Recession: India & Pune

“A recession is when your neighbor loses his job. A depression is when you lose your job.”

Oil prices have been surging. Housing markets have been dropping. Interest rates keep getting cut by the Banks in order to help curb the negative effects of possible recession. Now the situation has arrived when all of the current economic activity sent the U.S. into an economic recession. Are you prepared? Included in this article are several helpful tips and advice on ways to potentially avoid some of the pitfalls that occur as a result of a recession. But, as we all know, a recession is something that no one can ever be completely prepared for as it effects nearly everything that has anything to do with finance. That is, except for the few nations that seem unaffected by the US economy, which is unusually rare :-).

Recession in India :-

Recession is a drastic slow in economy, where gross national or domestic product has fallen in two consecutive quarters. A recession would be indicated by a slowing of a nation's production, rising unemployment and falling interest rates, usually following a decline in the demand for money.
The word 'recession' is being frequently used in India in recent months despite the fact that the economy continues to grow and that even at 7 per cent in the current fiscal and perhaps 6 per cent in the next one, these will be amongst the better growth years for the Indian economy since independence.

Recession in Pune :-

Though there are many industries in India which is badly affected by the so-called recession. With a sharp fall in demand for commercial and passenger vehicles, small vendors supplying parts to the auto units in the Pune industrial belt of Pimpri-Chinchwad are worried a lot. The area which houses two Giants auto makers — Tata Motors and Bajaj Auto Ltd — has a large number of small industries and ancillary units that are now reeling under the cascading effect of the recessionary trends, showing no signs of abatement, being noticed since September last year. However Ganesh Natarajan, CEO of Zensar, and President of NASSCOM, gave a talk last week about how the Indian IT/ITES industry is tackling the recession. Specially, LPO industry in pune, like Mindcrest, is very safe and taking benefit of recession.

Effects of Recession :-

Bankruptcies
Credit Crunches
Deflation (or ··disinflation)
Foreclosures
Unemployment
So how to prepare for a recession? Here are five things you can do:

• Identify the particular skills or experience you have that you could provide to others on a freelance basis.
• Identify who would want to use the skills you have - and how to let them know about the services you can provide.
• Identify your strengths and weaknesses. Strengthen your weaknesses.
• If necessary, identify who you could team up with to make your offer stronger - someone whose strengths complement yours. Be sure to work out a very clear agreement as to how you'll work together in order to avoid disputes later.
• Develop a practical, achievable plan and take all the steps necessary to make sure you can put it into action quickly if the need arises.
• And if you do start your own business be sure to keep good records from the start. You'll need to report your income to the tax people and pulling all the details together at tax filing time is not fun.

But friends, do not worry India is on a safer side, Market is affected, but very less. Job sector will also revive very fast. In my view, India suffers global economic slowdown only and not recession.