PHARMA SPECIAL

A New Formula

After years of anaemic growth, pharma multinationals in India seem poised for a steroid-led growth. And it’s not all M&A-led.

ANIL DHIRUBHAI AMBANI: DUBATA SURAJ?

Show Me The Money

Litigation, business setbacks, corporate governance issues and a massive funding shortage have left Anil Ambani’s companies reeling. Can he pull them back from the brink?

Gearing Up For A Long Ride

There is a sense of a new dawn at Honda Motorcycle & Scooter India (HMSI), the wholly owned two-wheeler subsidiary of the $92-billion Honda Motor Company, after the latter’s separation from the Munjal family-promoted Hero group. “The challenge has become bigger,” says Shinji Aoyama, president and CEO of HMSI. “We need to hurry up to change our product portfolio. We aim to be No. 1, but it will take time, maybe a decade.” Aoyama is not being modest, just practical.

Huwai India

The $2-billion expansion initiative is being undertaken with the intention of leveraging India to power a larger global expansion strategy. The big goal is world domination. At present, Huawei trails Sweden’s Ericsson as the world’s second-largest telecom equipment maker by revenues. The company closed financial year 2010, ended December, with $28 billion in revenues (unaudited). This was just a few steps behind Ericsson’s $31.3 billion. Paris-based Alcatel-Lucent follows third at $21.3 billion revenues and Finland’s Nokia Siemens Networks comes in fourth at $17 billion. Incidentally, while Ericsson’s global revenues have dropped 1.6 per cent during this period, Huawei’s have grown 28.4 per cent.

Americas Budget

Very Interesting Budget of USA

Having emerged from the worst recession in generations, the President has put forward a plan to rebuild our economy and win the future by out-innovating, out-educating, and out-building our global competitors and creating the jobs and industries of tomorrow. But we cannot rebuild our economy and win the future if we pass on a mountain of debt to our children and grandchildren. We must restore fiscal responsibility, and reform our government to make it more effective, efficient, and open to the American people.

The President’s 2012 Budget is a responsible approach that puts the nation on a path to live within our means so we can invest in our future – by cutting wasteful spending and making tough choices on some things we cannot afford, while keeping the investments we need to grow the economy and create jobs. It targets scarce federal resources to the areas critical to winning the future: education, innovation, clean energy, and infrastructure. And it proposes to reform how Washington does business, putting more federal funding up for competition, cutting waste, and reorganizing government so that it better serves the American people.

Key Budget Facts

• The Budget includes more than $1 trillion in deficit reduction – two-thirds of it from cuts -- and puts the nation on a path toward fiscal sustainability so that by the middle of the decade, the government will be paying for what it spends and debt will no longer be increasing as a share of the economy.

• The President meets his pledge to cut the deficit he inherited in half by the end of his first term.

• Five-year non-security discretionary spending freeze will reduce the deficit by over $400 billion over the next decade and bring this spending to the lowest level since President Eisenhower sat in the Oval Office.

• 10-year Deficit Reduction:  $1.1 trillion, excluding war savings and not extending 2001 and 2003 tax cuts for high-income earners. Two-thirds are from spending cuts.

• 2011 Projected Deficit: $1.645 trillion, 10.9 percent of GDP; 2012 Projected Deficit: $1.101 trillion, 7.0 percent of GDP; 2015 Projected Deficit: $607 billion, 3.2 percent of GDP; 2017 Projected Deficit: $627 billion, 3.0 percent of GDP

Innovate

• $148 billion for R&D overall; robust investment in biomedical research at NIH ($32 billion, a $740 million increase over 2010 enacted level, post-transfers); more than doubles energy efficiency research, development, and deployment funds; and continues our efforts to double investments in key basic research.

• Supports the goals of: putting one million electric vehicles on the road by 2015; doubling share of electricity from clean energy sources by 2035; and reducing buildings’ energy use by 20 percent by 2020.
  • Elimination of 12 tax breaks to oil, gas, and coal companies will raise $46 billion over 10 years to help pay for programs to reach these goals.

• Simplifies, expands, and makes permanent R&D tax credit.

• Establishes 20 new Economic Growth Zones, hard-hit areas that will receive expanded tax incentives to spur investment and employment.

Educate

• Maintains maximum Pell Grant award, helping 9 million students afford college.
  • Paid for with more than $100 billion in savings, including eliminating year-round Pell and graduate student in-school loan subsidy.

• Reforms K-12 school funding by supporting high standards, encouraging innovation, and rewarding success.
  • Consolidates 38 K-12 programs into 11 that emphasize competition and evidence of what works, while also eliminating 13 education programs outright.

• Expands the Race to the Top concept to early childhood education, school districts, university funding, and job training.

• Prepares 100,000 new science, technology, engineering, and math teachers.

Build

• As part of a six-year, comprehensive surface transportation bill at $35 billion per year, the Budget creates hundreds of thousands of jobs in the short term with a $50 billon up-front investment; establishes a National Infrastructure Bank to support projects of national importance; and brings access to high-speed rail to 80 percent of Americans within 25 years.
  • Consolidates 60 duplicative, often earmarked programs into five. Investment will only be made if bipartisan financing is found to ensure that it does not increase the deficit.

• Builds a next-generation, wireless broadband network to bring high-speed Internet access to 98 percent of Americans, and establish an interoperable network for public safety.
  • Plan is fully paid for, and the sale of spectrum provides nearly $10 billion for deficit reduction.

Responsibility

• A five-year non-security discretionary spending freeze that will reduce the deficit by over $400 billion over the next decade and bring this spending to the lowest level since President Eisenhower sat in the Oval Office.

• More than 200 terminations, reductions, and savings totaling more than $33 billion in savings for this year alone. Half of all agencies see their top line reduced from 2010 enacted levels.

• Sample cuts: Community Development Block Grants by $300 million; LIHEAP in half or by $2.5 billion, Great Lakes Restoration Initiative by one-quarter or $125 million; more than $1 billion in grants to large airports; $950 million to states’ revolving funds for water treatment plants and other infrastructure.

• Cuts $78 billion from the Pentagon’s spending plan over the next five years, bringing defense spending down to zero real growth. Including spending related to Iraq and Afghanistan, overall defense spending for 2012 is more than 5 percent below the 2011 request.

• Pays for the first two-years of “doc fix” -- which will prevent a nearly 30 percent cut in reimbursements to doctors in Medicare and keep them seeing patients -- with $62 billion in new, specific health care savings, including recommendations from the Fiscal Commission and recent bipartisan proposals, that will strengthen program integrity and increase efficiency and accountability. 

• Pays for a three-year patch to prevent an increase in taxes on middle-class families through the Alternative Minimum Tax (AMT) by limiting the rate at which high-income earners can itemize tax deductions. This would bring the rate back to where it was during the Reagan Administration.

• The President has called on Congress to work with the Administration on corporate tax reform that will simplify the system, eliminate special interest loopholes, level the playing field, and lower the corporate tax rate for the first time in 25 years – without adding a dime to the deficit.

• The President lays out his principles to strengthen Social Security and has called on Congress to work on a bipartisan fashion to keep this compact with future generations.

• Includes important Fiscal Commission recommendations such as: federal civilian worker pay freeze, medical malpractice reform, PBGC reform, and a government reorganization initiative.

Reform

• Cuts more than $2 billion in administrative overhead like travel, printing, supplies, and advisory contract services.

• Embraces competitive grant programs based on the “Race to the Top” model applying it to programs from early childhood education through college; to allocate grants for transportation; to bring innovation to workforce training; and to encourage both commercial building efficiency and electric vehicle deployment.

• Sets up a process to quickly dispose of excess and under-utilized federal real estate.

• Starts a process to reorganize government so it is better able to serve the goal of a competitive America.

• Encourages new “pay for success” bonds in areas where government programs have too often failed. Taxpayers will only pay the programs if they produce results.

rising china bests shrinking japan

Nice Article on CHINA & JAPAN

Also click on below link to have look at comparison

http://online.wsj.com/article/SB10001424052748704593604576140912411499184.html#project%3DJCHINA0111%26articleTabs%3Dinteractive

Transfer Pricing : Most Exciting topic to understand MNC working

Request you to go thru each link........Very interesting articles on Transfer Pricing
MCS 
http://www.livemint.com/articles/2010/07/05210934/Transfer-pricing-a-fiscal-cha.html

http://www.livemint.com/2010/06/20133609/IT-dept-to-demand-Rs8500-cr.html
http://economictimes.indiatimes.com/news/news-by-company/corporate-trends/india-has-highest-transfer-pricing-litigations-ey-survey/articleshow/7436118.cms
http://economictimes.indiatimes.com/news/news-by-company/corporate-trends/india-has-highest-transfer-pricing-cases/articleshow/7440124.cms
http://timesofindia.indiatimes.com/topic/search?q=Transfer%20Pricing%20Associates
http://economictimes.indiatimes.com/news/economy/policy/reforms-required-in-transfer-pricing-legislation/articleshow/7479463.cms
http://epaper.timesofindia.com/Repository/ml.asp?Ref=RVRELzIwMTAvMDEvMjcjQXIwMTMwMQ==&Mode=HTML&Locale=english-skin-custom
http://www.pwc.com/in/en/forms/TRS_seminar_online_form.jhtml
http://www.currentweek.net/2011/02/india-has-maximum-transfer-pricing.html

Charging Rs 5 above cold drink’s MRP costs hotel Rs 1.56 lakh

Worth reading a piece of news.

Charging Rs 5 above cold drink’s MRP costs hotel Rs 1.56 lakh

New Delhi: The apex consumer forum has imposed an exemplary cost of Rs 1.56 lakh on a hotel for charging customers Rs 5.5 above the Maximum Retail Price (MRP) of a soft drink.  The National Consumer Dispute Redressal Commission imposed the cost reiterating earlier judicial rulings barring hotels and eateries from charging above the MRP.  The ruling came on a plea filed by a Bharuch-based hotel Nyay Mandir, which challenged state commission’s order to pay Rs 6,000 as compensation to complainant Ishwar Lal Desai. He had approached the forum for having been charged Rs 18 for beverage despite its MRP being only Rs 12.50. Asking the hotel to pay Rs 6,000 to the complainant, the forum ordered the hotel to pay an additional Rs 1.50 lakh to consumer welfare fund.

Request you to be very careful

Dear All, I had received a mail from the entity claiming to be Maruti Suzuki Ltd for job without applying. 

Then I asked for clarification from Maruti it self and I was being informed that Its fake mail......Pls inform your love ones about these kinds of mails..
--------------------------------------------------------------------------

Clarification from Maruti Suzuki

From: ATM Queue <contact@maruti.co.in>

Subject: RE: Fwd: REQUIRED DOCUMENTS! CRM:0053000014824  To: Kumar Ramchandani kumarmram@gmail.com
Dear Sir,Thank you for visiting our website.In this regard, we wish to inform you that as per our record, we’ve not sent any such official communication to you and request to kindly treat it as fake mails & please do not act upon on such communication in future.Please feel free to revert in case of any query or clarification.

Regards,ANY TIME MARUTI

====================

My Mail to Suzuki 

From: kumarmram@gmail.com

Received: 12/27/2010 10:48 AM To: ATM Queue Subject: Fwd: REQUIRED DOCUMENTS!

Dear Sir, Request you to refer below mail which is being received by myself & many of my students.

Pls confirm whether the mail is from your company and is authenticated.

Kumar Ramchandani

----------------------------------------------------------------------

Fraudulent mail from a unknown company

From: MARUTI SUZUKI INDIA LTD. <maruti.suzukirecruitments@rocketmail.com>

Date: Sun, Dec 26, 2010 at 4:13 PM

Subject: REQUIRED DOCUMENTS!

MARUTI SUZUKI INDIA LTD (MSIL)

Head Office Maruti Suzuki,

India Limited Nelson Mandela Road,

Vasant Kunj, New Delhi-110070.

Board no.46781000.

REF: "MARUTI SUZUKI" DIRECT RECRUITMENTS OFFER.

Your Resume has been selected from MONSTER.COM for our new plant.The Company selected 45 candidates list for Senior Engineer IT,Administration,Production,marketing and general service Departments, It is our pleasure to inform you that your Resume was selected as one of the 45 candidates shortlisted for the interview. The Company SUZUKI is the best Manufacturing Car Company in India, The Company is recruiting the candidates for our new Plants in Delhi, Bangalore, Pune and Mumbai.Your interview will be held at The Company Corporate office in New Delhi on 31th Of December at 11.30 AM, you will be pleased to know that the 45 candidates selected 34 candidates will be giving appointment,Meaning that your Application can progress to final stage. You will have to come to the Company corporate office in New Delhi,your offer letter with Air Ticket will be sent to you by courier before date of interview. The Company can offer you a salary with benefits for this post 62, 000/- to 200, 000/-P.M. + (HRA + D.A + Conveyance and other Company benefits.The designation and Job Location will be fixing by Company HRD. At time of final process.You have to come with photo-copies of all required documents.

REQUIRED DOCUMENTS BY THE COMPANY HRD.

======================================

1) Photo-copies of Qualification Documents. 2) Photo-copies of Experience Certificates (If any) 3) Photo-copies of Address Proof 4) Two Passport Size Photographs.

You have to deposit the (Cash) as an initial amount in favor of our company accountant name in charges to collect your payment department for Rs.12,200/- ( Twelve Thousand two hundred rupees ) through any [STATE BANK OF IDIAN] OR [ICICI BANK] Branch from your Home City to our Company accountant name in charges. Account NO:,which will be sent to you upon your response. This is a refundable interview security. Your offer letter with Air tickets will be sent to your Home Address by courier after receiving the confirmation of interview security deposited in any of the STATE BANK OF INDIAN OR ICICI BANK. This Company will pay all the expenditure to you at the time of face-to-face meeting with you in Company. The Job profile, salary offer, and date -time of interview will be mentioned in your offer letter. Your offer letter will dispatched very shortly after receiving your confirmation of cash deposited in STATE BANK OF INDIAN OR ICICI BANK.

We wish you the best of luck for the subsequent and remaining stage. The last date of security deposits in bank is 29th Of December, 2010. You have to give the information after deposited the security amount in bank to the Company HRD -direct recruitment via email.Your Letter with supporting document will be dispatched same time by courier to your postal address after receipt of security deposited confirmation in bank. The interview process and arrangement expenditure will be paid by SUZUKI COMPANY.Lodging, traveling and local conveyance actual will be paid by SUZUKI COMPANY as per bills. The candidate has to deposit the initial refundable security as mentioned by HRD.

NB: You are advice to reconfirm your mailing address and phone number in your reply.And 12,200/- (Twelve Thousand two hundred rupees) will be the refundable amount,as 200 rupees will be deducted as bank charges for funds deposit and if you are been selected or not, still the amount will be refunded to you,as the amount is just to prove that you will be coming for the interview in order for us not to run at lost after sending you the air ticket and you don't show up on the day of interview. Wishing you the bestof luck.

Regards,

Shinzo Nakanishi

Chief Executive Officer, Managing Director,

MARUTI SUZUKI INDIA LTD (MSIL)

Brands always mean something : Richard Branson

Small but Nice Article by Richard Branson

Of the top 20 brands in the world, 19 ply a well-defined trade. Coca-Cola specializes in soft drinks, Microsoft in computers, Nike in sports shoes and gear. The exception in this list is Virgin—and the fact that we’re worth several billion dollars really bothers people who believe that they know “the rules of business”

Project Syndicate Podcasts - Project Syndicate

Project Syndicate Podcasts - Project Syndicate