Skip to main content

Who’s buying Gold?

For thousand’s of recorded history India remained number one gold importer country. As par recent data from Gold ETF’s they are holding approximately 5 tonnes of gold in their lockers. That compares against a total private gold hoard held by Indian citizens, now estimated to stand between 13,000 and 15,000 tonnes. Romans love for Indian spices was the reason for loss of their gold to India. Every trades were paid by means of bullion (mainly Gold).

Twenty per cent of world gold production is consumed by India; the figure till 2007/08 stands at 800 tonnes, of which 600 tonnes are used in jewellery manufacture. Of this 600 tonnes, only 20% will ever get recycled, rest just disappeared out of thin air.

Now after so many years, India’s import in last two months (Feb & March 2009) is NIL. The gold price are soaring and have gone up 300% in last couple of years and is already all time high in terms of GBP, EURO and INR. It seems only Gold ETF (or paper gold) are buying bullion to keep at their vault. With SPDR becoming first gold exchange traded fund to keep 1000 tonne of gold in their vault.
Labels:

Comments

Post a Comment

Popular posts from this blog

Strategic Assessment of Indian offshore IT and IT Enabled Services Industry

Introduction Outsourcing is a strategic decision taken by firms to achieve competitive advantage whereby products or services are produced more effectively and efficiently by outside suppliers. As par McCarthy & Anagnostou (2004, p. 63), "outsourcing is an agreement in which one company contracts-out a part of their existing internal activity to another company." Offshore business process outsourcing refers to outsourcing to vendors outside the country, predominantly to developing nations to leverage the cost advantage. To remain competitive and focus on core competencies, companies are driving toward offshore outsourcing as it helps free up resources (SCHEIBE, MENNECKE, & ZOBEL, 2006, p. 283) and help higher management focus on core business requirements (Blumberg, 1998). The offshoring provides effective means of reducing cost by outsourcing non-core activites to third party who can provide similar, if not better, services at lower cost. India is the favourite desti...
17 comments
Read more

Organisational Culture Case Study : Perot Systems India Ltd

The assignment is to produce a case study using the relevant concepts, theories and models introduced in the module, describe and analyse organisational culture and discuss, using the examples from the organisation, whether organisational culture can be managed. Click below link for flash content Organisational Culture Case Study : Perot Systems India Ltd Organisational Culture Case Study : Perot Systems India Ltd. Rajesh Purohit, University of Leicester, UK The assignment is to produce a case study using the relevant concepts, theories and models introduced in the module, describe and analyse organisational culture and discuss, using the examples from the organisation, whether organisational culture can be managed. Introduction The case study uses interpretive methodology including ethnographic methods and action research within an interpretive paradigm. The research builds on years of participant observation and interview with employees and human resource department, statisti...
1 comment
Read more

What insights does the “resource based view” of Strategy add to an understanding of competitive advantage that the “design school” model leaves out?

Competitive Advantage A company is said to be in competitive advantage when it develops or get hold of attribute which helps it to do better than its competitors in terms of higher rate of return on investment. Competitive advantage occurs when firm develops or acquire unique attributes which help it to outperform its competitors. This attributes can be new technology, business process, highly skilled technical resources etc. Resource Based View (RBV) Design school theory of business strategy caters mainly for external environment and leaves out any internal resources. Resource base view (RBV) is used to determine internal resources from within the firm contributing towards greater financial performance (Kearns & Lederer, 2003). The core of the RBV emphasises that organisation to maximise rate of return and financial profitability and form sustainable competitive advantage, should have heterogeneous resources and capabilities. The resources in question should be inimitable an...
2 comments
Read more