For the last decade, China and India have grown at an amazing rate
- particularly considering the greatest downturn in the U.S. and
Europe since the Great Depression. As a result, both countries are
forecast to have larger economies than the U.S. or EU in the years
ahead. Still, in the last year, signs of a slowdown have hit these
two giants. Which way will these giants go? And how will that
affect the global economy? Any Western corporation, investor, or
entrepreneur serious about competing internationally must
understand what makes them tick. Unfortunately, many in the West
still look at the two Asian giants as monoliths, closely controlled
mainly by their national governments. Inside Out, India and China
makes clear how and why this notion is outdated. William Antholis -
a former White House and State Department official, and the
managing director at Brookings - spent five months in India and
China, travelling to over 20 states and provinces in both
countries. He explored the enormously diversity in business,
governance, and culture of these nations, temporarily relocating
his entire family to Asia. His travels, research, and interviews
with key stakeholders make the unmistakable point that these
nations are not the immobile, centrally directed economies and
structures of the past. More and more, key policy decisions in
India and China are formulated and implemented by local governments
- states, provinces, and fast-growing cities. Both economies have
promoted entrepreneurship, both by private sector and also local
government officials. Some strategies work. Others are fatally
flawed. Antholis's detailed narratives of local innovation in
governance and business - as well as local failures - prove the
point that simply maintaining a presence in Beijing and New Delhi -
or even Shanghai and Mumbai - is not enough to ensure success in
China or India, just as one cannot expect to succeed in America
simply by setting up in Washington or New York. Each nation is as
large, vibrant, innovative, diverse, and increasingly decentralized
as are the United States, Europe and all of Latin America ...
combined. China and India each have their own agricultural
heartlands, high-tech corridors, resource-rich areas, and
powerhouse manufacturing regions. They also have major economic,
social, environmental challenges facing them. But few people
outside these countries can name those places, or have a mental map
of how the local parts of these countries are shaping their global
futures. Organizations, businesses, and other governments that do
not recognize and plan for this evolution may miss that the most
important changes in these emerging giants are coming from the
inside out.
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