VUCA Model in the Present Context of Indian Economy

Through the past decades, we find numerous terms in the popular business process and academic literature that refer to an increasing inability to grasp the world and deal with the things happening around us. The notion of VUCA= Combination of Volatility, Uncertainty, Complexity, and Ambiguity, characterising the nature of some difficult conditions and situations. Economic activities across the world depend on natural and human resources. The effect of global warming and climate change on the environment can be witnessed through increase in atmospheric CO2 levels. This poses a grave threat to the goal of sustainable development. The future generation has equal right on our natural resources- water reserves, forest resources, mineral resources etc. The behaviour of the consumer is unpredictable. Markets plunge the moment there is a poor GDP forecast. The monetary policy committee of the RBI slashed policy rates on 4th Oct 2019 for the fifth consecutive timed and reduced its estimate of growth for t2019-20 to 6.1 %. A number of commissions and committees have been set up for reforms in education but we are not producing our graduates and others in accordance with the conditions of demand of the employers and blame game starts that they are not employable. Demand prediction is not correctly available due to the behavioural change of the consumer and market conditions. The values are changing therefore people are taking loans in the name of business, investment, employment and economic activities, but they are not fulfilling the debt obligations. Non-performing assets and bad-debt of financial institutions are creating ambiguous conditions. RBIs assessments recognise a crisis in aggregate demand and its survey have noted a sharp fall in consumer confidence. This difficult situation has been examined in this research paper.