Sectors that continue to survive economic slowdowns

Updated on: Monday, February 06, 2012

Pervin Malhotra, career counsellor, writes on the sunshine sectors that continue to survive economic slowdowns.

The global job market may be in a turmoil as the economic slowdown forces companies to downsize, but some sectors will buck the trend.

Even as thousands are losing their jobs worldwide on deteriorating economic condition, there is a reason to cheer. Recession or no recession, one may fall ill and, hence, will need a doctor. An economic slowdown or not, one still needs education. Like it or not, business trips will always be part of the corporate world, and, hence, you need hotels to check in and flights to make it to your destination. In other words, at a time when the world is ridden with uncertainty , it is important that job seekers try and choose those sectors that are resilient to economic upheavals.

The recession in 2008 and the recent economic slowdown since 2011 intensified by the Eurozone crisis and the slowdown in the US economy have brought about a gloom in world economic growth projections. A recent report released by the UN shows that all developing economies will get affected by the slowdown. However, the good news is that East Asian and South Asian economies are increasingly being seen as the growth drivers of the world. Following are some of the sunshine sectors that one may opt for:

Education

Education has always been associated with aspirations of people. With global exposure, people's aspirations are rising. In fact, this is one area where people are not ready to compromise. Besides, private players are going all out to invest in education. According to a recent FICCI report on the private sector's participation in the Indian higher education, the country has exhibited impressive growth over the last decade to become one of the world's largest systems of higher education. The number of institutions has grown at a CAGR of 11% while student enrolment has grown at a CAGR of 6%. Also, with the Indian government's radical reforms and massive expansion plans in the education sector, a lot more schools and colleges are going to be opened across the country, including rural areas. In fact, according to the ASER (2012) report, over the last six years, private school enrolment in rural India has gone up by 5.5 percentage points.

Management

Recession or no recession, every industry , at any given point of time, needs smart people to manage things efficiently . Hence, there is a need for management specialists. At the same time, one has to remember that once a person becomes a specialist in one specific sector, he or she might find it difficult to switch sectors. However, management education is also undergoing a sea change with global executive programmes and multiple skills being the core focus. Acquisition of cultural reflexes and variable skills are the order of the day, which equip professionals for the times.

Food & Healthcare

India, one of the world's largest producers of food globally, is also a sunshine sector, with potential for huge investments in food and food processing technologies, skills and equipment. The healthcare industry, on the other hand, has grown exponentially. A CII-McKinsey report states that the Indian healthcare sector has emerged as one of the largest service sectors with estimated revenue of around $30 billion constituting 5% of GDP and offering employment to around four million people. By 2025, the Indian population will touch 1.4 billion with about 45% constituting urban adults. To cater to this demographic change, the healthcare sector will have to be about $100 billion in size contributing nearly eight to 10% of the then GDP.

Also, with multi-specialty hospitals opening up, there is a need for doctors, specialists and super-specialists who can cater to all segments of the society. Besides, with the healthcare industry growing, providing health packages, opening new test labs, introducing health insurance packages, etc, will require a new breed of trained professionals.

Insurance

With private players coming in, the insurance sector has opened up varied opportunities and avenues for freshers. Risk and uncertainty is a reality every company is faced with. While you can't eliminate risk, managing risk - financial, environmental, political - could well be the difference between survival or bankruptcy . Every sector wants to go in for different kinds of insurance, which goes beyond just the basic insurance. And it in is these uncertain waters that risk managers and insurance industry professionals ply their trade. Need evidence? India is the fifth largest life insurance market in the emerging insurance economies globally and is growing at 32-34 % annually.

Entertainment

The entertainment sector has evolved from basic movie-watching and listening to the radio, to mobile entertainment and experiential entertainment. New forms of entertainment have come up in a big way. Even movie-making has undergone a sea-change , with corporates investing in films and taking over the industry. This sector will grow with unique collaborations . A report published by the Federation of Indian Chambers of Commerce and Industry (FICCI) and KPMG predicts that the media and entertainment industry in India is likely to grow at 12.5% per annum over the next five years and touch $20.09 billion by 2013.

Job ready

A career is a long-term decision, so do not go by the flavour of the season. Pursue those areas where your interests and abilities allow you to be the best. If you are a student, strive to lay a strong foundation in your chosen core area and work on developing skills that will make them job-ready and employable. Regardless of employers across industry and sectors, some personal attributes will always be desirable - be enthusiastic, flexible, willing to learn; eager for challenges and responsibility, and most critically, learn to work in uncertainty, in an ever-changing and unmapped territory.

Times of India

Sectors that continue to survive economic slowdowns

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