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China vs India February 16, 2007

Posted by Vijay in Business, China, India, Trends.

Was reading the newspaper on the flight back last night. Couple of stories caught my eye. One news item talked about India’s ForEx reserves at $180 Billion. That is impressive.

Two pages later there was a news story on China setting up a global investment fund using its ForEx reserves. The numbers stunned me. China’s ForEx reserves are in excess of $1000 Billion (yes a thousand !!) and the global fund they are setting up is in the region of $200 Billion. Looks like they can buy entire countries with that kind of money.

Numbers seem to be in China’s favor for now. I had a previous post on China as well.


Is China Evil? January 30, 2007

Posted by Vijay in Business, China, Entrprenuers, Google, People.

Over the last week or so, the blogosphere has been debating the ethics of doing business in China. Some argue that businesses should not engage China until there is more political freedom there. Google’s admission that they “regret” their decision to work in China (quoted on Techcrunch) has only added to the ongoing discussion.

Chinese politicians are no saints but neither are leaders of the so-called democratic countries as well. If companies do not do business in China and engage Chinese businesses, it will be a bigger dis-service to China than the lack of political freedom. They (the people of China) stand a better chance of achieving political freedom this way.

Coming to businesses, China is a huge market and NO ONE can afford to ignore them. They are a growing economy and it would be foolish for me as a businessman to ignore opportunies there.