India Current Affairs

India overtakes US to become 2nd largest smartphone market behind China

According to research firm Canalys, India has overtaken US to become second largest smartphone market in the July-September 2018 quarter. India saw shipment of 40.4 million units during third quarter and was second to China where 100.6 million smartphones were shipped. Smartphone shipment in US was at 40 million units.

Key Highlights

Worldwide smartphone shipments fell by 7.2% year-on-year to 348.9 million units during July-September 2018, a fourth consecutive quarter of decline. This was also worst third quarter performance since 2015. Seven of the top ten markets recorded year-on-year (y-o-y) declines, mainly caused by lengthening smartphone replacement cycles, worsening international trading conditions and competition from major Chinese vendors.

The three markets (among top 10) that registered growth were Indonesia (13.2% increase y-o-y to 8.9 million units), Russia (11.5% jump y-o-y to 8.8 million units) and Germany (2.4% rise y-o-y to 5.5 million units). China’s smartphone shipment declined 15.2% y-o-y, India by 1.1% and US by 0.4% in September 2018 quarter.

Samsung led vendor tally with 20.4% share in said quarter, followed by Huawei (14.9%), Apple (13.4%), Xiaomi (9.6%), and Oppo (8.9%). The worldwide smartphone market faces unprecedented challenge, while its dynamics are changing rapidly at both vendor and country level. This is providing growth opportunities for aggressive vendors with speed to respond quickly to market changes.

Month: Categories: Business & Economy Current Affairs 2018

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India ranked 77th World Bank’s Ease of Doing Business Index

India ranked 77th among 190 countries by leapfrogging 23 ranks in World Bank’s Ease of Doing Business (EODB) 2018 rankings. In the 2017 rankings, India ranked 100th and had jumped 30 places. In 2016, 2015 and 2014, India had not improved much and was placed at 130, 131 and 134, respectively, in ranking.

EODB 2018 was topped by New Zealand (consecutive for third time), followed by Singapore, Denmark, and Hong Kong. US was placed at eighth and China was ranked 46th while Pakistan is placed at 136th.

Ease of Doing Business Index

The index ranks 190 countries based on 10 indicators across the life-cycle of a business, from “starting a business” to “resolving insolvency.” These 10 indicators are: Starting business, Dealing with construction permits, Getting electricity, Registering property, Getting credit, Protecting minority investors, Paying taxes, Trading across borders, Enforcing contracts and Resolving insolvency. Each one of these indicators carry equal weightage. In case of India, Delhi and Mumbai are only two cities surveyed by World Bank for this reankings.

India’s performance in EODB 2018

  • Its jump in ranking in EODB 2019 was aided largely by improvement in areas such as “trading across borders”, “dealing with construction permits”, “getting electricity”, “getting credit” and “starting a business”.
  • It has improved in rank in six out of ten indicators. It has moved closer to international best practice. India’s score also improved to 67.23, a gain of 6.63 from last year.
  • The most dramatic improvements by India was registered in indicators related to ‘construction permits’ (improved to 52 from 181) and ‘trading across borders’ (rose to 80 from 146).
  • However, compared to last year, India saw its ranking dip on various other parameters, such as “registering property”, “protecting minority investors”, “paying taxes” and “resolving insolvency”.
  • It is among top ten economies improving most across three or more areas alongside countries such as Afghanistan, Djibouti, China, Azerbaijan, Togo, Kenya, Côte d’Ivoire, Turkey and Rwanda.
  • It is only other country, alongside Djibouti, to be in top ten for second year in row. Two economies with largest populations — China and India — demonstrated “impressive reform agendas”.
  • It made starting business easier by integrating multiple application forms into general incorporation form. India also replaced value-added tax (VAT) with GST for which registration process is faster.

Month: Categories: Business & Economy Current Affairs 2018

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