BRICin it
I am engrossed in The White Tiger at the moment. Awesome read. The BRIC countries are so vast and so diverse, still growing at quite a pace: India forecasting around 5.5% growth.
In London last Wednesday the theme was India: the opportunity for UK companies in India and Indian innovation that can benefit from UK investment – great brainstorming meetings with UK Trade and Investment and Cartezia.
I am tasked with getting more involved with UK India Business Angels network (and UKIBC) and ping between a rush at the opportunity and a sigh at the size of the task, simultaneously. So much to do.
There’s a delegation of Indian companies to London in May/June courtesy of Envestors – as UK investors seek to invest in high growth companies. We are also working on a plan to take an outbound delegation to India with UKTI as more and more companies look to Asia to source skills and reduce operating costs.
At dinner last Tuesday night I received fascinating insight into business dealings in India at Tamarind as I met some great people I am now lucky to call friends: businessmen from families in India that have built empires – Gaurav the latest in seven generations of wealthy entrepreneurs and part of a self-confessed elite.
Based in Delhi, Gaurav is charming, ambitious and articulate. He is an unabashed capitalist and leader of the family business: sugar. Both he and Ajay (running a retail business with a sideline in helping entrepreneurs – he heads up the London chapter of EO) contest that wealthy businessmen in India are not doing enough to facilitate the next generation. I had thought philanthropy was more more widespread and naturally occurring but these guys set me straight. Only after some time did Gaurav mention that they have set up five schools, three girls scholarship programs, sports programs and education projects. Modesty prevails.
So what about India and tech start-ups? The guys say it will be some time yet (years) before wealthy local families invest in Venture (be it ICT, Cleantech, Hi Tech). Property and Retail dominate – like so many other countries, be they established or emerging. When in Ireland (as I am this week) they talk about apartments and land, not cool technology and spinouts from DCU and Trinity College.
The other factor is inward investment versus the desire to legislate for indigenous industry. While outsourcing continues to grow, so does the creation of start-ups and SMEs. Emerging markets seem to reach a kind of tipping point where some of the brains employed in BPO are now considering taking their idea, their IP, and turning it into a real business.
BizSpark downloads may reflect that trend and TiE India are doing a great job. I think Bangalore is the largest chapter.
I am seeing Jim O’Neill (Mr Bric) from Goldman Sachs for lunch on Thursday. He says the BRIC has emerged and now it is the turn of the next category – the N-11. From what I see, he might be right. Who am I to question? In the meantime we shall aim to prop up the economy by eating fine Italian cuisine in Mayfair on Thursday.
