Date of 20/11/2017 CEO: Karishma Ailsinghani (GF)

submission
COHORT MGB Sept 17 Group 1. MAYANK JAIN (CMM)
NAME: Members: 2. MEGHAND PATHAK (CMM)
10B 3. MOHAMMED SUHAIL (GLSCM)
Group No: 4. SHIVANI GOTADKI (GLSCM)
Team Building Activity-
1) Our team comprises of the following members-

Karishma Ailsinghani Holds a Bachelors in Financial Market degree. Graduated

in 2016. Studied in Jai Hind College, Mumbai.

Mayank Jain- Holds a Bachelor of Commerce degree from Delhi University.

Shivani Gotatki - Holds Degree in bachelor of business management in

international business from Maharashtra institute of technology, Pune and
import-export management from MIT-COM, Pune and diploma in digital
marketing from Indian Institute of digital education, Mumbai and diploma in
marketing from Welingkar college of management- Mumbai has also worked as
relationship manager in Reliance securities in PCG department.

Mohammed Suhail - Holds a Bachelor of Commerce degree. Studied in The New

College, Chennai.

Meghnad Pathak Holds a Bachelors in Business Administration degree from MS

University and has also done a digital marketing course from IIM Kashipur.
Worked at Kensafari golf and resorts for a year.

2) Team Goals- Global Immersion and Global Awareness as a subject will help us learn
about the current and the rising issues in the world which will help us provide a
holistic view towards these issues. Our goal from this course is to gain knowledge
about all these issues. Also, we aim to work together as a team effectively and
deliver the same efficiently and on time. Via talent collaboration, we plan to
maximise the shared talent as each individual has an array of talent and life
experiences which would help in learning new things.

3) For this SBR, we mutually agreed upon the following roles-

a) Mohammed Suhail, Mayank Jain - Write up for the Team Building Activity.
b) Mayank Jain, Mohammed Suhail - Q1
c) Shivani Gotatki - Q2
d) Karishma Ailsinghani - Q3
e) Meghnad Pathak - Q4
Q1) DESCRIBE THE WORLD IN 2050 BY USING AROUND 200 WORDS.
FOCUS IN THE MAIN CHARACTERSTICS.

ANSWER-
Asia will play a dominant role in the world economy by 2050. China is capable of overtaking
The States by 2030 in terms of value of its output (Dollar Terms). India also stands a good
chance of catching up with US and EU by 2050 If India sustains its progress in the economic
reform, so in order to avoid becoming a Bi Stander to this historic shift in the global
economic path the European countries have to up their game.

Chinas growth rate can decline after 2020 due to its population but India can hold on to its
growth only if it continuously progresses in strengthening the political, legal and economic
institutions that provide the foundations of long term sustainable growth.

Other emerging economies like Indonesia, Mexico, Turkey, Brazil, South Africa, Nigeria
having great potential will still have a long way to go to get their institutions, up to the
world leaders like Sweden and Singapore.

Russia, Nigeria and other Middle East economies that depend heavily on oil and gas may
face problems in the longer run unless they can successfully diversify their economies over
the coming years

Western Businesses should not neglect their home markets in North America and Europe
even if they grow at a relatively slow pace.
Average Income levels per person will still be higher in 2050 in economies like the US and
UK compared to emerging giants like India and China
Q2) WHAT ARE THE MAIN DRIVERS BEHIND THE LONGER TERM
DEVELOPMENT IN A COUNTRY?

ANSWER-
The growth of an economy is measured by the GDP growth and the per capital income of
the population.

The major drivers of economic growth can be categorized under four categories.
1-work force
2-education
3-investment
4-technological improvements
Productivity is an important factor of GDP growth. The more active a population is in the
work force the higher GDP growth. countries with high number of ageing population tend to
have a relatively poor GDP growth to countries with high youth and middle age population.
The more productive the population the more is the chances of foreign investments.
countries with high labour productivity attract foreign investment and maintain a strong
foreign relation, leading to development in other sectors of the economy (technology, etc.)

Education is a crucial determinant of an individual and nations productivity. primary

determinant of a countrys standard of living is how well it succeeds in developing and
utilizing the skills and knowledge, and furthering the health and educating the majority of its
population. No country has achieved constant economic development without considerable
investment in human capital. Education is also an important contributor to technological
capability and technical change in industry. Education alone, of course cannot transform an
economy. The quantity and quality of investment, domestic and foreign, together with the
overall policy environment, form the other important determinants of economic
performance. Yet the level of human development has a bearing on these factors too. The
quality of policy making and of investment decisions is bound to be influenced by the
education of both policy makers and managers; moreover, the volume of both domestic and
foreign investment is likely to be larger when a systems human capital supply is more
plentiful.

One of the crucial factor of economic development depends on the spending of the
economy. The economy has to spend heavily in certain factors such as human capital,
technology, Infrastructure, natural resources etc.

Higher the spending on these factors the economy tends to provide better living standard to
people. The better the life of the people the more the productivity. The government has to
spend heavily to optimize and preserve the natural resources which form the backbone of a
countries growth.

Technology can be regarded as the primary source in economic development. various

technological changes adopted by an economy contributes significantly to an economys
development. The major part of increased productivity can be attributed to the level of
technology adopted. with adaptation of new technologies backed by investment in R&D a
country can explore new avenues for development to improve the prevailing standard and
ensure better and higher results of growth.
Q3) INDICATE HOW THE GOVT MAY INFLUENCE THIS LONGER- TERM
DEVELOPMENT?

ANSWER-
The following are the initiatives the Government can take in order to influence a long-term
development:

The Government -

1) Must try to get a balance between better delivery of public services as well as should
create more pressures for democratic governance so that the growth can be sustained
in that particular country.

2) In order to reduce the carbon emissions that have been increasing due to the growing
spending power in the hands of the middle-class families, the Government should not
only make sure that cities are planned properly with energy-efficient buildings but also
the cities should have good public transport facilities available. Providing better
transport facilities will not only reduce the number of private vehicles running on the
road but will also reduce the pollution and congestion in the country.

3) Take initiatives and also form policies so that all the children specially girls get universal
secondary education. When girls receive secondary education, it not only improves the
income levels of the family but also helps the economy to reduce the fertility rate to a
huge level.

4) Should form the Globalisation policies in such a manner that it is a win-win situation
for both the government and the middle-class population of each country.

5) Should make sure that all the matters relating to income and opportunity inequality are
completely tackled while the benefits from globalisation, change in technology and
innovation are kept intact.

6) Must provide basic work insurance and pensions to the people having government jobs
and also providing social insurance for all workers.

7) Should provide social security and social assistance programs to all the citizens of the
country.

8) Should make policies that would reduce the amount of carbon emissions made by the
middle-class families.
Q4) HOW WOULD YOU DESCRIBE THE NEW GLOBAL MIDDLE CLASS
IN THE YEAR 2030?

ANSWER-
The middle class has been increasing since more than double the rate since 1960s. it has
been proven that middle class amounts to the majority in the world population (figure 4). In
recent years, it has been seen that the spending power of the middle class is increasing as
their disposable income is increasing.

The highest number of middle class are in the Asia pacific region (table 2). In the future, it is
predicted that the highest number of consumption is going to be from the Asian middle
class. Middle-class consumption accounts for over one-third of the global economy, and it is
growing by around 4 percent in real terms.

By 2022, the middle class could be consuming about $10 trillion more than in 2016; $8
trillion of this incremental spending will be in Asia (Figure 9).
The worldwide middle class in 2030 can be depicted in 5 measurements: estimate,
utilization, condition and social issue; and political view.
For the main measurement, it is said that the middle class is becoming quicker than the
worldwide populace and will crest preceding 2030. In any case, occasions, for example,
emergency or market blasting can influence the quantity of such class. The middle-class
populace is set to develop by 160 million individuals for every year by and large through
2030 and Asian could represent two-third of the aggregate worldwide working-class
populace.

About the utilization, it will increment $29 trillion from 2015 to 2030, $15trillion of which
will be from the present lower centre pay including India, Indonesia, Vietnam, the staying
from China and Brazil. Subsequently, Asia will take for the greater part of aggregate middle
class utilization showcase. There will be a few changes in the rank of working class
utilization between nations, similar to China overwhelm the US, India surpass Japan and can
even surpass the US, and a few nations like Pakistan, Turkey and Egypt will build the middle
class to over $1 trillion.
From the ecological view, the expansion in middle class can prompt increment in carbon
oversight. However, increment in working class prompts increment in urbanization and to a
little degree, provincial zone spends more on transportation than urban territory. A few
people figure it can be a reason that working-class development cause less carbon
impression than anticipated. More middle-class populace likewise implies better training, in
this way back off the ripeness rate, and in the long run control the worldwide populace
development.

In political view, the approach in the nation can influence the middle class. In the event that
there is no edge for the win-win between middle class in nations, the legislatures may see
the intrigue clashes between such class in created and creating nations.