Maruti Suzuki Expecting about 30% up in September Sales

Maruti Suzuki has been experiencing huge domestic sales in September, the month of festival. Eid and Durga Puja, two most significant religious festivals in India, were celebrated in September. So, it is natural that the demand would be high. However, the demand was even beyond the expectation of the car maker. Maruti Suzuki had to struggle to contend with the demand. In fact, the domestic demand of the company in September could be around 70,000- 71,000 units.

The largest carmaker of India, Maruti Suzu, is now thinking about increasing its 10-lakh yearly production. However, the strong domestic demand could be halted by a likely increase in interest rates on bank loan for cars.

India has a one of the fastest growing car market in the world, but the market went through a tough phase during the recent economic recession. However, now it seems that the market looks pretty much lucrative with a number of foreign car makers entering into the low-cost small car segment of Indian car market.

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Business Standard

Air India Pilots Protesting for Performance Related Bonuses

It is no more a secret that India’s aviation industry has been badly hit by the world economic recession. Airline companies are finding it difficult to continue their business in the heat of economic turmoil. Because of economic recession number of tourists in the country has been decreased significantly over the last one or two years. Naturally, air line companies are struggling to cut costs. As part of their attempt to cut costs, Air India has recently decided to abandon the performance related bonuses of the pilots.

Air India pilots are now protesting against it. As a result, many flights have been interrupted. A large number of passengers are facing huge problems because of the strike of the pilots. Air India management tried to resolve the matter with the pilots by holding conversation, but nothing fruitful has come out yet.

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BBC

West Indies Team: Money vs Dedication

West Indies team in Champions Trophy 2009 has lost both the matches so far. In the second, they lost to Australia but it was not without a fight. IN fact, for most of the time in the match, I thought that they were the favorites to win but in the end, it was bad luck and lack of experience that did not let them do well. Tomorrow, they are going to take on India. It is a do or die for Indian team. They have to win and win it with a huge margin to keep their hope alive in this trophy. Tomorrow, no one is expecting that West Indies would win but let us see if they can again put a brave fight like the first two matches.

I guess that all of you know that this is not the regular West Indies cricket team. The top players have problem about salary with the board. So, the Cricket Board of West Indies has fielded a second or third category team with no star player. The thing that I liked a lot is the dedication that these ordinary players have put up in this series. In both the matches, they could offer very good competition.

I really admire their dedication. 

Tata Nano: The People’s Car Shown at Delhi Auto Expo

The much-awaited Tata Nano has been unveiled earlier this year in India. Dubbed as 1-lakh car in India, the passenger car which Tata Motors claims world’s cheapest car has been showcased at the New Delhi auto expo. Tata Group chairman Ratan Tata drove the car himself on the stage in front of hundreds of car enthusiasts.

Ratan Tata announced to introduce a small car priced 1 lakh four years back in 2005 and the car came into appearance in earlier this year. Tata has already received lots of pre-orders for the car and it is expected that the company will start delivering the cars later this year. Here, I am quoting some lines from Alibaba about the specifications of Tata Nano:

At the Auto Expo in New Delhi, Ratan Tata drove the Nano, which the company calls the People's Car, onto the stage and said it would still have the price tag of 100,000 (approximately $2,500) rupees promised four years ago, though commodity prices have since risen. "That's because a promise is a promise." In India, it's called the 1-lakh car ("lakh" being the Indian equivalent of 100,000).

So, you can see that Tata Nano has all the reasons to rock the Indian car market in the next few years. Because of its price point, the two-wheeler market will also be affected in India. Though it seems that Tata would make huge money through this model, the problem is that profit margin for Tata Nano will be very small.

Hollywood Turns to India: Any Financial Gain?

Hollywood actress Julia Roberts is now in India to shoot a significant part of her next film Eat, Pray, Love. He is not the first Hollywood celebrity who shot in India. For example, Angelina Jolie, another mega star of Hollywood, came to India in order to shoot for her 2007 film A Mighty Heart. Now, the rumor mill suggests that Jolie will once again come to India to shoot for ‘Wanted 2’. However, it is not yet confirmed.

Well, it seems that Hollywood now turns to India and I sense a financial gain in this approach. India is a big country and has a big media. Shooting for a movie that involves a mega star like Julia Roberts would definitely ensure a huge media overage in India and naturally it would work a promotion for the movie. It is true that most of the people in India are still illiterate and are not fan of Hollywood movie, but as I earlier said, India has a very big population. Even if only 5 percent people in India are fan of Hollywood movies, it becomes a big audience base for a Hollywood movie.

Toyota to Introduce a Low Priced Family Car in China

Toyota may be the no. 1 automaker in terms of global sales at this moment, but the Japanese automaker has not made a strong foothold in China, which is one of the fastest growing auto markets in the world.

However, now it seems that Toyota has turned its attention to China as it is going to launch an entry level family car in the country very soon. Moreover, Toyota is also planning to increase the number of dealers in China. At this moment, Volkswagen and General Motors are the market leaders in the country.

Yukitoshi Funo, Executive Vice President of Toyota Motor Corp., has said that his company does not have any plan to become the no. 1 in China, but it wants to have a strong hold in Chinese market. Funo believes that the big markets like China should always have domestic market leader. He, however, did not reveal details of the model that Toyota is going to launch in China.

Related article:

businessweek

Prime Minister Dr Manmohan Singh: India is not in Economic Crisis

Indian primer minister Dr Manmohan Singh has said that India is not facing any economic crisis at this moment. He admitted that India’s export sector has suffered because of global economic recession resulting into less economic growth. However, he is still happy that India could maintain 6 to 6.5 percent of economic growth, despite the global economic downfall.

Mr. Singh has also called upon the non-resident Indians (NRI) to contribute to the country’s economic development, by investing in the capital market or by bank deposits.

Dr Manmohan Singh has also talked about various aspects of Indian economy recently. If you want to know more about what he has said in this regard, then visit rediff.com.

India vs Pakistan CT 2009: What the sponsors want?

You may get shocked with the title of the entry because normally we think of the expectation of the supporters and TV viewers. Here, I am going to talk about the sponsors. The main reason that I want to talk about the sponsors is that they have become very important in cricket in our time. First, there are the TV channels who are going to broadcast this India vs Pakistan match on 26^th September, 2009 in many countries of the world. I think that nearly one billion people will watch the match.

So, it is a very attractive think to make money. As you know the main revenue comes from Indian market from the game of cricket. Naturally, the companies that have strong presence in the Indian market are sponsoring this tournament. So, most of them would want that India wins the match and keep the hope of moving to the semi-final alive. The sponsors also want that this match does not finish too much early because then they will not be able show their advertisement.

Normally a cricket match continues for seven to eight hours and after every over there is some break of nearly one minute and the sponsors and companies show their advertisements. So, they will surely want that this match continues right to the end and there is a nail biting finish. If there is a nail biting finish then naturally people will be glued in front of their TV set and will see the advertisement more carefully. Here, I like to remind you that in 2007 ICC World Cup cricket, India had an early exit from the first round and then the whole world cup became a loss for many companies. So, the sponsors surely this time do not want this to happen.

Ford to Step into Indian Market with Figo Small Hatchback Car

American car maker Ford is planning to join some other major players to make its mark in Indian car market with a small car named Figo. In Italian, Figo means ‘cool’. Well, there is no doubt, Indian car market is pretty much lucrative for the car makers as it has seen excellent growth over the last few years. Small car segment of Indian market is more lucrative because of India’s price sensitive customers. It is true that the growth has been lowered over the last couple of years because of economic recession, but still it has huge potential for the car makers. Indian car maker Tata introduced its much-hyped Nano small car which costs around 1 lakh ruppe. The car has received huge response too.

Ford has not revealed detailed specifications of Figo yet, but it is expected that the features of the hatchback car will be out in the media when Ford will commercially introduce the car next year.

There is no doubt, India has a very potential car market because of it large middle class family. So, it is quite natural that companies like Ford seek to gain a considerable amount of market share.

Related article:

Wall Street Journal

China Takes Backseat in WTO Negotiation

India and China was expected to lead the developing counties in the ongoing WTO where leaders of developing countries are taking part to talk about various trade related issues. However, according to one source, China has not taken any strong move in WTO, even though India, Brazil and South Africa are leading from the front.

PTI News reported:

"China has not taken any specific position...but the developing countries need to court Beijing for striking a good deal and ensuring a market access for them without opening the floodgates for the rich nations," he said.

India and China have tension in border related issues. Still, developing nations are expecting the two neighboring countries to work hand in hand in the WTO negotiations.

Toyota US to Spend $1 Billion on Marketing in the Fourth Quarter

Toyota will go all the way to spend $1 billion to strengthen its US sales in the fourth quarter of the year. Toyota’s US sales has deteriorated in the US market over the previous quarters of the year and that is why, the Japanese car market has decided to promote its Prius hybrid cars in the market in the last quarter. The amount is 30% to 40% more than Toyota’s usual marketing budget for the fourth quarter of the year.

Toyota has also decided to increase the profit margin of the dealers in the US market. The company is now desperate to improve its condition in the US as it saw 29 per cent decline in August sales. Popularity of hybrid car has been increased significantly in the country and that is why, Toyota is also keeping an eye on its hybrid sales in the coming months.

Related article

Reuters

Indian Rupee Experienced Highest Rise in 6 Weeks

You know that world business and economy had to suffer a lot because of the worst recession after 1930 struck in the US economy over the last couple of years or more. Now, the question is if the recession has fully got over or not. Well, whatever the answer is, one thing is for sure that the overall economic condition across the world has been better recently.

Recently, Ben S. Bernanke, the chairman of Federal Reserve, said that the economic recession in the US is “is very likely over.” That was enough to stimulate the economy of emerging markets. For example, Indian rupee got strengthened after this announcement.

Bloomberg reported:

The rupee climbed 0.5 percent to 48.395 per dollar as of 10:35 a.m. in Mumbai, according to data compiled by Bloomberg. It earlier jumped 0.7 percent, the biggest gain since July 31. The currency has appreciated 1 percent this month.

Well, it is clear that there is no thing to be happy with the recent rise in Indian rupees because the improvement came artificially. An announcement can not make an economy stronger unless it is really strong in terms of other economic elements.

State-controlled Oil Refiners Acquiring 10% Stake at Oil India

A number of state-run oil refinery companies in India are going to buy a 10-percent stake of Oil India Ltd., an oil exploring company. It has been reported that the government-run refiners would have to pay $453 million to acquire the 10 percent stake. State-run refiners like Indian Oil, Bharat Petroleum Corp. and Hindustan Petroleum Corp. will buy a significant amount of shares of Oil India. Indian Oil accounts for about half of the total purchase by the refiners.

Bloomberg reported:

The government’s stake was sold when Oil India raised 27.8 billion rupees selling shares at 1,050 rupees apiece in an initial public offering that closed on Sept. 10. The explorer sold 10 percent of its equity to the public and 1 percent to employees.

No doubt, Oil India is trying to raise some fund by selling these shares. Indian government is trying to raise 250 billion rupees by selling assets to fuel up Indian economy.

Google Dominating in India and Brazil

There is no doubt, Google has a vibrant presence in many countries when it comes to search and other internet services. However, Google’s dominance is much more vivid in internet in India and Brazil. In India, people use 29 percent of their total time spent online on a Google service. The percentage becomes 30 when it comes to Brazil. Google’s overall average is 9.4 percent. So, you can now understand clearly the dominance of Google in India and Brazil.

New York Times reported:

In Brazil, Google captures nearly 90 percent of all searches, 71 percent of the time spent on maps (compared with just 42 percent here) and 43 percent of the time spent on blogs (compared with 30 percent here). In India, it represents 88 percent of searches, 64 percent of maps, and 48 percent of blogs. Gmail accounts for nearly half of the Indian Web e-mail market, compared to just 6.4 percent here.

Well, it is pretty much understandable that Google has done very well in the developing markets. India is ranked 7^th and Brazil 9^th in the list of global internet usage. However, the good thing for Google is that both India and Brazil are among the fastest growing countries and both have huge population. So, there is every opportunity for Google to grow and strengthen their foothold in the years to come. Moreover, Google has good presence in other big markets like China and Russia.

Female Business Tycoons Increasing in India

The number of female business tycoons is increasing in India. In most of the cases, they inherit enormous amount of wealth from their billionaire fathers, and thus, entering into business arena. Roshni Nadar is the daughter of Shiv Nadar, one of the business tycoons of India’s tech business. Receiving a MBA degree from Kellogg School Of Business, she is currently at the helm of the education initiatives taken by her father’s business.

There are some other stories similar to that of Roshni Nadar. Lakshmi Venu, daughter of TVS owner Venu Srinivasan, has also entered into father’s business. Divya Modi is the daughter of Spice Group’s owner B K Modi and currently holds a 24 percent share of the company too.

You might think that these women are coming into business arena thanks to their family background and wealthy father. However, I think it could be a trend that would inspire other women in the country to follow the footstep of the likes of Roshni Nadar. Indian is a country where many parents still prefer having a son; rather than a daughter. Abortion of female fetus is still a major cause of concern in the country. Considering these incidents, I think, the women like Roshni Nadar and Lakshmi Venu could be the source of inspiration of many Indian women who come from ordinary families.

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South Korea: Retirement, Pension and Insurance Becoming Tough Bargain

South Korea or Republic of Korea witnessed unprecedented economic growth in the last 3 years. As a result, it became one of the richest countries in the world. Naturally, like other rich education nations, some changes came to the society here too. Average life expectancy grew a lot, people became more educated and the young generation became fan of American culture and style. So, the traditional family system faced a tough challenge. Now, many people are in old age but they have little protection from the government since it is a capitalist country. The old people suddenly find themselves in a very helpless condition and they do not get support from their children.

Many people do not get good pensions and insurance facilities either. As a result, they have bleak prospect. Korean government is now actively promoting job fairs for old people. Many old people are also actively seeking jobs in their late 60s or even sometimes in their early 70s. It is really a tragic scenario. They should rest at this age.

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New York Times

Maruti Suzuki India Reaches 1 Lakh Sales Mark for DZire Model

Maruti DZire has reached 1-lakh sales mark recently. The company has achieved the mark just one and half years after the launch of Maruti DZire. The DZire sedan was launched in March 2008 and from the very beginning it faced huge competition from GM Aveo, Ford Fusion, Tata Indigo and Hyudai Accen in the passenger car market. Available both in petrol and diesel versions, Maruti DZire was priced between Rs 4.49 lakh and Rs 6.70 lakh.

There is no doubt, Maruti DZire has been another success story for Maruti Suzuki India, the largest car manufacturer in India. The model has been in huge demand since its launch. Initially, the company produced 4000 DZire per month, but now 7000 DZire cars come out from Maruti Suzuki plant every month. Now, let us see how long the company can continue making good cash in with Maruti DZire.

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autotantra

Former DHL CEO Scott Price is the New Head of Walmart Asia

Walmart, in its attempt to strengthen its Asian business, has appointed Scott Price as the president and CEO of Walmart in Asia. Scott Price has huge experience of Asian business as he formerly occupied managerial positions of Coca-Cola in Japan and China. In 2002, he joined DHL and saw extensive success with the new company too. In fact, Price was the CEO of DHL Express in Asia-Pacific region and served as the company president in Japan, before being appointed as CEO of DHL Express in Europe in 2007 and until his move to Walmart, Scott Price held that position with sheer success.

About his joining to Walmart, Scott Price is delighted to join Walmart which, he believes, is a company making positive changes in world economy. Walmart president and CEO, C. Douglas McMillon, is also very happy to have Price in Walmart as he thinks Price would be able to bring huge experience and expertise to this position thanks to his previous working experience in Asia.

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The Journal of Commerce

Toyota to Hire Again in Japan after 16 Months

In the current fiscal year, Toyota is expected to suffer a loss of $4 billion. However, still the good thing is that the economic recession is gradually going away and it will again increase the sale of vehicles. Toyota is the largest auto maker in the world and it was badly hit by the effect of the recession. In the last one year, many workers lost jobs in the company. Good news is that the company is going to hire 800 temporary workers. This recruitment will be the first for the company in many months.

This is perhaps an welcome news for the people in Japan as the country is suffering from rising unemployment rate. Japan suffered very badly due to the global crisis. Hopefully, good days are coming for Toyota and Japan.

Job is a big issue every where in Asia. 

Toyota 2010 Prius plug-in hybrid to be Displayed at Frankfurt Motor Show

In an age when people are very conscious about the environment, the demand for hybrid cars is increasing a lot. Toyota is one of the companies that is trying to address this market. So, let us see if Toyota 2010 Prius plug-in hybrid can win the attention of the media and visitors of Frankfurt Motor Show which is going to take place in a few days.

Yesterday, the company issued a press release in this regard. It has the capacity to run on electric mode and when it is charged with electricity then it has the ability to travel upto 12 miles. Then the charge will finish and the car will go on hybrid mode. So, it will be good for short trips. It will save money and at the same time will help you to keep the environment clean.

“The greatest hurdle in bringing to market a reliable lithium battery is mass production. We must have a production process that guarantees each battery will be identical in performance and quality,”

“Although we like to be first to market with these technologies, it’s more important that we are best to market.” “This demonstration program will ensure that the vehicles we bring to market will not just meet customer expectations, but exceed them.”

 Irv Miller, TMS group vice president, environmental and public affairs said about this car.

Well, I guess that he said thing because Toyota has been some behind than some of its competitors in developing electric cars. 500 cars of Prius plug-in hybrid model will be tested this year around the globe. 

IEA Forecasts Increase in Global Oil Demand

Global demand for oil is increasing gradually. The forecast was made by the International Energy Agency (IEA) its monthly report published on Thursday. This has been third month in a row, IEA has increased its forecast for global oil demand. IEA on August forecasted that global demand in 2009 and 2010 will be 84.4 million barrels per day and 85.7 million barrels per day respectively. However, the Paris-based organization’s recent forecast suggests an increase of 500,000 barrels per day in global oil demand in 2009 and 2010. No doubt, increase in global oil demand suggests stronger world economy and it seems that economic recession is getting over very soon.

After the new forecast of increase in oil demand came out, crude-oil prices in global market has been increase by $1 to over $72 a barrel. Price hike in crude-oil was also fueled by the decision of Organization of Petroleum Exporting Countries (OPEC) that it would not increase the oil output.

Related article:

Wall Street Journal

Canon USA Arranging a Photo Contest for Football Fans

At first, I thought that it is about football or soccer. Specially, later tonight, Argentina is playing Paraguay in a World Cup qualifier. Then, I understood that it is about American Football. So, I lost interest naturally.  Anyway, in USA, football is always their football. Canon is arranging a photo contest on "Why Do You Love

Football". It is focusing on youth football.

I found a press release in Reuters and I am giving it here:

Canon U.S.A., Inc, a leader in digital imaging, and the Pro Football Hall of Fame are inviting football fans to express their love for football through photography and submit their best youth football photos in the "Why Do You Love Football" Photo Challenge. The image of a playful catch in the backyard or a game-winning score in the final seconds of a youth football game could earn the winning photographer a trip to attend Super Bowl XLIV in South Florida, the 2010 Pro Football Hall of Fame Enshrinement Celebration and have their photo on display in the Pro Football Hall of Fame for one year.

New to this year`s program is Canon`s support of the NFL`s Youth Education Towns

(NFL YETs) across the country. Built in Super Bowl host cities as lasting legacies of the game, the 15 NFL YETs are education and recreation centers committed to making a positive, lasting difference in the lives of children. In honor of all photos submitted into the contest, Canon will donate $150,000 worth of products, including EOS Rebel T1i Digital SLR Cameras, PIXMA MP560 Wireless Photo All-In-One Printers and VIXIA High-Definition Camcorders, to the NFL YET

Centers, while also educating NFL YET Center staff and students in the art of photography and digital imaging.

"Canon is proud to continue to build upon its long-standing sponsorship of the NFL by lending our support to the NFL`s YET afterschool centers," said Yuichi Ishizuka, senior vice president and general manager, Consumer Imaging Group, Canon U.S.A. "We strongly believe in education, not only in photography but all

aspects of life. NFL YETs do a tremendous job of inspiring youth in their communities and we hope to help foster the next generation of photographers and community leaders."

"We`re thrilled that Canon has chosen to support the NFL Youth Education Towns," said Lynda Hamilton, Manager of NFL Charities. "The donation of the product, along with the hands-on training, will expose children to a life-long hobby which will continue to educate, empower and inspire them for years to come."

The nationwide amateur photo contest features two categories; "Action" and "Feature." The "Action" category focuses on any image that captures football action during game play, while the "Feature" category comprises any football imagery outside of game action on the field. In addition to the adult division, there will be a contest for teens, ages 13-18 as well. Parents, family members and friends are encouraged to enter up to 10 of their favorite youth football photos from September 3, 2009 to December 2, 2009 by visiting www.usa.canon.com/nfl  and following the online entry instructions.

A judging panel consisting of Archie Manning, former NFL quarterback and father of two Super Bowl MVP quarterbacks; Peter Read Miller, Canon Explorer of Light and Sports Illustrated photographer; and other prominent staff photographers and photo editors will determine the group of 14 finalists in each division. The voting will then be turned over to the fans who can vote for their favorite photo from December 21, 2009 until January 8, 2010, via the contest Web site listed above, with the Grand Prize winner being crowned in early January.

"Being involved in Canon`s `Why Do You Love Football` Photo Challenge is something I really enjoy," said former NFL quarterback Archie Manning. "This is my fourth year as a judge and I continue to be amazed by the quality of photographs we receive year after year and know these fans will look back in the years to come and cherish the memories they`ve captured. I still flip through my old photos and they never fail to bring me back to some of the greatest moments

of my life."

By the way, in South Asia Blog, I have published an interview of Abdullah H Kafi of JAN Associates. JAN Associates distributes Canon Products in Bangladesh. So, if you are interested about the company, you should read the interview.

FIFA Should Look for South Asian Market for Football

FIFA is the governing body that looks after football or soccer. It is the most popular sports in the world and perhaps the only truly global sports. This Wednesday or 9 September 2009, two important football matches will take place. England will play against Croatia and on the other hand, Argentina will play against a South American opponent. These two matches are important because if England wins then they will qualify for World Cup Football 2010 that will take place in South Africa next year. On the other hand, it has become a do or die match for Argentina. They must defeat Paraguay to keep the hope of qualification.

In South Asia, there are millions of people who are crazy for Argentina national football team. Now, Maradona is the coach of Argentina and that is why there is even added reason for their craze. The players of England national football team are also known to many football fans in South Asia because ESPN and Star Sports broadcast English Premier League matches live. Unfortunately, sports fans in South Asia, would not be able to watch the two matches live in their TV channels. I do not know the reason behind this thing but it will be a sad day for football fans in South Asia.

It is high time that FIFA gives attention to this matter. It is really not a joke. In this region, nearly 1.5 billion people live.

Canon Pixma MP560 All in One Color Printer: Pros and Cons

Canon is well-known for their cheap, low-end printers. Canon Pixma MP560 All-in-One Color Printer does not fall in the cheap line of Canon printers. However, given its features, you might find it a worth package. The printer has some advantages as well as disadvantages too.

This low-end printer features wireless functionality and it can print even on cheap paper. The quality of printing is pretty much satisfactory and the installation is fast and easy. However, the problem is that sometimes it bleeds color if while printing on cheap paper. It is true that the printing quality is good, but it does not match with the very high quality of printing.

Related article:

About.com

Money in Europe: What about Latin American and African Football?

There is no doubt, European clubs are the main attraction of today’s aspiring footballers from all across the world. It is pretty much understandable because European clubs have the financial ability to provide the talented players with financial security. You perhaps know that Latin American is a breeding ground for world football. Many great players incuding Maradona and Pele came from this region to win the world. Even, Africa has also produced a number of world class players in the last two decades. Some of today’s best African players like Michael Essien, Samuel Eto’o, Emmanuel Adebayor, Kolo Toure, Mahamadou Diarra, Mohamed Aboutrika, El Hadji Diouf and many others are currently playing for several top European clubs.

The interesting thing is that almost all the jewels that Latin America and Africa produced earned fame and wealth by playing in one of the top European cubs. That means, despite creating a number of great players, domestic leagues in these two regions have remained unattractive to the football fans.

I just want to give you one statistics in this regard. You know that Argentina and Brazil are going to face each other on 5 September 2009 in a world cup qualifying game and there is no doubt, this is the most attractive football match in the world. If you look at the squad of Brazil and Argentina announced for the match, you can see that 19 out of 25 players in Argentina squad are playing in Europe and Brazil squad also includes 18 players who are currently playing for European clubs. This is apparent that European football is stealing all the limelight and is the centre of world football. Here, European economy plays a big role.