PRESENTED BY -GROUP : 11

RANU JAIN NEHA SURANA JIMIT PAREKH PALAK PATEL TARAK CHAWAN DAHIWAT

Content :
The BRICs BRICS And LICs. Painting BRIC by numbers. INDIA: A rising growth potential. RUSSIA: A smooth political transition. CHINA: Unleashing the Caged Tiger. The B in BRICs: Unlocking Brazils growth potential. Shared Challenges & opportunities. BRIC & International Politics. Influence The BRIC summit Criticism Conclusion

WHAT IS BRICS ?
BRIC AND BRICs are the acronym used to refer to the combination of the four biggest emerging market countries :

BRAZIL , RUSSIA , INDIA , CHINA.

The BRIC :
A grouping acronym referring to the countries of Brazil, Russia, India, and China. Term was first prominently used in a Goldman Sachs report from 2003. These countries arent a political alliance - but they have the potential to form a powerful economic bloc. These four countries are among the biggest and fastest growing emerging markets. Already BRIC accounts for: 40 per cent of the world's population, 25.9 per cent of its total geographic area.

THESIS
The acronym has come into widespread use as a symbol of the shift in global economic power away from the developed G7 economies towards the developing world. The thesis was proposed by Jim O'Neill, global economist at Goldman Sachs. On almost every scale, they would be the largest entity on the global stage. These four countries are among the biggest and fastest growing emerging markets. They have changed their political systems to embrace global capitalism. The report states that in BRIC nations, the number of people with an annual income over a threshold of $3,000, will double in number within three years and reach 800 million people within a decade.

Mexico and South Korea are currently the world's 13th and 15th largest by nominal GDP, just behind the BRIC and G7 economies, while both are experiencing rapid GDP growth of 5% every year.

UNDERSTANDING THE BRIC ECONOMIES

How Brazil, India, China and Russia will change your business outlook ? The U.S. economy at more than $13.3 trillion gross domestic product is several times more than No. 2 Japan ($4.5 trillion) and many times over most of the rest of the world. 1. So what's changing? 2. Making an indirect move toward these economies. 3.Making the most of cheaper BRIC labor. 4. Find partners to work with in these key economies. 5.At minimum, get ready to compete with BRIC talent.

CULTURE AND WORK STYLE IN BRIC ECONOMY

BRAZIL The cultural attitude toward time may also have implications for the facility. Office standardization has become more important as offices become modernized. Technology use is pervasive in modern Brazilian offices.

RUSSIA Managers prefer to sit in private offices that have been furnished with higher quality furniture rather than sit with the general workforce.
There is some technology in the office, but Russia, was late to embrace the Internet.

INDIA
Some Indian organizations are facing the same workplace struggles as companies in Western countries, namely workspace size and designation and worker mobility. Indias technology infrastructure is behind other BRIC countries and the Internet penetration of the population of the country is only 1.7 percent.

CHINA Understanding the importance of extended family in China helps one understand dynamics in the traditional Chinese office. Panel heights are very low so that every one can see each other and communicate with others from a seated position. An office that incorporates these attributes of open vistas and protective spaces could very well appeal to any worker, regardless of culture.

BRIC :
1. Federative Republic of Brazil President (head of state and government): Dilma Rousseff

2.

Russian Federation President (head of state): Dmitry Medvedev Prime Minister (head of government): Vladimir Putin
Republic of India President (head of state): Pratibha Patil Prime Minister (head of government): Manmohan Singh People's Republic of China President (head of state): Hu Jintao Premier (head of government): Wen Jiabao

3.

4.

It is no more BRIC Economy

It is BRICS Now

Cont

GDP (Purchasing power parity) Total : $18,486 billion (2010 estimate) China $10,084 billion India $4,001 billion Russia $2,219 billion Brazil $2,182 billion GDP (nominal) Total : $10,982 billion (2010 estimate) China $5,878 billion Brazil $2,090 billion Russia $1,477 billion India $1,537 billion

Cont.

Area
Total : 38,518,338 km2 (2010 estimate) Russia 17,075,400 km2 China 9,640,821 km2 Brazil 8,514,877 km2 India 3,287,240 km2

Population
Total : 2,851,302,297 (2010 estimate) China 1,336,970,000 India 1,210,000,000 Brazil 192,787,000 Russia 141,927,297

New Growth Drivers for Low-Income Countries: The Role of BRICs

The emergence of BRICsBrazil, Russia, India, and Chinais reshaping lowincome countries (LICs) international economic relations. Bilateral trade, which grew exponentially over the past decade, is the backbone of LICBRIC relations. BRIC foreign direct investment holds the potential to boost productivity of LIC industries Development financing provided by BRICs can help LICs alleviate some key bottlenecks to domestic economic activity

 To maximize its benefits, BRIC financing should be used for high-return projects, and its debt implications carefully assessed Growing LIC-BRIC ties have boosted growth in LICs

Dreaming with BRICs: The Path to 2050 :

BRICs currencies could appreciate by 300%. providing a big tailwind for investors in BRIC assets. By 2050, BRIC countries expected to account for over 40% of the worlds population, and 60% of global GDP. Taken together, the BRICs could be larger than the United States and the developed economies of Europe within 40 years.

INDIA:A Wise Elephant :

Globalization Forces of globalization set the stage for rapid rise of Indian economy . Confluence of internal changes and external forces of globalization allowed India to leverage the power of English-speaking technical talent to produce powerful software for the global market. Key Advantages 1.15 billion people 2nd largest labor force: 516.3m people Approximately 2.5 million college graduates per year Those with graduate degrees and above have risen from 20.5 million in 1991 to 48.7 million in 2004

INDIA:A Wise Elephant :

Trends Number of people in absolute poverty has declined sharply Exports have boomed Foreign exchange reserves are ample for the first time in history Newfound economic dynamism has shifted the balance of leaders priorities from geopolitical goals to mutual economic interests.

Challenges for the Future Improving governance Improving basic educational achievement Improving infrastructure and electrical capacity in cities Expanding technology industry

RUSSIA : A Smooth Political Transition

A Smooth Political Transition An easy case for globalization Undue emphasis on economics over politics Disregard of cultural values Russia can still benefit from a globalized world without undertaking painful reform. Challenges for the Future Labor shortages and poorly developed infrastructure WTO membership and long-term growth of the manufacturing sector Reconciling ambitions as a major power with reality of current situation

THE B IN BRIC : Unlocking Brazils Growth POTENTIAL :

THE B IN BRIC : Unlocking Brazils Growth POTENTIALThe uneasy emergence of an economic leader in Latin America One of the fastest growing economies in the last century But over-reliance on agricultural commodity exports resulted in a development marked by boom and bust Focus on equitable development has resulted in significant poverty reduction Brazilian economy becoming less dependent on exports A global leader in renewable fuels. Challenges for the Future Overburdened and ineffective judicial system

CHINA: Unleashing The Caged Tiger :

How did China do it? Chinas successes are associated with liberalization and globalization. China focused not only on opening economy, but also on institutionalizing globalization. Assimilation of best practices from across the globe . A Painful Transition State enterprise employment declined from 110 million in 1995 to 66 million in 2005. Urban-rural income gap is getting wider . Environmental cost of industrialization.

CHINA: Unleashing The Caged Tiger :

Key Advantages: Broad expansion of educational achievement Rapid economic growth Resilience to global economic downturn . Challenges for the Future Recognition as a global power requires adherence to international norms Continued reform of state-run enterprises. Demographic shifts threaten sustained growth. Navigating a complex relationship with US and world.

Shared Challenges & Opportunities :

Challenges The face of poverty in 20th century was rural children. The face of poverty in the 21st century will be the urban elderly. Making the global system more accommodating to diverse cultures and values. Opportunities Inclusive growth critical for sustained globalization (politically) in developing countries, because potential lies in bringing up all .

BRIC and International politics :

New world order. U.S troops has been deployed in Afghanistan for more than 8 years without any substantive outcome. Afghanistan is close to China, India and Russia. The controversial question of Iran. Russia, China and India could secure more proximity to the region. BRIC cooperation is not solely an anti-U.S., or anti-western phenomenon, but is based on deeper common interests.

Improve Bargaining Position with Western Countries.

Stabilize International Environment and Prevent Encirclement

INFLUENCE :
Account for 15% of the global economy and 42% of global currency reserves. Between 2000 and 2005, the BRICs contributed roughly 28% of global growth in US dollar terms and 55% in purchasing power parity (PPP) terms. Their share of global trade continues to climb at a rapid rate. At close to 15% currently, it is now double its level in 2001. The BRICs share of oil demand is moving steadily higher, with an estimated 18% share in the current year

BRIC Summit Aftermath :

The BRIC countries met for their first official summit on 16 June 2009, in Yekaterinburg, Russia. Discussed the current global financial crisis, global development, and further strengthening of the BRIC group. Attacked the role of dollar as the primary international currency & suggested new global reserve currency that is 'diversified, stable and predictable'. Issued a joint statement on global food security, calling for "action by all governments and the relevant international agencies

Criticism :
Understatement of GDP growth in China which predicts growth falling far below normal development. The BRICs dream isnt green. Nothing more than a neat acronym for the four largest emerging market economies. BRICs doesnt have a concrete and constructive agenda for change or vision for a future world order. It is not clear what BRIC would do even if they were given the opportunity to remake the international order.

Conclusion :
The Importance of the U.S. The BRICs have come together in a political grouping in a way that has far exceeded most expectations. Although BRIC cooperation has been significant, intra-BRIC competition and rivalry are important limits on how much further BRIC cooperation can go.

THANK YOU

THANK YOU maam and sir

IBE was a great subject . (as it is said when anything gets over then only you realize its importance.) For all your support and cooperation. For watching our work (which was ALWAYS eye paining to watch). For making us realize how to work in a group. For all group conflicts. And most importantly good knowledge of outside world. For making us understand topic and helping in all possible ways. For scolding us for our own improvement. And much more thank you