300 Per Cent Inflation

Summary


300 Per Cent Inflation

An economy-wide inflation of that magnitude would have caused a meltdown by now; yet, this is the quantum of price rise India Inc. has to cope with, at least in the case of some of its inputs. The inputs in question are people and if there is any silver lining to this touch of grey, it is in the fact that this number is applicable only for CEOs and very senior executives and in a few industries only. A more representative number would be 20 per cent, although there are some industries where the across-the-board average would be close to 40 per cent.

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Extract


300 Per Cent Inflation

This isn't the only input-cost increase industry has to factor into its scheme of things; the prices of most raw materials and intermediates are up, thanks, in part, to the soaring price of oil, and in part, to general inflationary tendencies across the world. China, were it exposed to similar increases, would have been crippled: its economic power c...

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