Financial Times FT.com

Consumers: Ostentatious spending and extreme poverty

By Jo Johnson

Published: August 14 2007 18:14 | Last updated: August 14 2007 18:14

It was little surprise that it was the 26-year-old son of a local Ludhiana businessman who last month paid Rs1.55m ($38,461) to mobile operator Hutch after triumphing in a hotly-contested auction for a “VIP” mobile phone number ending with a status-enhancing series of noughts.

With the largest number of Mercedes per capita of any urban centre, the bustling Punjabi city has come to epitomise the new consumer India.

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