Showing posts with label Business. Show all posts
Showing posts with label Business. Show all posts

Tuesday, February 14, 2012

The Business of Politics- Capitalist View

Can we make political parties work like companies??

Very often we hear talks about politics in office and politics in business. I am curious as to how we can apply business sense to politics (governance to be precise). I have been seeing this battle between the civil society and the government. The whole idea of creating a lokpal which has complete authority and making it answerable to none, and hoping that this body will remain incorruptible and will act in public interest and not for personal gains, does not instill much confidence. I wont go into the details of this overly discussed topic, but frankly, i dont want to fight again after a few years for a Lok-lokpal ( an independent body to monitor lokpal ). We should keep in mind that most of today's problems are the results of yesterdays short sighted solutions.

Coming back to the topic, We dont see as many monitoring bodies in corporate sector, nor do we see such lengthy debates on the rules and regulations. But still we consumers keep on getting better services and products every other day. The life style of an avg Indian has improved drastically in last few years. This is not because of exceptional governance, but because of a very competitive and active corporate sector.

Can we take cues from the corporate sector and make our govt more efficient as well?? After all political parties can always be seen as companies with politicians as employees while the citizens of the country being customers. Like companies fighting for customers' money, the political parties fight for our votes.

I have always been a firm supporter of capitalism and believe that an open market place can solve most problems of modern times. So what do we have to do to make our govt more efficient?? The answer is the same as to what we do to make companies produce better products at cheaper rate. We make political parties compete for our votes. But we already have a system to do this. After all democracy means different parties competing for public approval to rule a nation. So we already have a market place. Then how do we make it 'open' or more competitive. We do this by being a more aware consumer. The moment our 'parties' realise that their customer responds sharply to any change in the quality of product, they will start giving us better product/services. 

Here I will have to discuss something called the 'elasticity'. If we respond very sharply to a corruption scam by voting out the ruling party in the next election, they we will be considered very elastic. Being elastic and being aware are the best ways to increase the sense of competition among political parties.

So the answer to the problem of corruption is not to create new rules. The answer is to respond sharply by using the power that we already have. By being an informed voter. This may sound cliche, but the truth is, Tata tea's jaago re campaign did more good to the country than Anna Hazare's fasts.