Editors : Anoushka Chand Ananya Jain Designer : Siddhant Talwar (@realsidt)
August 2017
MYB T I M E S
Stepping inside the twelfth year, Bizzonomy club has always sought out to encourage students to connect theoretical and practical knowledge of the Business world through analytical and quantitative approach. During the academic year 2016-17, several events were organised for students to further their knowledge of the business world and to generate a keen interest. The Club had designed an exciting and unique event for grade IX, where a treasure hunt along with ad enacts was conducted. The treasure hunt contained several riddles and questions which tested the student’s awareness in the field of business. The ad enact, based on a product given on the spot helped showcase the creativity of the students.
All the teams had to come up with an innovative advertisement along with a catchy jingle. The club also administered a stock market simulation for class 12, who were required to conduct live trading of stocks of leading companies and put to use their knowledge of financial markets in this competition. In the club, we also believe in acknowledging all that we have received from the society and show our appreciation by helping out with the tasks that can make a real difference to the lives of people. On account of Children's’ Day, the members of the Bizzonomy Club volunteered with an NGO, Family Vision in organising a children’s day mela for 1000 street children. It was a great feeling to see the smiles on the faces of the children as they ran clinching their precious gifts which they had won in the game stalls.
₹₹₹₹₹₹₹₹₹ Decoding the Goods and Services Tax
The Goods and Services Tax (GST) introduced on July 1st, 2017 and has since taken the country by storm, so much so that India's midnight tryst with the tax on June 30th is being compared to the subcontinent's awakening to freedom in the wee hours of August 15th, seven decades ago. This path breaking tax reform is a Value Added Tax (VAT) proposed to be a single, comprehensive indirect tax levied on the manufacture, sale and consumption of goods as well as services at the national level, intended as replacement to all indirect taxes levied on goods and services by the Indian Central and state governments. Furthermore, it is aimed at making India a “unified common market”. GST is a comprehensive, multi-stage, destination-based tax that will be levied on every value addition. The GST is not a new phenomenon. It was first implemented in France in 1954 with the primary objective of preventing tax-evasion, and has since been implemented by 159 other countries, although it has manifested into various forms in different parts of the world. This tax has been introduced in the subcontinent after a 13 year long journey since it was first discussed in the report of the Kelkar Task Force on indirect taxes. Following India’s federal structure, it has chosen the Canadian model of dual GST. The Goods and Services Tax is to have two components: Central GST (CGST) which will be levied by the Centre, State GST (SGST) which will be levied by the states will be levied by both concurrently. The GST is to have threefold benefits – for business and industry, the Union and state governments and for the consumers. However, all is not smooth-sailing for the tax as is it plagued with uncertainties and inadequacies. However, the biggest redeeming factor of the GST in the face of any and all qualms and uncertainties is the fact that individuals and organisations will henceforth only be taxed on the incremental value addition at each stage, since persons at each stage will be able to claim input tax credit for the taxation already paid at earlier stages. This would inevitably reduce the burden of taxation that earlier rested with the end consumer, leading to several benefits. As the world’s fastest growing large economy, India needs economic reforms to further accelerate its growth.The biggest benefit which has happened in a short span of one month is the complete removal of state level border check post which used to levy octroi, making India one single market a reality. The GST is expected to add at least 0.5-1% additional GDP growth.
BIGGEST MONETARY EXPERIMENT Nine months after India’s fast-growing economy was disrupted by the radical currency ban which sent shock waves through our largely cash-dependent economy and scrapped 86.9% of the currency in circulation, growth is back on track in most sectors and stock markets are surging. The rupee is at a nearly two-year high and has gained about 5 percent against the dollar in recent months. The banking system has been flushed with funds due to the huge cash deposits in their possession. Interest rates have gone down, leading to surplus liquidity conditions. According to the government, terrorism and insurgency have come down. Moreover, the large sums of counterfeit currency in the denominations of 500 and 1000 that were in circulation earlier have virtually vanished. Since money has come to the banking channels, it serves a more productive purpose for the economy than the cash lying stashed in individual lockers and households. Currency squeeze due to demonetisation along with seasonal factors pushed food inflation. Government data reveals that despite the economic pain last year, India's economy is well-poised to rebound during 2017-18. While the Finance Ministry expects the growth rate to rebound to 7.5% in 2017-18, international agencies such as the World Bank and the Asian Development Bank believe India's economy will expand by 7.4% in 2017-18. While India's economy undergoes momentous changes in this redefining phase that is sure to go down in the pages of history, its citizens can only stand by with bated breath and hope for the best.
Quiz Q1. What is the unique offering of Bengaluru startup Mypetrolpump ? Q2. Star Hyper is a chain of retail stores in India created as a JV between Tatas and which global retail chain ? Q3.Which global co is all set to surpass Apple in profits ? Q4.Which auto major has made an announcement that from 2019 they will only make electric or hybrid cars ? Q5.Which company has launched a flavoured milk brand VIO ? Q6. ”Big Blue” is the nick name of which technology giants? Q7.Which bank pioneered merchant banking business in India?
Answers 1. Door delivery of diesel and petrol, 2. Tesco, 3. Samsung, 4.Volvo, 5. Coca Cola Co., 6. IBM, 7. Grindlays bank
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The Story of Kellogg: In 1894, Dr. John Harvey Kellogg was superintendent of a famous hospital and health spa in Battle Creek, Michigan. His younger brother, Will Keith Kellogg, was the business manager. The hospital stressed healthful living and kept its patients on a diet that eliminated caffeine, meat, alcohol and tobacco. The brothers invented many foods that were made from grains, including a coffee substitute and a type of granola, which they forced through rollers and rolled into long sheets of dough. One day, after cooking some wheat, the men were called away. When they finally returned, the whet had become stale. They decided to force the tempered grain through the rollers anyway. Surprisingly, the grain did not come out in long sheets of dough. Instead each wheat berry was flattened and came out as a thin flake. The brothers baked the flakes and were delighted with their new invention. They realized they have discovered a new and delicious cereal, but they had no way of knowing they had accidentally invented a whole new industry. Will Keith Kellogg eventually opened his own cereal business and its most famous product is still sold today. It wasn’t until 1906 that Kellogg’s Corn Flakes were made available to the general public.
Did you know?
Potato Chips
Inventor: George Crum, a chef at the Carey Moon Lake House in Saratoga Springs What they were trying to make: A plate of fried potato. How it was created: One day, a customer sent back his plate of potatoes many times and kept asking for them to be more fried and thinner. Crum lost his temper, sliced the potatoes insanely thin and fried them until they were hard as a rock. To the chef's surprise, the customer loved them and wanted more! And this is how potato chips came into existence. As you can clearly see from the above examples of various inventions people all over the world have tried, failed and succeeded sometimes by mistakes made by them through the journey. Utility for the invention will be developed later in life so don’t expect immediate results for all your actions but keep experimenting.