Directions (Next Seven Questions) : Read the following passage carefully and answer the questions given below it.

PASSAGE

Indeed the western recession is really the beginning of good news for India! But to understand that  we will have to over away for a while from the topic of western recession! For years the Japanese style of management has been admired. However over the last decade or so, one key question has sprung up “if Japanese management style is as wonderful as described then why has Japan been in a recession for more than a decade?’

The answer to this question is very simple. Culture plays a very important part in shaping up economies. What succeeds in one culture fails in another. Japanese are basically non-materialistic. And however rich they become unlike others, they cannot just keep throwing and buying endlessly. And once they have everything they need; there is a saturation point. It was only when companies like Toyota realized that they cannot keep selling cars endlessly to their home market that they want really aggressive in the western markets and the rest is history. Japanese companies grew bigger by catering to the world markets when their home markets shrunk.

And the markets have to shrink finally after attaining a level of influence! And that’s great of the world because earth needs sustainable development. It does not need monstrous consumers who keep consuming at the cost of the environment and the earth. There should be limits to growth so that consumers are not converted into material dustbins for the profit of a handful of corporations. Owing to the materialistic culture elsewhere, it was possible to keep selling newer products to the consumers despite having existing ones which served equally well. They were lured through advertising and marketing techniques of ‘dustbinisation’of the customer; and then finally once they became ready customers, they were given loans and credits to help them buy more and more. When all the creditworthy people were given loans to a logical limit, they ceased to be part of the market. Even this world has understandable, if it could work as  an eye opener, instead of taking the right step’ as Toyota did, they preferred to take a ‘shortcut’. Now banks went to the non creditworthy people and gave them loans. The people expectedly defaulted and the entire system collapsed.

Now like Toyota western companies will learn to find new markets. They will now lean towards India because of its common man! The billion plus population in the next 25 years will become, a consuming middle-class. Finally, the world’s attention will shift to the developing world. Finally, there will be a real surge income of these people and in the next fifty odd years, one can really hope to see an equal words in terms of material plenty, with poverty being almost nonexistent! And this will happen not by selling more cars to Americans and Europeans. It will happen by creating markets in India, china, Latin America and Africa, by giving their people purchasing power and by making products for them.

The recession has made us realize that is not because of worse management techniques, but because of limits to growth. And they will realize that it is great for planet earth. After all, how many cars and houses must the rich own before calling it enough? It’s time for them to look at others as well. Many years back, to increase his own profits, Henry Ford had started paying his workers more, so that they could buy this cars.. in similar fashion, now the developed world will pay the developing world people so that they can buy their cars and washing machines.

The recession will kick-start the process of making the entire world more prosperous, and lay the foundation of limits to growth in the west and the foundation of real globalization in the world…of the globalization of prosperity. And one of its first beneficiaries will be India.