Agneepath Scheme: Right Intent, Right Idea, Poor Positioning

 For leaders and policymakers, developing good ideas is essential, but effectively marketing and positioning those ideas is even more critical. Every idea has limitations, and it is vital to understand what to communicate and emphasize. Proper communication and marketing ensure awareness, engagement, and adoption by clearly conveying the benefits, building trust, and differentiating ideas in a crowded landscape. Effective positioning highlights the unique advantages and relevance, ensuring the idea resonates with the intended audience.

The ruling party in India, the Bharatiya Janata Party (BJP), is reasonably good at generating sound ideas. Many of their schemes, policies, and initiatives demonstrate vision and good intent. However, these ideas often face rejection or public backlash due to inadequate communication, marketing, or positioning. For example, the Farm Bill introduced in 2020 aimed to benefit farmers by increasing their earnings. Nevertheless, the lack of clarity and effective marketing allowed opposition and vested interests to incite massive protests, ultimately resulting in the bill's rollback.

Another example, a hot topic, is the Agneepath Scheme, which in a nutshell is a recruitment scheme for the Indian Armed Forces. It involves recruiting young people, called Agniveers, for a four-year tenure. After this period, a portion of Agniveers may be offered permanent commission, while others will leave with a severance package and skills training. The scheme aims to reduce the average age of the armed forces and provide youth with disciplined training and experience.

The Agneepath scheme has several drivers and benefits. It aims to create a younger and fitter force, as a youthful workforce brings more physical agility and adaptability. Enhancing the Indian Armed Forces' youthful profile ensures maximum risk-taking and effectiveness in battle. The scheme also focuses on skill development, with Agniveers gaining discipline, teamwork, and technical skills. Additionally, reducing the average age of soldiers significantly lowers the pension burden. Agniveers not retained after their service will benefit from practical military experience, discipline, and skills, along with a financial cushion of Rs 12 lakhs to start businesses or further their education. This scheme presents a unique opportunity for young people to serve their country and support nation-building, creating an energetic profile for the armed forces.

However, the scheme has some implementation issues and limitations. It would have benefited from a smaller-scale pilot before full implementation. Moreover, the current form is more suitable for the Army and less for the Navy and Air Force, where longer training durations are required. Concerns about job security and the impact on military ethos also arise, as a shorter service period might hinder the development of a strong military culture and camaraderie. While the scheme has its pros and cons, analysis and discussions with military personnel and experts suggest it is indeed a step in the right direction. It is a 'work-in-progress' and not a finished product yet. There is significant scope for improvement, which the central government acknowledges and is open to addressing. Various state governments are also introducing related schemes to help Agniveers find suitable employment opportunities after their service.

The focus here is not to debate the efficacy, implementation, or limitations of the Agneepath scheme but to discuss whether the scheme was properly marketed and positioned. I feel that the scheme could have been positioned differently and effectively.

India is grappling with a significant unemployment crisis, with the youth unemployment rate being alarming. According to the latest data from the Centre for Monitoring Indian Economy (CMIE), an independent think tank, the unemployment rate in India stood at 9.2 percent in June 2024, a sharp increase from 7 percent in May 2024. This issue necessitates focused government interventions, skill development initiatives, and job creation to address the pressing challenge of unemployment. The issue of unemployment is being heavily discussed in parliament, public forums, social media, living rooms and is a key grievance against the current government.

On a separate note, I believe that the current government did not create the issue of unemployment; rather, it is the result of decades of negligence and a lack of vision and initiatives. Unemployment is more of a ‘by-product’ stemming from challenges such as uncontrolled population growth, high illiteracy, and a significantly inadequate education system at the grassroots level. While there are thousands of public and private schools, are we really preparing our children for the current and future requirements? The answer is a big no. Companies hire and then invest considerable time, resources, and effort in training new hires because they are often not sufficiently prepared to hit the ground running. A young individual with a degree but inadequate skills lacks employability.

While the current government inherited the unemployment problem, it is accountable for addressing it. It is another point that they are also not doing much to solve the root causes of the unemployment issue, so it serves them right!!

The Agneepath scheme, amid this backdrop, could have been positioned as a powerful tool for job creation. Instead of focusing on cost-cutting and demographic changes within the armed forces, the scheme should have been primarily positioned as an employment scheme with relaxed selection criteria, guaranteed employment for four years, along with a monetary benefit at the end and potential for future re-employment. That’s it. Plain, simple and effective. It would have resonated strongly with the target audience. This approach would have aligned with the nation's pressing need for job creation and could have mitigated some of the initial public resistance. Proper positioning of government initiatives is crucial in addressing complex societal challenges like unemployment.

Hopefully, some lessons have been learnt by the government and the bosses and in future, they would ‘read the room’!!

Chinese EVs Revving Up on Global Roads

Image Source: The China Project (Illustration for The China Project by Alex Santafé)

Chinese automotive OEMs, particularly those specializing in electric vehicles (EVs), are revving their engines for a global takeover. Fueled by ambitious electrification and sustainability targets set by various countries, the landscape is ripe for Chinese EV manufacturers to expand internationally. Leveraging their technological expertise and competitive pricing, these OEMs are aggressively venturing beyond the domestic borders. While several countries across the globe are witnessing a surge in Chinese EV presence, Europe emerging as a pivotal battleground.

Rapid Growth of Electric Vehicles in China

The ascent of Chinese EV manufacturers marks a pivotal disruption in the global automotive sector. While Tesla pioneered widespread electrification, China's impact is profound and expansive. BYD's surpassing of Tesla as the top-selling EV brand in late 2023 underscores China's rapid ascent. This success stems from extensive investment and collaboration with Western OEMs, initially in conventional vehicles, facilitating rapid learning and technological leapfrogging. Chinese manufacturers now produce cutting-edge EVs with advanced battery technology and competitive pricing, underpinned by a vertically integrated supply chain from component production to battery manufacturing.

The Chinese market itself is a massive driver of EV growth, with 27 million cars (ICE+EV) sold in 2023 compared to 14 million in Europe. Nearly 30% of China's market is comprised of EVs, significantly higher than Europe's 15%. The rapid adoption of EVs in China is supported by government policies and incentives, making it a fertile ground for EV development and adoption.

Global Expansion

The Chinese dragon's ambitions extend far beyond its domestic borders, with a keen focus on international markets. In 2023, China's total BEV exports surged by an impressive 70%, totaling USD 34.1 billion.

China's EV exports are experiencing explosive growth. According to the China Association of Automobile Manufacturers (CAAM), in the first four months of 2024, China exported over 236,000 electric vehicles, a staggering 135% year-on-year increase. Europe is a major recipient, with Germany, Norway, and the United Kingdom leading the charge. Southeast Asia is also emerging as a significant market, with countries like Thailand (forecasted to reach 300,000 EV sales by 2030) and Indonesia (targeting 2 million EVs on the road by 2025 actively promoting EV adoption.

The global expansion of Chinese EVs is driven by stringent emission regulations and government incentives. Electric and Hybrid vehicles are projected to have 46% penetration rate by 2030, with battery electric vehicles (BEVs) at 30%. Chinese EVs, noted for affordability, advanced technology, and sleek designs, attract a wide consumer base. For instance, BYD's Han EV has gained popularity in Norway due to competitive pricing and impressive range.

Focus on Europe

The European Union stands out as the largest destination for Chinese BEV exports, accounting for almost 40% of the total shipments in 2023. Additionally, other European nations, including Albania, members of the European Free Trade Association, North Macedonia, Ukraine, and the United Kingdom, collectively received 15% of Chinese BEV exports (Source: Atlanticcouncil.org).

In Europe, China's EV market share is poised to rise from 5% in 2022 to 12% by 2025, driven by factors such as reduced tariffs, the allure of cutting-edge battery technology, and the increasing popularity of Chinese electric car brands.

Chinese brands like BYD, Nio, and MG have gained traction in Europe, challenging established automakers like Volkswagen and BMW. Some, like Volkswagen and Stellantis, are already forging partnerships and investments in China to stay competitive. The UK, in particular, presents a lucrative market for Chinese EVs, with brands like SAIC-owned MG and Geely-owned Volvo gaining traction.

Countermeasures by Countries

To counter the threat from Chinese EV imports, governments worldwide are offering subsidies and incentives for domestically produced or assembled EVs. Some countries are considering stricter localization requirements, mandating a percentage of EV components be manufactured locally to encourage technology transfer, bolster domestic production, and create jobs. Additionally, import tariffs are being implemented; the European Commission has announced provisional duties of up to 38.1% on Chinese EV imports to level the playing field for European manufacturers. This move may prompt similar actions by other nations.

China has strongly disapproved of these protectionist measures, advocating for open markets and fair competition. In response to the European Commission's tariff hike, China has voiced strong objections. The prospect of retaliatory tariffs or disputes through bodies like the World Trade Organization (WTO) underscores the geopolitical implications of trade in the automotive sector. The hike has also drawn negative reactions from major global automakers like BMW, VW, Stellantis, and Mercedes-Benz, as well as automotive associations. Chinese EV manufacturers such as Nio and Chery, who are directly affected, have also expressed their displeasure.

Future Outlook

The future dominance of Chinese EVs will depend on evolving international trade policies and consumer preferences. Key factors include how Chinese OEMs address concerns about aftersales service, quality control, cybersecurity, and geopolitical tensions. Despite European tariffs and regulatory scrutiny presenting challenges, Chinese EV manufacturers' global expansion remains formidable, and the ‘Red Dragon’ will continue to roar in global EV arena.

Disclaimer: Any views or opinions represented in this blog are personal and belong solely to the author of the article and do not represent those people, institutions, or organizations that the author may or may not be associated with in professional or personal capacity, unless explicitly stated. The author does not intend to use or exploit trademarks/icons/logos used in this article for any commercial purpose whatsoever. All trademarks/icons/logos used in this article belong to their respective copyright owners and the author in no way implies to take credit for them.

 

The Myth of Hindu Unity

In the grand tapestry of Bharat's socio-political landscape, one of the most enduring myths is that Hindus form a cohesive majority. Official statistics may indicate that around 80% of Bharat’s population identifies as Hindu, but beneath this numerical facade lies a complex web of divisions that belies this apparent unity. The notion of a monolithic Hindu identity often seems more like a political construct than a reflection of the country’s true socio-cultural fabric.

When we examine the internal dynamics of Bharat, the picture is far from unified. We are fragmented by numerous factors: geographical regions, ideological differences, economic disparities, caste, creed, and even fan loyalties. The nation's divisions are so pronounced that it is almost a given that we will find reasons to stay apart—whether by region (North versus South), political orientation (right wing versus left wing), or caste.

The historical narrative that Bharat remained a Hindu-majority country despite centuries of invasions and colonial rule often overlooks a critical issue: our internal disunity made us vulnerable. Additionally, while Hindu theology identifies kama (Desire/Lust), krodha (Anger), lobha (Greed), mada (Ego), moha (Attachment), matsarya (Jealousy), and alasya (Laziness) as key mental obstacles, many of us do not genuinely work to overcome these challenges in our daily lives. These factors highlight why we were subjected to rule by invaders (like the Mughals and British) and dynasts (such as the Indian National Congress) for so many centuries.

We take pride in the fact that, unlike many other countries that were religiously converted by invaders, Bharat remained a Hindu-majority nation. Statistically and on paper, this is accurate. However, what if the invaders did not exert significant effort to convert us? What if they considered us worse off remaining Hindus, or if they did not want their faith to be corrupted by our mindset?

Consider this: if Hindus were genuinely united, no one could have mocked us. No one could have taken things away from our plate in the name of appeasement. No one could have jeopardized Bharat’s medium to long term growth potential by playing vote bank politics. I am not at all suggesting that we should have been like a militant outfit and troubled others. Bullying others just because of the strength of numbers is cowardly. Saving cows is great, making Muslim drivers eat cow dung is not. Just a strength in character would deter people to not take us for granted.

Our divisions are laid bare during elections and in various other arenas, revealing a society where allegiance to caste and regional identity often outweighs national cohesion. The recent Lok Sabha elections offer a telling example. The ruling party, various other blunders aide, lost several seats due to the pervasive influence of caste-based voting. In certain constituencies, candidates were chosen based on caste affiliations rather than merit or party allegiance. It is actually good to not consider the religion while deciding who to vote for but then the consideration should be national interests, economic growth, integrity and not caste or freebies. This fractured approach to voting diminishes any party’s ability to implement substantial change.

In Bharat, the political and social landscapes are often shaped by fragmented vote banks such as Jats, Yadavs, and Bhumihaars. This fragmentation hampers the possibility of a unified and effective Hindu vote. In contrast, similar unity among other communities results in a more consolidated and influential political force. For instance, while Shia or Sunni vote banks may exist, they typically come into play only when the competition is between Muslim candidates.

Take the example of Rampur, Uttar Pradesh. Despite the BJP's reputation for Hindu-centric policies, the party allocated numerous houses under the Pradhan Mantri Awas Yojana to residents of Rampur, which has a significant Islamic population. However, the BJP faced a significant defeat in this constituency. Why? Because, unlike the fragmented Hindu vote, the Muslim voters in Rampur were largely unified. While this unity helped them defeat the so-called 'Hindu party,' it came at a cost. Leaders who engage in vote bank politics rarely serve their constituents' best interests. Their aim is to keep people divided and perpetually dependent.

By failing to stay united and prioritizing caste-based interests and freebies over national and economic growth, we perpetuate a cycle of poverty and political myopia. Consequently, we later find ourselves lamenting issues such as unemployment, rising prices, and the loss of job opportunities, academic seats etc. Let us not play victim in a situation that we have created for ourselves.