry farmers are equally split on this issue.

Singed by Singur

As the Tata Motors drama plays out, should West Bengal worry over future investments?

Dell's designs

After enduring a tough couple of years, hardware giant Dell India is set to become both the fastest geography within the company and fastest tech MNC in the country to cross $1 billion in revenues. Can it make the good times last? Rahul Sachitanand tells us how the company re-invented itself in India.

India Inc.'s new hedgers

ITC, Godrej and the Essar Group are among a host of new corporate hedgers, and many of them have actually taken up memberships on domestic bourses like the MCX and NCDEX. Why are they getting into this slippery terrain? A report by Anand Adhikari.

Jobs

IT's testing the new waters

Demand for software testing professional is soaring.

Lost in transition?

Mergers and acquisitions (M&A) have become a way of life for India Inc. However, changes in designations, career paths, working in new departments and fear of working with new teams are major concerns that can make or break the post-merger integration process. Here's a low-down by Manu Kaushik on what’s there for you in an M&A.

Noted

To steel tycoon Lakshmi Niwas Mittal, the Lifetime Achievement Award for embodying and exemplifying the ideals of free enterprise and entrepreneurial capitalism, by American business magazine Forbes.

News Maker

D. Subbarao, Governor, Reserve Bank of India

Duvvuri Subbarao was appointed the 22nd governor of the Reserve Bank of India on September 1, 2008, and took charge of Mint Street from Y.V. Reddy, when his term ended on September 5. Subbarao, 59, an IAS officer, topped the batch of 1972 and belongs to the Andhra Pradesh cadre.

Policy Watch

Market reforms on the anvil

Stock market regulator securities and exchange Board of India (SEBI) is pushing ahead with market reforms. It is now keen to make the rights issue process simpler.

Bridging the revenue shortfall

The government is desperately trying to bridge the revenue shortfall created by social sector schemes like the National Rural Employment Guarantee Scheme. And it’s now coming up with novel ideas to raise resources.

Top Mind

IPTV:Coming soon near you

BSNL will roll out its IPTV (internet protocol television) across 20 cities initially and expand this service to 100 cities by December this year

Wanna play God? play spore

It is the year’s most anticipated video game on the PC (and mobile).

Treadmill

Better health through technology

When IT comes to healthcare, the role of technology is to provide greater control over your health by using available information for your overall benefit. Check out some of today’s hi-tech medical procedures.

Boost your bench press

The bench press may be the most basic of gym exercises, yet, few guys achieve the results they really want. Those who manage to lift heavy, accumulate mass, but often lack the definition on the chest that makes this Vanity Muscle #3 (after abs and biceps) truly one to admire.

Reporters Diary

No rush for retail

Oddanchatram market is the largest vegetable market in Tamil Nadu in terms of direct procurement from farmers. Major retail chains have set up centres here to feed their outlets across south India. However, these large retail chains have not been able to make a dent on the dominance of traditional buyers. N. Madhavan finds out.

Printed Circuit

Happy Birthday Google

It seems remarkable to think that Google is only 10 years old, because the web search giant seems to have been around forever. But in a decade, Google has shaped the way we spend time online—from the way we search, use email (GMail) and now, even the way we collaborate with documents thanks to Google Docs.

In This Issue

Lessons from the backwaters

Kumarakom, a dream destination situated on the eastern coast of the Vembanad Lake in Kerala, hit a rough patch a couple of years ago as the locals were losing stake in the tourism boom. It was Kerala Tourism's "Responsible Tourism" programme that re-linked them to the stakes from tourism. A report by N. Madhavan.

Indian Microsofts in the making?

Indian IT firms have largely given products the miss. But now, a host of start-ups are aggressively launching innovative products that are finding a ready market. Can an Indian company one day launch an MS Word? Suman Layak finds out.

Managing the slowdown

The economic downturn is a reality, though its impact is varied across sectors. India Inc.'s top players are devising strategies to drive growth—in investments and in volumes—in tougher climes.

The new Companies Bill demystified

Critics believe that the Indian Companies Act 1956 is unwieldy and too complex. A new Act to replace the archaic law governing India Inc. will become a reality once the new Companies Bill, which has been approved by the Union Cabinet, is passed by Parliament. Rishi Joshi brings you the key points in the Bill.

We're not out of the woods yet: David M. Darst

With his experience at two of the largest Wall Street banks, David Martin Darst, a Managing Director of Morgan Stanley, is well placed to explain the crisis in the US financial markets (Darst was also with Goldman Sachs). One of his recent works, The little book that saves your assets, has been acclaimed as an encyclopedia on asset allocation strategies. On a recent visit to India, Darst met BT’s Rachna Monga.

Current

Bitter-sweet times

New markets blossom for IT but traditional strongholds slump.

Piping hot energy

Tata power co has the wind and the sun in its hair—and is also getting steamed up by ideas of pouring water on hot rocks to get free electricity—as it eyes global ambitions based on clean power. It acquires stake in an Australian geothermal co.

Mining away the gains

esurgere Mines and Minerals and Austral Coke & Projects, which operate in the out -of-favour commodities space, recently had a spectacular debut on the stock markets. The spectacular rise & fall of two mining stocks raises hackles.

The 3G rat race

MTNL and BSNL have the firstmover advantage.

Fiat's man of the moment

Sergio Marchionne is now betting big on the Indian market. He is excited about Fiat’s propects in India, where its vehicles are marketed and distributed by Tata Motors.

Sonata's symphony

The Titan unit is targeting a price-conscious segment. Its latest launch, Super Fibre is a step in this direction; with products all priced below Rs 550, it’s targeted at the booming youth segment in semi-urban and rural India.

After Lehman, who's next?

That’s the trillion-dollar question, as the global financial system teeters.

Teething troubles?

Bangalore’s spanking new international airport would have been, in many ways, an important milestone. Only, the project now finds itself in the midst of a simmering controversy.

N-power It is!

Promoters are preparing to generate nuclear energy.

Getting a makeover

The Vedanta group restructures to boost operating efficiencies. The exercise is an attempt to reduce cross holdings and pare costs.

Editorial