Finance, Forex and Investments

should we stop using the imported products of mnc's?

As we all are aware of the economic crisis and financial let down of India....most of the India currency (Rs.30000 crore) is siphoned out of the country due to the foreign exchange on products like cosmetics,snacks,tea,beverages etc....so my question is do you agree that we should stop using the MNC products to help our economy grow by altering the expenditure on foreign exchange?????if no then please share your views....

Public Comments

1. To think in this fashion, was very appropriate till a decade ago, but when 10% of our GDP is based on IT & ITES. It is most likely that all the countries if they think in such gashion, Our IT companies will be hampered. Which is not aceptable to us. So in a global market, we cannot bifurcate MNC and local now. And any ways, who are working for the MNC's Indians only, if we will not buy MNC product, our fellow citizens will loose their jobs. The banker to them may be PSU, they may come in trouble. So inturn we may be hurting ourselves rather than benefitting!!
2. It's always tempting to say that if we buy locally, our economic problems will go away. But you need to put yourself in the shoes of a supermarket shopper in the US, thinking of whether to buy a product made in India or in the United States. It helps you as a country, and helps thousands of Indians directly and indirectly, if people overseas choose the Indian product. Similarly, groups exist in countries like the UK and the United States making lists of large Western companies who use Indian contact centres (call centers). The idea is to boycott these companies until they fire their Indian call centres and use local workers instead. The whole idea of the global economy is that the strengths of one country become the strengths of another. Messing around with that by refusing to buy foreign products means everybody loses - but India would lose much more. Finally, the economic crisis in India has not been caused by too much foreign products. It's been caused by the unavailability of credit (the "credit crunch" you hear about on the news) which has destabilised the entire global economic system. The massive growth that India (and much of the rest of the world) was enjoying has come to an end, like all economic growth periods do and must. It is a cycle.
3. In very simpler term, Its always advisable to stop or restrict buying all unnecessary n luxury products, when yu are in financial tightness. But at the same time its also necessary to give a though why this happened and we must learn to avoid this situation again and EARN more.