BT MindRush: China wants autocracy across the globe, warns management guru Ram Charan

Talking about the steps India needs to take to protect itself from the very disruptive Chinese economic strategies, management Ram Charan said that we need to do targeted marketing with companies we want to invite to the country and industry needs to work along with the government. He also added that India needs to build a supply chain in India to find a way to get qualified employees to enable the multiplier effect in the economy. 

Charan, who was speaking at the 10th edition of Business Today MindRush, an annual conference held at The Oberoi in New Delhi, has consulted for some of the biggest corporate houses in the world including the likes of GE and Microsoft. In India, business houses including the Aditya Birla Group and Wipro have consulted him.

In the masterclass, he talked about China’s goals, emphasising that the worldview of the Chinese is that they want autocracy and one-party rule in the whole world.  "Second, is [to] upend the American dollar as the reserve currency and the movement has begun. If the dollar reserve currency gets lost, what do you think will happen?" asked Charan.  

He also talked about the five building blocks of China. “The building block one is to accumulate hard currency. Today they have $3.4 trillion of the currency and America owes $1.4 trillion. This is hard cash. That $3.4 trillion is increasing by roughly $500 billion a year,” said Charan.  They have a trade surplus from almost 150 countries. And this is their strategy, he added.

He added the second strategy is to encircle the globe using logistics and ports. “China now has a railroad from northeast of China to Europe in 16 days. They control their logistics. They also use our logistics but we are not allowed to use their logistics. They have now underground cables to control the data flow and telecommunications. So, they control their whole logistics.”

The next one is block voting in the global trade of organisations. The fourth is the diversionary strategy of the Russia-Ukraine war. 

“We can argue this but my sense is it is a diversionary technique. It is resulting in the diversion. Because the resources are going, in the time concentration is away from the Chinese point of it And then you have the fear,” he said.