India's Aamchi Mumbai stands at rank
1 in overall competitiveness. In fact it is numero uno on most of sub-dimensions.
It somehow compensates for its poor show in the context of strategy and rivalry.
Even its business costs are a dampener. No doubt it has to struggle to keep
closely-ranked Delhi and Hyderabad at bay. Nonetheless, it faces the challenge
of retaining its edge. But the larger challenge it has to meet is to rise to
such levels that it can see eyeball to eyeball of global benchmarks like Vancouver,
Tokyo and London. Often it is said to be a marriage of New York and Los Angeles.
A reality check shows the ludicrousness of such comparisons. .
Again, Mumbai fares poorly on the spending pattern of denizens (rank 9th). The economically depressed slums with poor civic amenities are a blot on the city, acting as temporary crucibles to hold migrants. .
The ethnographic melting pot is meanwhile plagued by 'migrants exit' and 'sons of soil only' drives while most analysts perceive this diversity to be Mumbai's strength. The extortion and other mafias keep raising their Gorgon head, in cahoots with the shady in the political arena. .
A city that spawns a class with crore-plus salaries, has people who are forced to sleep on roads. It is dubiously one of the most expensive cities in the world. This is a city of contrasts, a cosmopolitan city by world standards. Its backyard Hell's Kitchen, Dharavi, would be an embarrassment elsewhere, but here it is a flourishing city in its own right, with one of the highest cost indices in the world. It ranked 40th in the OECD study of global cities. .
It no doubt has a well-coordinated financial centre, which has now beat NYSE and LSE. The SEBI has to become much more competent through legislation and implementation of policies. No doubt the work ethics of Mumbaites are adorable. And so is the fine traffic sense. And equally exciting is the late night fun and frolic the people have despite restrictive regimes. .
This is what makes Mumbai the most competitive. Yes, it can become greener. And the port development would ace its competitiveness. Its education system has to migrate to higher standards. .
The clusters around like Thane and Kalyan definitely need leadership in absorbing world class practices and excellence. So far the spawning of innovation is limited and sketchy. It is Maharashtra's gateway to the countryside. And for the city that accepts thousands of make-it-big-dreamers every day, it itself has to set sights on loftier goals. .
COMPETITIVE STRENGTHS .
• Best overall business environment
• Most superlative factor conditions
• Excellent demand conditions .
COMPETITIVE WEAKNESSES .
• Strategy context not good.
• Bad spending pattern
• Underdeveloped business complexity