\( % groupings of objects. \newcommand{\set}[1]{\left\{ #1 \right\}} \newcommand{\seq}[1]{\left(#1\right)} \newcommand{\ang}[1]{\langle#1\rangle} \newcommand{\tuple}[1]{\left(#1\right)} \newcommand{\size}[1]{\left| #1\right|} \newcommand{\comp}{\circ} % numerical shortcuts. \newcommand{\abs}[1]{\left| #1\right|} \newcommand{\floor}[1]{\left\lfloor #1 \right\rfloor} \newcommand{\ceil}[1]{\left\lceil #1 \right\rceil} % linear algebra shortcuts. \newcommand{\change}{\Delta} \newcommand{\norm}[1]{\left\| #1\right\|} \newcommand{\dprod}[1]{\langle#1\rangle} \newcommand{\linspan}[1]{\langle#1\rangle} \newcommand{\conj}[1]{\overline{#1}} \newcommand{\der}[1]{\frac{d#1}{dx}} \newcommand{\lap}{\Delta} \newcommand{\kron}{\otimes} \newcommand{\nperp}{\nvdash} \newcommand{\mat}[1]{\left[ \begin{smallmatrix}#1 \end{smallmatrix} \right]} % derivatives and limits \newcommand{\partder}[2]{\frac{\partial #1}{\partial #2}} \newcommand{\partdern}[3]{\frac{\partial^{#3 #1}}{\partial #2^{#3}}} \newcommand{\gradient}{\nabla} \newcommand{\subdifferential}{\partial} % Arrows \newcommand{\diverge}{\nearrow} \newcommand{\notto}{\nrightarrow} \newcommand{\up}{\uparrow} \newcommand{\down}{\downarrow} % gets and gives are defined! % ordering operators \newcommand{\oleq}{\preceq} \newcommand{\ogeq}{\succeq} % programming and logic operators \newcommand{\dfn}{:=} \newcommand{\assign}{:=} \newcommand{\co}{\ co\ } \newcommand{\en}{\ en\ } % logic operators \newcommand{\xor}{\oplus} \newcommand{\Land}{\bigwedge} \newcommand{\Lor}{\bigvee} \newcommand{\finish}{\Box} \newcommand{\contra}{\Rightarrow \Leftarrow} \newcommand{\iseq}{\stackrel{_?{=}}} % Set theory \newcommand{\symdiff}{\Delta} \newcommand{\setdiff}{\backslash} \newcommand{\union}{\cup} \newcommand{\inters}{\cap} \newcommand{\Union}{\bigcup} \newcommand{\Inters}{\bigcap} \newcommand{\nullSet}{\phi} % graph theory \newcommand{\nbd}{\Gamma} % Script alphabets % For reals, use \Re % greek letters \newcommand{\eps}{\epsilon} \newcommand{\del}{\delta} \newcommand{\ga}{\alpha} \newcommand{\gb}{\beta} \newcommand{\gd}{\del} \newcommand{\gp}{\pi} \newcommand{\gf}{\phi} \newcommand{\gh}{\eta} \newcommand{\gF}{\Phi} \newcommand{\gl}{\lambda} \newcommand{\gm}{\mu} \newcommand{\gn}{\nu} \newcommand{\gr}{\rho} \newcommand{\gs}{\sigma} \newcommand{\gth}{\theta} \newcommand{\gx}{\xi} \newcommand{\gw}{\omega} \newcommand{\sw}{\sigma} \newcommand{\SW}{\Sigma} \newcommand{\ew}{\lambda} \newcommand{\EW}{\Lambda} \newcommand{\Del}{\Delta} \newcommand{\gD}{\Delta} \newcommand{\gG}{\Gamma} \newcommand{\gW}{\Omega} \newcommand{\gS}{\Sigma} \newcommand{\gTh}{\Theta} % Bold english letters. \newcommand{\bA}{\mathbf{A}} \newcommand{\bB}{\mathbf{B}} \newcommand{\bC}{\mathbf{C}} \newcommand{\bD}{\mathbf{D}} \newcommand{\bE}{\mathbf{E}} \newcommand{\bF}{\mathbf{F}} \newcommand{\bG}{\mathbf{G}} \newcommand{\bH}{\mathbf{H}} \newcommand{\bI}{\mathbf{I}} \newcommand{\bJ}{\mathbf{J}} \newcommand{\bK}{\mathbf{K}} \newcommand{\bL}{\mathbf{L}} \newcommand{\bM}{\mathbf{M}} \newcommand{\bN}{\mathbf{N}} \newcommand{\bO}{\mathbf{O}} \newcommand{\bP}{\mathbf{P}} \newcommand{\bQ}{\mathbf{Q}} \newcommand{\bR}{\mathbf{R}} \newcommand{\bS}{\mathbf{S}} \newcommand{\bT}{\mathbf{T}} \newcommand{\bU}{\mathbf{U}} \newcommand{\bV}{\mathbf{V}} \newcommand{\bW}{\mathbf{W}} \newcommand{\bX}{\mathbf{X}} \newcommand{\bY}{\mathbf{Y}} \newcommand{\bZ}{\mathbf{Z}} \newcommand{\bba}{\mathbf{a}} \newcommand{\bbb}{\mathbf{b}} \newcommand{\bbc}{\mathbf{c}} \newcommand{\bbd}{\mathbf{d}} \newcommand{\bbe}{\mathbf{e}} \newcommand{\bbf}{\mathbf{f}} \newcommand{\bbg}{\mathbf{g}} \newcommand{\bbh}{\mathbf{h}} \newcommand{\bbk}{\mathbf{k}} \newcommand{\bbl}{\mathbf{l}} \newcommand{\bbm}{\mathbf{m}} \newcommand{\bbn}{\mathbf{n}} \newcommand{\bbp}{\mathbf{p}} \newcommand{\bbq}{\mathbf{q}} \newcommand{\bbr}{\mathbf{r}} \newcommand{\bbs}{\mathbf{s}} \newcommand{\bbt}{\mathbf{t}} \newcommand{\bbu}{\mathbf{u}} \newcommand{\bbv}{\mathbf{v}} \newcommand{\bbw}{\mathbf{w}} \newcommand{\bbx}{\mathbf{x}} \newcommand{\bby}{\mathbf{y}} \newcommand{\bbz}{\mathbf{z}} \newcommand{\0}{\mathbf{0}} \newcommand{\1}{\mathbf{1}} % Caligraphic english alphabet \newcommand{\cA}{\mathcal{A}} \newcommand{\cB}{\mathcal{B}} \newcommand{\cC}{\mathcal{C}} \newcommand{\cD}{\mathcal{D}} \newcommand{\cE}{\mathcal{E}} \newcommand{\cF}{\mathcal{F}} \newcommand{\cG}{\mathcal{G}} \newcommand{\cH}{\mathcal{H}} \newcommand{\cI}{\mathcal{I}} \newcommand{\cJ}{\mathcal{J}} \newcommand{\cK}{\mathcal{K}} \newcommand{\cL}{\mathcal{L}} \newcommand{\cM}{\mathcal{M}} \newcommand{\cN}{\mathcal{N}} \newcommand{\cO}{\mathcal{O}} \newcommand{\cP}{\mathcal{P}} \newcommand{\cQ}{\mathcal{Q}} \newcommand{\cR}{\mathcal{R}} \newcommand{\cS}{\mathcal{S}} \newcommand{\cT}{\mathcal{T}} \newcommand{\cU}{\mathcal{U}} \newcommand{\cV}{\mathcal{V}} \newcommand{\cW}{\mathcal{W}} \newcommand{\cX}{\mathcal{X}} \newcommand{\cY}{\mathcal{Y}} \newcommand{\cZ}{\mathcal{Z}} % Formatting shortcuts \newcommand{\red}[1]{\textcolor{red}{#1}} \newcommand{\blue}[1]{\textcolor{blue}{#1}} \newcommand{\htext}[2]{\texorpdfstring{#1}{#2}} % Statistics \newcommand{\distr}{\sim} \newcommand{\stddev}{\sigma} \newcommand{\covmatrix}{\Sigma} \newcommand{\mean}{\mu} \newcommand{\param}{\theta} \newcommand{\gthEst}{\hat{\theta}} \newcommand{\ftr}{\phi} \newcommand{\est}[1]{\hat{#1}} % General utility \newcommand{\todo}[1]{\textbf{[TODO]}] \footnote{TODO: #1}} \newcommand{\tbc}{[\textbf{Incomplete}]} \newcommand{\chk}{[\textbf{Check}]} \newcommand{\why}{[\textbf{Find proof}]} \newcommand{\opt}[1]{\textit{#1}} \newcommand{\experience}[1]{[\textbf{Personal Experience}]: #1 \blacktriangle} \newcommand{\pf}[1]{[\textbf{Proof}]: #1 \Box} \newcommand{\core}[1]{\textbf{Core Idea}: #1 \Arrowvert} \newcommand{\example}[1]{\textbf{Example}: #1 \blacktriangle} \newcommand{\error}[1]{\textbf{Error alert}: #1 \triangle} \newcommand{\oprob}{[\textbf{OP}]: } \renewcommand{\~}{\htext{$\sim$}{~}} \DeclareMathOperator*{\argmin}{arg\,min} \DeclareMathOperator*{\argmax}{arg\,max} \)

Indian google-apple

Source: TW

How can India produce globally competitive companies like Apple, Google, Pfizer, Samsung, Honda, Boeing, Siemens, TSMC or Huawei? Why are these companies so important to their host nations? Is India on a path to producing these companies? I will explore these quesrions.

First let me answer the “Why” question. These companies are extremely important to their host nations because they embody within themselves the advanced know-how and R & D capabilities essential for modern life and nationhood. Most critical R & D happens within such companies. These companies enjoy a disproportionate share of economic value added as well as profits (compared to their direct effect on employment) and also pay heavy taxes to their host nations both through their well-compensated employees and directly as corporations. That’s the why.

Now let me come to the “how”. For India to build such companies, Indian private sector must invest in R & D heavily. There is no other way. The government should incentivise and persuade companies to invest in R & D. Industrial R & D is not the same as academic research. The return on private sector R & D investment is enormous. Those aggregated returns from the private sector are what show up as high GDP growth and high GDP per capita. If we want a $30 trillion economy, we must invest heavily in private sector R & D. One point program!

Where will find the skilled people to staff private sector R & D? “If we build it, they will come” - when the private sector invests in R & D and signals it’s deep commitment, talented people stay home. Companies also find ways to create and nurture talent as Zoho has done. Finally

, is India on a path to producing such companies? On present trajectory, no. Indian private sector is not investing sufficiently in R & D. We have not created the culture and mental habits of being R & D driven companies. We must build the culture first. Yes we can. 🙏