India cannot afford to be complacent in spite the fact that the issue has been resolved in a win-win manner, as the Chinese media claims. In fact, the Ladakh border episode will be regarded as a watershed in the bilateral relations. India is faced with a new reality of having to deal with an assertive China, which often sets the rules of the game. Knee-jerk response aimed at short-term palliatives is certainly not the answer. India needs to carefully assess Chinese intentions.