The highlight of the week, India surpassed China to become the most populous nation in the world. And while some may view this as a cause for concern, savvy Indian investors know that this is actually great news for the country’s economy.
First of all, with a population of over 1.3 billion people, there’s no shortage of potential customers for any product or service. If you can sell something to just 1% of the Indian population, you’ve got yourself a million customers!
Look at the recently opened Apple stores in Mumbai and Delhi. Sure, they may cater to only 1% of the population who can afford it, but that 1% still runs into the millions! Who needs a billion customers when you can have a billion dollars worth of customers, right Tim Cook?
And let’s not forget about the potential for job creation. India’s highly skilled workforce, particularly in IT and software development, is well known. With a massive population, there’s a seemingly endless supply of talented and driven individuals who are eager to work hard and succeed.
Despite the Chinese foreign ministry spokesperson’s jibe, ‘Talent not size, is what matters’, India has a highly qualified professional workforce. The problem of an increasing number of young and jobless can be dealt with the right prioritization of talent and skill education. Taking a cue from the Hochschule in Germany, India can unleash even more of its potential. The National Education Policy which integrates vocational education with general education will help students acquire various skills in demand.
The real advantage of India’s booming population is the potential for wealth creation. With so many people, there’s a never-ending demand for basic necessities like food, clothing, and shelter. And as the middle class grows, so does the demand for luxury goods and services.
Speaking of the stock market, domestic investors in India have the might to lift the market without waiting for foreign investors to do the job. All thanks to the 3% of Indians who invest in the stock market. Well, we don’t need Wall Street to tell us when to invest. We’ve got the Taj Mahal of stock markets right here in Mumbai.
Perhaps the biggest advantage of India’s massive population is the potential for innovation and creativity. With so many people, there are bound to be a thousand ideas that haven’t been thought of yet. And if just one of those ideas takes off, it could change the world. Take the example of Zerodha which turned discount broking into a unicorn.
With a population this size, we don’t need to worry about a recession. Even if the rest of the world is struggling, we’ve got enough people to keep the economy going strong!
Of course, there are some downsides to having such a massive population. Traffic can be a nightmare. People here, there, everywhere. But look at the bright side, there’s always someone to talk to and you are never alone!
So, there you have it, folks. India may be home to over 1.3 billion people, but that just means there’s more room for growth and opportunity. Well, writing about the disadvantages will serve no special purpose, we all experience them on a daily basis. Let’s focus on the brighter side of the matter. In India, even the 1% is a billion. Now that’s what I call a market with potential!