PRESENTATION OF ECONOMIC ENVIRONMENT ANALYSIS

BY MEGHA BAJAJ (MBA 2YEAR)

MEANING OF PUBLIC LIMITED A company whose securities are traded on a 

stock exchange and can be bought and sold by anyone. Public companies are strictly regulated, and are required by law to publish their complete and true financial position so that investors can determine the true worth of its stock (shares). Also called publicly held company. Public limited company and its abbreviation Plc are commonly used in the UK in the way that corporation and Inc. is used in the United States.

TEN EXAMPLES OF PUBLIC LIMITED AIR INDIA CHARTERS BHARAT ELECTRONICS LTD. BRITISH INDIA CORP. LTD. CEMENT CORP. OF INDIA COAL INDIA LTD. ENGINEERS INDIA LTD. FOOD CORP. OF INDIA GAIL LTD. HINDUSTAN COPPER LTD. HMT LTD.

MEANING OF PRIVATE LIMITED COMPANY

A type of company that offers limited liability to its shareholders but that places certain restrictions on its ownership. These restrictions are spelled out in the company’s articles of association or bylaws and are meant to prevent any hostile takeover attempt.

The major ownership restriction are: (1) shareholders cannot sell or transfer their shares without offering them first to the other shareholders for purchase, (2) shareholders cannot offer their shares or debentures to the general public over a stock exchange, (3) the number of shareholders cannot exceed a fixed figure (commonly 50).

20 EXAMPLES OF PRIVATE LIMITED RELIANCE INDUSTRIES LTD. TATA CONSULTANCY SERVICES INFOSYS TECHNOLOGIES LTD. WIPRO LTD. ITC LTD. HINDUSTAN LEVER LTD. ICICI BANK LTD. TATA STEEL LTD. RANBAXY LABORATORIES LTD. HDFC BANK LTD.

CONTD…

TATA MOTORS LTD. LARSEN AND TOUBRO LTD. SATYAM COMPUTERS LTD. MARUTI UDYOG LTD. BAJAJ AUTO LTD. HCL TECHNOLOGIES LTD. HERO HONDA MOTORS LTD. JET AIRWAYS CIPLA LTD. GRASIM INDUSTRIES LTD.

MEANING OF GOVT.COMPANY A public enterprise incorporated under the Indian

Companies Act, 1956 is called a government company. These companies are owned and managed by the central or the state government. According to Indian Companies Act, 1956, a government company means "any company in which not less than 51 percent of the paid up share capital is held by the central or by state government and partly by the central government and include a company which is a subsidiary of government company". These companies are registered as private limited companies though their management and their control vest with the government. This is a type of organisation where both the government and private individuals are shareholders. Sometimes these companies are called as a mixed ownership company.

5 EXAMPLES OF GOVT.COMPANY 1 Prime Minister’s Office (PMO) 2 Ministry of Agriculture 3 Ministry of Chemicals and Fertilizers 4 Ministry of Civil Aviation 5 Ministry of Coal

10 NATIONALISED BANKS

ALLAHABAD BANK ANDHRA BANK BANK OF BARODA BANK OF MAHARASHTRA CANARA BANK CENTRAL BANK OF INDIA CORPORATION BANK DENA BANK INDIAN BANK PUNJAB NATIONAL BANK

10 FOREIGN BANKS

ABN-AMRO BANK ABU DHABI COMMERCIAL BANK LTD. BARCLAYS BANK BNP PARIBAS CITI BANK DBS BANK LTD. HSBC LTD. STANDARD CHARTERED BANK STATE BANK OF MAURITIUS LTD.

5 JOINT VENTURES

1. The Great Wall Joint Venture of Beijing

2. Parker Hubei Seal Corporation 3. Beijing Jeep Corporation, Ltd. 4. UTEX International Corp. of

Shanghai 5. Xerox of Shanghai Limited

SECTORS IN INDIAN ECONOMY PRIMARY SECTOR : Primary sectors are

classified as those which produce or obtain the raw materials or natural products from the land or sea for industry.

Examples include Mining, Quarrying, Farming, Fishing, Forestry, Potter.

SECONDARY SECTOR :The portion of an economy producing manufactured products,in contrast to the primary sector and tertiary sector.

CONTD…

TERTIARY SECTOR : The tertiary sector of the economy (also known as the service sector or the service industry) is one of the three economic sectors, the others being the secondary sector (approximately the same as manufacturing) and the primary sector (agriculture, fishing, and extraction such as mining).

15 MAJOR IMPORTS OF INDIA ELECTRONIC GOODS METALIFERS ORES AND METAL SCRAP TRANSPORT EQUIPMENTS GOLD FERTILIZERS VEGETABLE OIL INORGANIC CHEMICALS PLASTIC MATERIALS

CONTD…

WHEAT METAL PETROLEUM PRODUCTS ORGANIC CHEMICALS COAL IRON AND STEEL ELECTRONIC PARTS

20 EXPORTS OF INDIA

LEATHER GOODS MEDICAL APPLIANCES TEXTILE GOODS EQUIPMENTS AUTOMOBILE COMPONENTS ARTIFICIAL JEWELLERY DYES AND PIGMNETS GEMS AND STONES FINISHED LEATHER RICE

CONTD…

SANDAL SHAWL CARPETS CUSHION COVERS GROUND NUTS NATURAL STONE READYMADE GARMENTS SILK FABRIC SUGAR TEA

STATUS OF CURRENT ACCOUNT OF INDIA

In today's fast-paced world, your business regularly requires you to receive and send funds to various cities in the country. HDFC Bank Plus Current Account gives you the power of inter-city banking with a single account and access to more than 1,174 cities.

From special cheques that get treated at par with local ones in any city where we have a branch, faster collection of outstation cheques (payable at branch locations), free account to account funds transfer between HDFC Bank accounts to Free inter-city cheque collection (clearing) of up to 75 lakhs per month, our priority services have become the benchmark for banking efficiency.

Plus Current Account requires you to maintain an average quarterly balance of Rs. 100,000.

CONTD…

Current Account Balance: -$51.78 billion (2010 est.) -$25.92 billion (2009 est.)

Definition: This entry records a country's net trade in goods and services, plus net earnings from rents, interest, profits, and dividends, and net transfer payments (such as pension funds and worker remittances) to and from the rest of the world during the period specified. These figures are calculated on an exchange rate basis, i.e., not in purchasing power parity (PPP) terms

MEANING OF CURRENT ACCOUNT

In economics, the current account is one of the two primary components of the balance of payments, the other being thecapital account. The current account is the sum of the balance of trade (exports minus imports of goods and services), netfactor income (such as interest and dividends) and net transfer payments (such as foreign aid)

MEANING OF CAPITAL ACCOUNT In Macroeconomics and international finance, the capital

account (also known as financial account) is one of two primary components of the balance of payments, the other being the current account. Whereas the current account reflects a nation's net income, the capital account reflects net change in national ownership of assets.

A surplus in the capital account means money is flowing into the country, but unlike a surplus in the current account, the inbound flows will effectively be borrowings or sales of assets rather than earnings. A deficit in the capital account means money is flowing out the country, but it also suggests the nation is increasing its claims on foreign assets.

CURRENT EXIM POLICY OF INDIA The Ministry of Commerce and Industry,

Government of India, pronounces the Indian exim policy or Export-Import of India. This is an attempt towards the support of foreign trade and creation of a approving Balance of Payments. The new EXIM policy of India, renewed yearly on 31st of March, is pursued from 1st April. Exim policy of India is also known as Foreign Trade Policy, in general, it plans at increasing export prospective, improving export routine, encouraging foreign trade and creating constructive balance of payments position.

CONTD…

• Expansion of the DEPB scheme till May, the next year.• Refunding of service tax on utmost services• Expanding Income tax benefit for EOUs.• Expansion of FMS coverage and addition of ten more countries including Mongolia, Croatia, Ghana, Colombia, Albania, etc.• Beginning of split-up facility • Payment of expurgate duty by export leaning units on monthly basis rather than consignment basis.

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