IMPACT OF GOVT POLICY FOR CLASS 12.pptx.
- 1. IMPACT OF GOVT POLICY ON BUSINESS AND INDUSTRY
- 2. 2 Presentation title Agenda 1 2 3 4 5 Competition Customers Environment Market & HR Budget 20XX
- 4. The policy of liberalization, privatization and globalization, collectively known as New Economic Policy or NEP has impacted the working of business enterprises in the country significantly and its impact can be seen in the economy even today. But first of all, here's a brief summary of NEP and why it was implemented: 4
- 5. • New Economic Policy or NEP was implemented on 24th July 1991 by former prime Minister Manmohan Singh. • It was implemented to address several challenges faced by the Indian economy back then, including increasing inflation rates and inadequate foreign reserves. • It had three main components, namely liberalization, privatization and globalization. Due to such government Policy changes, the corporate sector in India has faced several challenges. In this seminar we shall examine such challenges and infer from it how it impacted the Indian business and industry sector in the long run. 5
- 7. INCREASING COMPETITION • Entry of Foreign Companies: Impact: The liberalization of trade policies allowed foreign companies to enter the Indian market, leading to increased competition for domestic firms. • Removal of Industrial Licensing: Impact: The abolition of the license raj reduced bureaucratic hurdles for businesses.
- 8. INCREASING COMPETITION • Reduction of Import Tariffs: Impact: Lower import duties made foreign goods cheaper and more accessible, increasing competition for Indian manufacturers. • Privatization: Impact: The privatization of state-owned enterprises introduced private sector efficiencies and competition in sectors previously dominated by public enterprises.
- 9. The telecommunications sector saw increased competition with the entry of private players like Bharti Airtel, which challenged the state-run BSNL. “EXAMPLE ” 9 Presentation title 20XX
- 10. 10 Presentation title MORE DEMANDING CUSTOMERS 20XX
- 11. 11 Presentation title MORE DEMANDING CUSTOMERS • Co-existence of Government and Private Sector Companies: Government policies have facilitated a competitive environment where government sector companies co-exist with private sector companies, promoting fair competition. · Expansion of Industries: Policies foreign investment and improving access to domestic and foreign markets have enabled industries to expand significantly. · Innovation and Product Development: Increased competition has driven companies to innovate and develop new products and services to differentiate themselves in the market. • Enhanced Competitive Dynamics: Businesses have been compelled to adopt competitive pricing strategies, enhance productivity, and improve profitability to meet the evolving demands of customers. · Technological Advancements: The introduction of advanced technologies has become imperative for companies to stay competitive and meet customer expectations. 20XX
- 12. In India, the liberalization policies of the early 1990s allowed for the entry of multinational retail giants like Walmart and IKEA. Their presence intensified competition in the retail sector, prompting local players such as Reliance Retail and Future Group to adopt advanced technologies, improve service standards, and offer competitive pricing strategies. This shift not only benefited consumers with better choices and prices but also spurred domestic retailers to innovate and enhance their offerings to meet the increasingly sophisticated expectations of discerning customers. “ EXAMPLE ” 12 Presentation title 20XX
- 14. TECHNOLOGICAL ENVIRONMENT Adoption of Advanced Technologies: o Companies are increasingly adopting advanced technologies such as artificial intelligence, blockchain, and automation to enhance productivity and competitiveness. Digital Transformation Initiatives: o Government initiatives promoting digital transformation have incentivized businesses to digitize operations and services, improving efficiency and customer satisfaction.
- 15. TECHNOLOGICAL ENVIRONMENT Increased Focus on Cybersecurity: o The rise in digital transactions and data-driven operations has led to a heightened focus on cybersecurity measures to protect sensitive information and maintain customer trust. Innovation Ecosystems: o Policy support for innovation ecosystems, including startup incubators and accelerators, has fostered a culture of innovation and entrepreneurship, driving competition through disruptive technologies.
- 16. In India, the Digital India initiative launched by the government has spurred digital adoption across sectors. Companies like Paytm and Flipkart have leveraged this initiative to expand their digital payment solutions and e-commerce platforms, respectively. “ EXAMPLE ” 16 Presentation title 20XX
- 17. 17 Presentation title NECESSITY FOR CHANGE 20XX
- 18. 18 Presentation title NECESSITY FOR CHANGE Adaptation to Global Standards: Government policies have necessitated businesses to adapt to global standards in terms of quality, sustainability, and regulatory compliance to remain competitive in international markets. . Shift Towards Sustainability: Policies promoting environmental sustainability have compelled industries to adopt eco-friendly practices and technologies to mitigate environmental impact and meet consumer preferences Technological Upgradation: Policies encouraging technological upgradation have driven industries to invest in modernizing infrastructure and adopting advanced technologies to improve efficiency and competitiveness. 20XX
- 19. In India, the implementation of the Goods and Services Tax (GST) required businesses to overhaul their tax compliance systems and adopt standardized practices. This policy change not only streamlined the taxation system but also compelled companies to re- evaluate their supply chain strategies and operational efficiencies. “ EXAMPLE ” 19 Presentation title 20XX
- 20. 20 Presentation title MARKET & HR HUMAN RESOURCES •Skill Development Programmes & Education Reform •Employment Generation Scheme •Labour Market Flexibility •Inclusive Growth Initiatives MARKET •Liberalization and Market Access •Consumer Protection and Regulations •Competitive Pricing Strategies •Market Research & Innovation •Export Promotion & Global Integration 20XX
- 21. In India, the National Skill Development Mission launched by the government aimed to skill 400 million people by 2022 across various sectors. Companies like Tata Consultancy Services (TCS) have actively participated in skill development programs, training thousands of graduates in IT and digital skills through initiatives like TCS iON Digital Learning Hub “EXAMPLE ” 21 Presentation title 20XX
- 22. In India, the introduction of the Consumer Protection Act, 2019, strengthened consumer rights and protection against unfair trade practices. Companies like Amazon India have revamped their customer service and return policies to comply with these regulations, prioritizing consumer satisfaction and trust. This shift towards market orientation has not only improved consumer confidence but also incentivized businesses to innovate. “EXAMPLE ” 22 Presentation title 20XX
- 23. 23 LOSS OF BUDGET DUE TO PUBLIC SECTOR
- 24. 24 Efficiency Improvements: Reduction in budgetary support has compelled public sector enterprises to improve operational efficiency, reduce costs, and enhance productivity to remain competitive. Privatization and Disinvestment: Policies promoting privatization and disinvestment in public sector enterprises have encouraged restructuring and adoption of market- oriented strategies to attract private investment and improve performance Innovation and Technology Adoption: Decreased budgetary support has driven public sector enterprises to innovate and adopt advanced technologies to streamline operations and improve service delivery.
- 25. 25 Focus on Profitability: With reduced financial assistance, public sector enterprises have shifted focus towards profitability and sustainability, aligning operations with market demands and customer expectations. Skill Development and Restructuring: Policies promoting skill development and organizational restructuring have enabled public sector enterprises to align workforce capabilities with industry standards and emerging market needs.
- 26. In India, the government's decision to reduce budgetary support to Air India prompted the airline to undergo a strategic disinvestment process. Air India has since focused on enhancing operational efficiency, cutting costs, and improving service quality to attract potential buyers. This shift towards reducing dependency on government funds has compelled Air India to adopt market-oriented strategies “EXAMPLE ” 26 Presentation title 20XX
- 27. Timeline INCREASING COMPETITION DEMANDS OF CUSTOMERS NECESSITY FOR CHANGE MARKETS AND HUMAN RESOURCE LOSS OF BUDGET BECAUSE OF PUBLIC SECTOR
- 28. Thank You In conclusion, the Indian industry and businesses have had to innovate and adapt itself to the new business environment caused by changes in government policies . They have adapted with great resilience and new strategies to deal with the challenges and opportunities caused by liberalization, privatization, and globalization .
- 29. GROUP PAVITHRA PARVATHI K HIYA SABOO JAYAGOVIND ABHIRAM ADWAID N ANIRUDH ISHIKA DEEPANG NAVAMI SUDHI SAPNA