SEPT 26, 2004
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Q&A: Montek Singh Ahluwalia
The celebrated Deputy Chairman of the Planning Commission speaks to BT Online on the shape of post-liberalisation planning to come. What prompted his return to India, what exactly is the Commission up to, what panchayats mean to India's future, and yes, the relevance of Planning in the market era.


Of Mice...
Mouse-click yourself any which way in cyberspace; why net-surfing plans are such a drag.

More Net Specials
Business Today,  September 12, 2004
 
 
The Uneasy Icon

The strange life of William Lever, a businessman who gave us so much of the familiar, and a set of essays on the Indian economy.

William Lever: Father of brands

Take another quick look at the portrait on this page of William Lever. That painting by Augustus John, Britain's famously Bohemian portrait painter of the 1920s, may never have seen the light of day was it not for an accident. Lever had commissioned John to do the portrait, but after having seen the final painting when it was sent to him, he was so upset with the unflattering rendition of his visage that he flew into a rage and, with a kitchen knife, sliced the head off the canvas. And hid what remained in one of the rooms of his mansion. Of course, Lever paid John in full for his effort. All would have been well if a housekeeper at the Lever household hadn't discovered the painting with a hole and, unwittingly, sent it back to John. All hell broke loose thereafter. With an insulted artist, a righteous press and an unrepentant tycoon embroiled in an unseemly tussle, readers of the more risqué newspapers in Britain those days must have had a jolly time. The painting, by the way, was restored after Lever's death.

Anecdotes such as these make Adam Macqueen's biography of the son of a grocer who became one of the world's greatest creator of brands in the 19th century and, quite possibly, the earliest creator of a true multinational corporation, a good read... a page-turner even. Not very many corporate biographies (a good number of them are officially sponsored, in any case) are engrossing. And too many of them-even the ones written by journalists-are hagiographical in their tone. Macqueen's is a refreshing exception. That may have something to do with the (somewhat self-promoting) blurb about the author. Macqueen, says the book's jacket cover, became a journalist only after a career of cleaning toilets, packing mail-order baldness cures, leading canoeing holidays for teenage drug addicts and a few other things that sound (but may not necessarily be) cool to have on an author's curriculum vitae.

THE KING OF SUNLIGHT
By Adam Macqueen
Bantam Press
PP: 328
Price: Rs 1,078

Lever was a paternalistic industrialist whose policies and management style pioneered employee benefits as they are known today. He was also a control freak and an eccentric, sleeping for most of his life in bedrooms without roofs, exposing his body and mind to the vagaries of nature, come rain or snow. At meals, he encouraged his associates, including Lever Brothers' officials, to chew every mouthful 32 times and liked to control his workers' lives even as he emerged as an epitome of employee welfare.

But more fascinating is the story of how Lever used advertising to build his Sunlight and other brands and of how he expanded the operations of his business, first within Britain, then in Europe and soon around the world. For much of his time at the helm of the company, Lever was obsessed with control. Sometimes to paranoid proportions-like when he appointed a private detective to find out whether an underling who headed the US business was slacking off or working hard.

Macqueen recreates the soap wars of the late 19th century when newspapers went to town with a debate about Lever's ethics in advertising at a time when London was being stalked by the mysterious Jack the Ripper. For Indian readers, there are some nuggets like the heated debate between Lord Curzon, a passionate protectionist, and Lever, a diehard free-trader, aboard a cruise ship. Or of how a 21-year-old architect, Edwin Lutyens, was one of the professionals that Lever hired to design the first township for Leverites in Port Sunlight. It would be years before Lutyens would design the stately buildings of New Delhi or the Cenotaph in London's Whitehall.

Lever's philanthropy is well-known, but Macqueen reveals Lever's significant tenure as a Liberal member of parliament. He became an mp in 1905 and campaigned for old age pension and women's suffrage. Macqueen's book takes the reader behind the brusque exterior of an entrepreneur who built a multinational in his own lifetime and fathered modern marketing.


INDIA'S EMERGING ECONOMY
Edited by Kaushik Basu
Oxford University Press
PP: 318
Price: Rs 525

It is indeed difficult to do justice to a collection of essays written by some of the finest minds of India, and that too on issues spanning the entire spectrum of the Indian economy. Especially, when the compilation raises fundamental questions about the sustainability of India's economic growth, about the prospects of its much-touted information technology supremacy, its benefits to the grass roots workers, democracy, governance and much, much more.

Yet, the Kaushik Basu-edited India's Emerging Economy: Performance and Prospects in the 1990s and Beyond, is a tour de force in the sense that it effortlessly tackles these issues, especially in their social and cultural context (something most economic treatises tend to ignore). And the 12 chapters boast of some of the country's-if not the world's-top academics, economists and business thinkers: Amartya Sen, Pranab Bardhan, Y.V. Reddy, Nicholas Stern, and N.R. Narayana Murthy, among others.

If Nobel laureate Sen argues in his typical fashion that it is not too much democracy, but too little of it, that is holding up India's growth in his essay, Democracy and Secularism in India, RBI governor Reddy makes a strong plea for greater legal, policy and procedural reforms for the financial sector in Monetary and Financial Sector Reforms in India.

For the World Bank trio of Stern, Manuela Fero, and David Rosenblatt, the only way out for India's laggard states is to frame pro-poor policies, which should rest on the twin pillars of improved investment climate and empowerment of the poor to contribute to and benefit from growth. But in their chapter Globalization and Economic Reforms as Seen from the Ground: SEWA's Experience in India, Renana Jhabvala and Ravi Kanbur argue that despite the overall benefits of globalisation, there are three troubling features at the ground level-relative decline in wages of the unskilled, their increased vulnerability and declining bargaining power.

However, as Basu, eminent economist and editor of this book, writes in the first essay, "Though there are still innumerable important reforms to undertake, the fundamentals of the Indian economy are probably strong enough to implement and benefit from another round of market reform and further opening up of the economy.'' If that whets your appetite, read the book.

 

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