Analysis of Dubai Development Model with relevance to India

Table of Contents l. Introduction and Dubbed Policy Relevance to India II. Challenges faced by both India & Dubbed Ill. Policy Changes – What can be adopted by India & Dubbed from each other IV. Business Context of the policies in India & Dubbed V. References To: The Leaders of the Business Association of India From: Hull Consultancy Group Date: Reason: Analysis of Dubbed Development Model and relevance to India Dubbed Is one of the most flourishing clues In the world attracting people from all over the world with a strong economy.India being a part of the BRICE nations and with the ambition of being perceived as a developed nation need some changes economically and politically. Could the Dubbed model work in India? L. To analyses how Tuba's model can be relevant to India we need to look at various different factors. Looking at the model of Strategy, Structure and Resource we could make some comparisons of how Dubbed is similar to India. Dubbed India Relevancy Strategy Economi c Development Political Stability Import Talent & reliance on foreign companies in Dubbed. Logistical Hub and this promoted with good port facility.Strong ties with other Emirates Strong & Continuous Leadership Relaxed religious laws although still Islamic focused. Focus on education, medical & engineering sectors good. Primary sector of Agriculture not ignored. Infrastructure development, cities and broadband development is another major focus. Political Stability Member of the BRICE countries. Democratic government with secular laws. Relevant Infrastructure development at the ports as the south of India is also strategically located. Strong ties between cities Egg: Bangor & Hydrated can be made Low Relevance One leader strategy may not be applicablePolicy of importing talent for domestic needs. Structure City vs. Rural Development Education system City vs. Rural Cluster focused for companies and development towards ABA Dhabi close to the coast line. Old Dubbed vs. New Dubbed Educa tion System Focus is on introducing more foreign universities. Satellite city structure. New development outside major cities towards small towns. Egg: Whitfield, Oneida. Infrastructure development in rural areas. Good education system after British colonization. Science & Engineering has special focus. Focus on rural areas education. Cluster structure could be replicated.It is already done in a few places but could be done in most cities. More foreign universities can be introduced in India. Not Relevant Old city vs. New City is already in place in some cities. Egg: Delhi Resources Natural resources Human Resources Population- Low Manpower (Skilled, Unskilled, Technical)- Low Natural Resources- Low Alliance with ABA Dhabi for resources- High Population- Very high Manpower (Skilled, Unskilled, Technical)- High Natural Resources- High Alliance with other states or countries for resources- Low Alliance with neighboring countries or other BRICE countries for resources can be Dade.II. T o analyses if Tuba's model can be adopted by India, the challenges faced by both countries should be analyses further. Policies used by Dubbed for the above mentioned challenges are: 1 . Quality of Education: AAU government invested up to Dabbed invested on improving general education. Solution : They have a partnerships with several international schools in order to improve their education system. 2. Policy relevance to India is low. Main issue faced by India is inaccessibility in rural areas.Extreme poverty is another problem Solution- Mandatory CARS activities enforced by the government. Secondly broadband services to provide education by internet in inaccessible areas as done in Gujarat . 3. Quality of Health care : Expanse have expressed their lack of confidence in the Dubbed Health care services. Solution: To improve medical quality partnerships with international organizations like ‘John Hopkins' and ‘Cleveland ‘ medical centre have been made. Policy relevan ce to India is low.Issue is infrastructure with lack of sanitation and clean water causing illness. Lack of roads or transport makes it difficult for unmet needs to be fulfilled. Solution: Having infrastructure projects like the ones in Gujarat as initiated by the current prime minister is a better solution then attracting foreign medical care. 4. Expiate Migration : Tuba's over reliance on expiate employees. Competition from nearby countries like Qatar and Oman. Solution : Better infrastructure, attractive surrounding and tax free policy Similar problem with rising unemployment.Solution: Foreign companies can be attracted like in Dubbed but a realistic solution would be to encourage local entrepreneurship in order to create Jobs. Dubbed is conscious about the over reliance on fossil fuels to generate power Solution: Collaborations with Policy relevance to India is again low. Energy requirement in India is massive compared to AJAX. There are local companies with renewable technologi es which needs to be promoted. Solution: Collaborating with foreign companies is a temporary solution though it can be done.Natural gas exploration and nuclear energy long term solution. Ill. Many of the policies used for Dubbed are not recommended for India. These are because of many reasons like the Population, different Industrial focus, focus on domestic development including talent and technology. To further analyses this and understand what policy changes can be adopted for either India or Dubbed we need to look at the and the ‘Fragile Failed State' Index. The Fragile State Index, is an index which focuses on the stability of the nation on 3 different factors: 1.Economic: Uneven economic development, Severe Economic decline 2. Social: Demographic pressures, Massive refugee movement, Group grievances 3. Political: Crystallization, Progressive Deterioration, Security apparatus , Ethnic cleansing Based on these criteria, India is ranked at 81 which is categorized as ‘ High Warning and I-JAKE is inked at 143 which is considered a stable society. Under Economic , India has huge inequality in incomes and some states like UP, Briar are not highly developed. There are refugees movement and grievances from the lower class or religious sectors in society.Politically India is democratic and secular and given the religious and cultural diversity in India that an Autocratic rule would only increase the trouble in the country. Policies which India could copy from I-JAKE is to have infrastructure development, which could be awarded to foreign companies as this is the major problem in India. Better infrastructure could lead to solving some of the other problems like better education, reducing group grievances when people have the same basic facilities, and make uniform economic development.Security could improve with better roads and reaching in time . Infrastructure and roads have been a key element of all great civilizations starting from the Romans till mo dern countries like I-JAKE , Germany and the USA. If Infrastructure development has to be rapid foreign investment and companies would be essential. Having one religion and an autocratic government with very low population solves means that AAU does not face cost of the problems which India faces and thus makes it a very stable economy.However their reliance on foreign investment and technology, education is too high. This could bring about economic downturn to I-JAKE in the future. The change of policy which I-JAKE requires is to increase the amount of local universities and improve local education and businesses. A major aspect of doing business in any new country could be the ‘Corruption' in the country and ‘Business regulations' in the country. The ‘Ease of Doing Business' index helps analyses the conduciveness of a country to start a business.The factors considered are Infrastructure, Poverty ratio, Credit lines available, Tax rates, Educations standards , Reg ulations etc. Based on these criteria lets compare India to I-JAKE India- ease to do Business, Rank-134 Factors favorable are: Improving infrastructure Highly educated society Annual GAP expected to increase and best in South Asia Factors unfavorable are: Infrastructure still poor in many parts IN per capita is low Regulations are rigid High taxes Low credit lines as compared to I-JAKE Political rules favoring local companies Factors favorable are : Good infrastructure No taxesHighly educated people (mainly expanse though) Good autocratic leadership conducive to business High IN per capita Annual GAP best in MEAN region Factors unfavorable Expensive to run a business Need to attract talent from abroad Corruption is another major factor which businesses consider. According to the ‘Corruption Index' I-JAKE ranks at 26th whereas India ranks at 94. This shows that there could be a fear of corruption for businesses to enter India. ‘V. Businesses in India could play a major ro le in making some minor changes which would enable the country to become more business conducive.Collaborations or JP with foreign companies- This would attract more funds which would enable them to expand faster and also reduce unemployment. CARS activities to improve education and sanitation facilities. If CARS activities are not feasible Join with Social welfare groups like ‘Magic Bus' Transparency in business activities and raise awareness to reduce corrupt activities. Work closely with government to improve their sustainability and becoming energy efficient. Factories investing in machinery to have energy efficient equipment. Business in Dubbed could also take certain steps awards helping the local Political and Economic situation.Work with local universities and help hire local Emirate graduates. Take specific measures towards Energy conservation and sustainable measures Medical related companies can provide training for local Emirates. Considering the various factors th ere are some ideas and policies that either country can adopt. However the two countries are vastly different. While AAU is an autocratic society, it mainly focuses on one major sector locally which are the Emirates. Decisions are made and executed quickly as no consensus is required from the caked by huge funding which enables them to accomplish their goals.However in the long run the reliance on the foreign countries cannot be relied upon and local education and entrepreneurship definitely needs to be improved like what is been focused in India. India on the other hand is a very diverse society and it cannot focus on any major ethnic group. As it is also a huge country with a population of 1. 2 billion decision cannot be made by an individual. The consequences have to evaluated. Also despite the availability of natural resources funding is not as direct and easy like in Dubbed.Like some of the European countries they try to focus on agriculture and education, as in the long run th is would make their society self-reliant and not lament the lack of natural resources. There is a need for infrastructure in the form of roads of pipelines and sanitation facilities but the funding is not direct. Hence the rule of a mandatory CARS fee is created. Lastly to have a long term sustainable economy they need local entrepreneurship which they are focusing in many different areas like Finance, Infrastructure, Engineering, and Renewable Energy.