Monday, 15 October 2012

United Distributors Nepal Pvt. Ltd. Operating at the Bottom of the Pyramid


Nepal, like other under-developed countries of the world, is facing many issues such as poverty, bribery, corruption, incompetent politics, scams, non-payment of taxes and many more. However, United Distributors Nepal Pvt. Ltd., which is amongst the famous business groups in the country, has made the entire country proud in several ways. It does not really matter to them what is the economic scenario, and from where they are operating their business from. It just showcases their efficiency in what they do.

The overall economy of the country appears to have got divided in two entirely different as well as distinct layers; each of them seems to challenge each other. One part of the economy portrays that the country is facing many issues, as mentioned earlier. A number of industries, which are based in and operate from Nepal, apparently, are suffering from a bunch of factors like labour unrest, shortage of electricity & water and many more. Various banks, have been found to be witnessing increasing NPAs with the passage of time and is resulting in many complains being lodged by different sectors. Most of concerns are regarding the sinking of banks under huge amount of debt, particularly, in the real estate sector. Besides this, NEPSE (Nepal Stock Exchange’s Stock Market Index) has gone down by about 70% since it reached the peak around 2 years ago.

Even in such a scenario Macro Economic Indicators is believed to have improved than earlier. Balance of payments has reached surplus of Nrs.120 billion. Apart from that, revenue collections as well as foreign exchange reserves are, in present context, at quite high level. In fact, this country is considered to have outshined its glorified neighbours on a number of Macro Economic Indicators.       
        
Now, in case, someone looks at these contradicting scenarios separately, he or she is bound to get confused, on the grounds that these scenarios refer to the same country. Hence, for understanding this, it would be better to look for sustainable value at the most bottom level.

Nepal has been witnessing the development of phenomenal buying power at the basic level owing to the fact that the country has got above 3 million migrant labours working across the globe. Its earning amounts to approximately USD 4 billion from the foreign exchanges in the form of remittance. Now, the consumption of USD 4 billion, as a result, is creating an economic cycle, which is quite strong. Many companies that are amongst the notable Fast Moving Consumer Goods have realised huge volume for serving something, which is sustainable as well as profitable. UDN (United Distributors Nepal Pvt. Ltd.) is one such company. 

No comments:

Post a Comment