Religious groups operate as business entities in India: Study

Religious organisations in India work same as of business entities to maintain the loyalty of their followers and attract new devotees, according to a study by the University of Cambridge.

Cow-lending, sewing and aerobics classes are just some of the ways Indian religious organisations use to diversify their 'business model'.

A University of Cambridge team from the Faculty of Economics and the Cambridge Judge Business School spent two years surveying 568 Hindu, Muslim, Christian, Sikh and Jain religious organisations across seven Indian states to examine their innovations in offering religious and non-religious service provision.

Dr Sriya Iyer, of the University's Faculty of Economics and St. Catharine's College, was one of the lead researchers on the project.

She said: "We have found that the resilience of religion draws from the ability of groups to undertake innovation and innovative behaviour, similar to the behaviour observed in business firms.

"In the same ways a business tries to stay ahead of its competitors, religious groups are showing the same rational economic responses to changes in the political, ecological and economic environments in which they operate."

The survey is believed to be one of the first of its kind in India with researchers finding that although India is becoming more powerful and wealthy, rising social inequality - especially in the poorer states - means religious groups often fill the breach left by the lack of social welfare.

The survey listed examples of religious and non-religious offerings as weddings and other religious ceremonies telecast over the internet in real time for overseas friends and family to witness, blood donation, eye camps, drug rehabilitation, old age homes, widow welfare programmes and organised mass marriages for the poor.

Furthermore, the survey found that religious groups may act in the same way as businesses in competing to offer unique selling points when it comes to matters of ideology. In addition to their religious offerings, they provide more non-religious services in response to perceptions about increasing income inequality. With rising income inequality, the poor demand more non-religious services and organisations respond to this demand by providing these services more.

The University's survey took place in the states of Maharashtra, Karnataka, Madhya Pradesh, Jammu and Kashmir, Uttar Pradesh, West Bengal and Gujarat.

In total, 272 Hindu religious groups were interviewed, along with 248 Muslim, 25 Christian and 23 Sikh and Jain religious organisations. The states, although chosen at random, reflected a broad cross-section of Indian society.

"Counter to some analyses of religion in India that have mainly studied the negative consequences religion might engender, we are emphasizing the positive role of some religious organisations in India today and the work they do among the wider community," said Dr Iyer.

One of the most striking innovations was the cow lending scheme in Gujarat. People from the community can borrow a cow, for as long as they like, at no cost. The Cambridge team was also surprised to find activities such as aerobics classes.

"The offerings made by Muslim and Christian groups may differ from those provisions made by Hindus, but across all religions we see the ways in which these groups act in a business-like manner in response to their competitors and in response to income inequality, but also out of a willingness to do good and help where state provision is inadequate," said Dr Iyer.

"We found evidence that organisations of all religions in India have substantially increased their provisions of religious and especially non-religious services in order to substitute for the lack of state provision and that this is related to their perception of inequality and poverty. This is especially the case in poorer states," she added.