1. Xi Jinping as Chinese Premier
“The pause in his rise notwithstanding, Xi is still believed to be the chosen one,” we wrote last year. Hu Jintao stepped down as the general secretary of the Communist Party of China and Xi Jinping took over. Xi will also take over as head of the nation’s government in March as per tradition. While some doubts were raised last year when Xi was not made the vice-chairman of China’s Central Military Commission, his rise never really stopped. In fact, he has been given charge of the military ahead of schedule. The Chinese transition is more radical this time as the number of members of the Standing Committee has been brought down by two, concentrating power even more.
2. Hero versus Honda
We had written about the expected rivalry between former partners Hero and Honda in the motorcycle business. It has pretty much turned out that way. Let’s look at the numbers first: With the launch of Honda’s 100 cc motorcycle, Dream Yuga, Honda’s sales in the segment in the April-October period more than doubled. In this period, Honda sold 171,162 motorcycles compared to 83,990 in the previous year. Hero, on the other hand, hasn’t had a great year. In the same period, in the 100 cc segment, its sales fell to 2,639,365 compared to 2,786,206 the previous year. Add to this the fact that Hero’s new launches in 2012, like the Ignitor and Impulse, haven’t really done well. Bajaj Auto, on the other hand, has had a fabulous year with the new Pulsar 200 NS.
(This story appears in the 11 January, 2013 issue of Forbes India. To visit our Archives, click here.)