Food, India, and the Growth of Global Influence


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Food, India, and the Growth of Global Influence

  1. 1. Food: The Price is the CrisisAt the risk of sounding trite, the law of supply and demand still functions. Tosolve the price crisis in India, supply must be increased. This is a matter of "timeplace utility"; "form utility"; "economies to scale"; and direct foreign investment. Imention the last consideration because the advice to some can also beconsidered advice to another. In short, if you know where and how people arebeing advised to invest, you can position yourself to be the where and the how.Ive included "Having Problems with Foreign Direct Investment?" to give insightinto what investors can look for. This can also give insight into those who want tobenefit from the investors. Ive included The Marketing of India. Ive included ametaphor: Starving Nations and Food Equations: A metaphor. This is not to beinterpreted as reference to people actually dying. It is to discuss the economicsof agriculture.Having Problems with Foreign Direct Investment?What are some of the barriers?Leverage.ROI.It is easy to see that start up costs in some countries are much lower than startup costs in another. If the other country does not have the physical plant forexample, it will be cheaper to build that plant in the other country.Currency considerations are another factorIncentives from a country with little industry are greater than they are from acountry where you will compete with the locals.Market penetration. Would people in countries in the region be more inclined tobuy from countries in the region or from western nations.Partnering. It is easier to partner with business in some countries where westerntechnology is not readily available by making that technology available.Just a few thoughts.Now, for a few more thought.
  2. 2. The Marketing of IndiaFind a need and fill it.Who has a need for what you can produce?Partner with that (nations) companies.In addition to the profits, offer a minority interest in the company. (This will giveinvestors an incentive to succeed.)Offer a profit share to the suppliers. (This will give the farmers(?) an incentive tojoin in the venture.In addition to money, offer other incentives. [Prestige]. For example: Buildschools in the areas where the people are most enthusiastic.If one or two small companies cannot find the funding (through govt. funding--abad idea) go to the marketplace.Economies to scale.Create a marketing group for the several smaller companies, so they can pooltheir resources.In Vermont there is a joke:Q: "Do you think the rain will hurt the rhubarb?"A: "Not if theyre in cans."If produce spoils before it hits the market, set up a joint effort to can the produceat the source.Roads are a government responsibility.Just a few ideas. (Call me old-fashioned)Anyone care to amplify, amend, or correct?Sincerest regards,SlimPS. Read The Caste Busters article in the NY Times:
  3. 3. Mail slimfairvew@yahoo.comCopyright (c) 2011 Slim FairviewStarving Nations and Food Equations: A Metaphor[This metaphor does not refer to people actually dying. This refers to thediscordance in the economy of agriculture specifically and in the economy as awhole.]If one person in the group does not have enough food to eat, he may die.For a while, that means more food for the rest of the group. However, that alsomeans one less person to work the farm. That means less food to eat. Less foodto eat means someone will die.For a while, that means more food for the rest of the group. However, that alsomeans one less person to work the farm. That means less food to eat. Less foodto eat means someone will die.Soon, there wont be enough people to work the farm. That means there wont beenough food to eat.Get the idea?SlimMail: slimfairview@yahoo.comCopyright (c) 2011 Slim Fairview