Global disruptions, local resilience
The world’s two largest economic powers—the United States and China—are shaping disruptive policies that impact global supply chains, trade flows, and capital movement. Donald Trump’s aggressive tariff stance and China’s control over rare earth minerals have created structural headwinds for many sectors.
“This is a double whammy for India,” Bhanshali said. “But Indian businesses, and even the government, are coping far better than many believe.”
He noted that while several industries such as textiles have been hit hard, companies are already reshaping strategies, regrouping, and accelerating innovation.
GST reset shows India’s underlying strength
One of the strongest signals of India’s ability to absorb shocks, according to Bhanshali, is the surge in GST collections, which crossed ₹2 lakh crore in September. The government’s recent GST rate cuts have boosted both consumption and sentiment.
“A 5% slab does not feel like a tax at all,” he observed. “The GST reset has given confidence that even drastic duty reductions won’t dent revenue. That reflects the underlying strength of our economy.”He believes people are spending not just because of tax cuts, but because they have greater confidence in the country’s long-term direction.
A history of entrepreneurs thriving in chaos
India has repeatedly witnessed new entrepreneurial waves triggered by policy disruptions:
- The dismantling of the license raj gave rise to companies like Reliance.
- The GDR boom of the ’90s saw older business houses caught off guard while new-age players surged.
- The IT revolution of the late ’90s turned Infosys and other tech firms into global forces.
- Post-2014 reforms and judicial clean-ups again reset the competitive landscape.
Bhanshali said India’s entrepreneurial spirit has always been underestimated. “The quality of Indian entrepreneurship has not been admired enough,” he emphasised. “Those who can rethink and adapt emerge stronger.”
Regulatory reform: The biggest game-changer
In Bhanshali’s view, the most significant change in recent decades has been the government’s evolving attitude toward business.
From the 1991 reforms to the digital permission systems emerging today, the direction has been consistent: fewer controls, smoother compliance, and more freedom for entrepreneurs.
“If deregulation accelerates, Indian businesses will touch the skies,” he said.
He pointed out that India today has:
- Sophisticated capital markets
- Robust banking and regulatory institutions
- A maturing bankruptcy framework
- Access to global capital through hubs like GIFT City
These create a foundation for long-term growth even during global uncertainty.
What makes the modern entrepreneur succeed
Bhanshali outlined three qualities that define businesses capable of surviving and thriving through turbulence:
1. Strong execution capability
Vision alone is insufficient. Companies must execute flawlessly and consistently.
2. Clear customer value proposition
Businesses built on exploiting shortages or inefficiencies fade quickly in an open, competitive economy.
3. Entrepreneurial vision and risk appetite
Entrepreneurs who remain ambitious and dynamic—rather than complacent—stay ahead of disruption.
Companies like Reliance and the Tata Group, he said, combine all three traits and therefore excel across eras.
A new wave of stars ahead
As India enters a decade of rapid economic and technological shifts, Bhanshali expects a new generation of founders to emerge—just as the previous decades produced leaders like Infosys and Nykaa’s Falguni Nayar.
“With deregulation, digitalisation, and deeper capital markets, we will see newer and newer stars rise,” he said.
Despite global uncertainty, Bhanshali’s message is clear: India’s internal dynamism is intact—and its entrepreneurs are ready for the next leap.