Brand Bangalore takes a hit

Brand Bangalore takes a hit
Mini Joseph Tejaswi | TNN

Bangalore: The ongoing political circus seems to have pushed Karnataka Inc. into suspended animation. It has tarnished its image of a favoured business destination. The political tamasha the state has endured is being discussed by global CEOs and international venture capital and private equity funds.
“There is clearly something rotting in the state. It’s suffering from a brand dilution syndrome due to bureaucratic apathy and political ill-will and instability. No active single window clearance mechanism is in place or no business decisions are taken here. Therefore many potential investors have been moving away to peaceful better pastures in the country or outside,’’said a highly-placed trade body representative.
The state has lost its magnetic power that used to attract hordes of corporates and crores of investments. Corporates in general are not anymore bullish in making additional or fresh investments here unless they have a compelling reason to do that.
“We were willing to forget traffic snarls, potholes and poor power scenario. But Bangalore is only sending wrong signals these days. More than its business prowess, what we hear more these days is about its political dramas and games,’’ said Ganesh Chaturvedi, CTO, in a technology company.
Federation of Karnataka Chambers of Commerce & Industry president S S Patil said: “The political turmoil is heavily eating into the business development activities of Karnataka. Corporates are staying away from investments. The state has lost investments worth up to Rs 50,000 crore to other destinations in the last six months.’’
Echoed Anand Adkoli, CEO, Liqwid Krystal: “No corporate can think of investing on a longterm business plan in a state that is wobbling.’’
Although most businesses are apolitically run, political stability is a must for businesses to grow and thrive.
Said T Ramappa, secretary general, BCIC: “This prolonged state of affairs is quite worrying. Businesses have been patiently waiting. Now the political anarchy is making them depressed and disgusted.’’
Som Mittal, president-elect, Nasscom, said: “It’s immaterial which government or which political party is in power. A stable government is key to business success. Any kind of instability will put business decisions on the back burner. That’s what is currently happening in Karnataka.’’