Dragon vs Tiger- Emergence as a Global Leader- NAGA
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Transcript of Dragon vs Tiger- Emergence as a Global Leader- NAGA
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Dragon vs Tiger- Emergence as a
global leaderPresented by
Naganathan.R
MBA
SAVEETHA
MANAGEMEN
T SCHOOL
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Contents
China and India- Economies at a glance China and India: emerging global economic
players
Sino-Indian relationship Military might of India and China
Strengths and Lessons of India and China
CHINDIAS Pre-conditions for a peacefulglobal power transition.
Conclusion
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Sino-Indian relationship
Relations between China and India date back to
ancient times. China and India are two of the worlds
oldest civilizations and have coexisted in peace for
millennia. Trade relations via the Silk Road acted aseconomic contact between the two regions.
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Sino-Indian relationship- Some
milestones In April 1954, India and the PRC signed an eight-year agreement on Tibet
that set forth the basis of their relationship in the form of the Five
Principles of Peaceful Coexistence (or Panch Shila).
October 20- 21 November 1962, War intensifies between PRC and INDIA.
India and the PRC renewed efforts to improve relations after the SovietUnion invaded Afghanistan in December 1979.
In 1984, squads of Indian soldiers began actively patrolling the Sumdorong
Chu Valley in Arunachal Pradesh.
in July 1994, the two sides agreed that border problems should be
resolved peacefully through "mutual understanding and concessions." InOctober 2009, Asian Development Bank formally
acknowledging Arunachal Pradesh as part of India, approved a loan to
India for a development project there.
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Military might of India and China
Capabilities CHINA INDIA
Total Population 1,330,044,544 1,147,995,904
Military ManpowerAvailable
729,323,673 584,141,225
Reaching Military Age
Yearly20,470,412 22,229,373
Active MilitaryPersonnel
2,255,000 1,325,000
Active MilitaryReserves
800,000 1,155,000
Active Paramilitary 3,969,000 1,293,300Total Air-Based
Weapons1,900 1,007
Total Land-BasedWeapons
31,300 10,340
Total Naval Units 760 143
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Capabilities CHINA INDIA
Towed Artillery Systems 14,000 4,175
Merchant MarineStrength
1,822 501
Major Ports and
Terminals
8 9
Aircraft Carriers 1 1
Destroyers 21 8
Frigates 42 16
Submarines 68 18
Patrol Coastal Craft 368 43
Mine Warfare Craft 39 12
Amphibious OperationsCraft
121 7
Defense Budget /
Expenditure$59,000,000,000 $32,350,000,000
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Very high economic growth, large internal market Very high savings and investment rate
Excellent at tapping into global knowledge throughdirect foreign investment and Chinese Diaspora
Becoming worlds manufacturing base Very large supply of excess labor will continue to give
it low wage advantage
But moving rapidly up value chain from laborintensive to more technology intensive exports
Efficient export trade logistics Critical mass in R&D is beginning to be deployed to
increase competitiveness
Strong investments in education and training
Government with strong sense of national purposecjd
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Jumped from traditional rate of 2-3% growth inpast decades to 6-8% last decade
Strong science and engineering capabilitiescentered in chemical and software areas
Is becoming worlds service center for softwaredevelopment and back office offshoreoutsourcing
Is also becoming center for contract innovationwork for multinational companies
Has large critical mass of educated, skilled, andEnglish speaking knowledge workers and canincrease this stock
Has network of successful Indians in US andEurope providing links to markets, technology,and finance
Relatively deep financial markets Is strengthening export orientation, and seeking
strategic alliances, but strength is limited moreto intangible trade rather than tangibles tradebecause of high infrastructure and regulatorycosts
cjd
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Importance of nation state in
developing long term strategy for country, providing stable macroeconomic framework,
pragmatism in transition to market economy
developing an institutional means for development to take place
focusing for several decades on the importance of education and
science and technology Importance of integration to world economy and of trade in goods as
engine of growth Very effective use of direct foreign investment to move up technology
ladder
Strong investments in human capital as fundamental step to make thetransition
Effective use of Chinese Diaspora in high tech parks and to bring intechnology and access to markets
cjd
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Importance of investments in high level technical,scientific, and managerial capital through network ofIndian Institutes of Technology and Indian ManagementInstitutes
Importance of turning brain drain to brain gain by
harnessing Indian Diaspora in global high tech industry Importance of moving from self-reliance to greater
international integration to accelerate and sustain growth
Importance of improving the whole legal and regulatoryenvironment to stimulate greater innovation and get more
out of growing critical mass of resources allocated toR&D
Importance of tackling necessary reforms in regulatoryregime and improving infrastructure and education to
really emerge as major export powercjd
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PRE-CONDITIONS FOR APEACEFUL
GLOBALPOWER TRANSITION
Much of China s dazzling newinfrastructure was built in the
late 1990s , and India is gearingup to the repeat thatperformance in the latter part ofthis decade .
Foreign inflows into Chinajumped substantially in the early1990s ,and those into India have,as was to be expected, jumpedin the mid-2000s.
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Good education and healthfacilities are necessary for
inclusive development they arestate subjects in India ,in chinaalso , local government has alarge share of the responsibilityfor their provision.
The Chinese culture is morehomogenous , while India hasgreater diversity.
India's greater expertise withmarket also shows in thefinancial sector, which is moredeeper and more robust then
Chinese counterpart .
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The two countries can develop similarposition on international negotiations to
counter pressure from lobbies that wouldmake developing countries bear much of thecost of moderating the climate changecreated by current develop nations.
At the same time , promoting technologyand renewable energy based solutions willmitigate the need for intense futurecompetition over China
The moment we realize the tusker nature ofINDIA, we would have a better prospective
over the mythical dragon.
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