INTRODUCTION

Do you know that there are millions of unemployed youth in the country and by the time
you graduate, this number would have increased substantially? Do you want to be part of
that group which keeps knocking from pillar to post, checking with employment
exchanges, relatives, friends, and neighbours and still not able to get a job to their liking
and then settle for a second or third rate job?
You can also choose to be like Mr. atel of !irma who was a chemist"s assistance and has
a #s. $%&& crore company today. Did you know that the original Mr. 'ata was a cobbler?
(nd now has stores in more than )& countries all over the world. *r you could be like
Dhiru bhai (mbani who started life as a clerk in a +rench company in (den. ,e was not
born into a business family nor did he possess an M'( degree and yet, he is a household
name in -ndia and figures in the +orbes list of the richest (sians. .akshmi Mittal, the
steel giant, /atbir 'hatia of ,otmail fame and !arayan Murthy of -nfosys are some other
names in the endless list you could choose from.
-f your answer is yes then you can definitely opt for a career in entrepreneurship. (nd let
us remind you that this career opportunity is not only for boys but also for girls 0 all those
girls who think smart, are ready to act and script the story of their own life 0 like /hehna1
,ussain or #itu 2umar or 2iran Majumdar /haw.
(n entrepreneur is a person who starts an enterprise. ,e searches for change and
responds to it. ( number of definitions have been given of an entrepreneur0
3he economists view him as a fourth factor of production along with land labour and
capital.
3he sociologists feel that certain communities and cultures promote
entrepreneurship like for example in -ndia we say that 4ujaratis and /indhis are very
enterprising.
/till others feel that entrepreneurs are innovators who come up with new ideas for
products, markets or techni5ues.
3o put it very simply an entrepreneur is someone who perceives opportunity, organi1es
resources needed for exploiting that opportunity and exploits it. 6omputers, mobile
phones, washing machines, (3Ms, 6redit 6ards, 6ourier /ervice, and #eady to eat +oods
are all examples of entrepreneurial ideas that got converted into products or services.
/ome definitions of an entrepreneur are listed below7
Stems: from the +rench word 8entrependre" meaning one who undertakes or one who is a
8go0between"
Richard Cantillon7 (n entrepreneur is a person who pays a certain price for a product to
resell it at an uncertain price, thereby making decisions about obtaining and using the
resources while conse5uently admitting the risk of enterprise.
J.B. Say7 (n entrepreneur is an economic agent who unites all means of production0 land
of one, the labour of another and the capital of yet another and thus produces a product.
'y selling the product in the market he pays rent of land, wages to labour, interest on
capital and what remains is his profit. ,e shifts economic resources out of an area of
lower and into an area of higher productivity and greater yield.
Schumpeter: (ccording to him entrepreneurs are innovators who use a process of
shattering the status 5uo of the existing products and services, to set up new products,
new services.
David McClleland7 (n entrepreneur is a person with a high need for achievement 9!0
(ch:. ,e is energetic and a moderate risk taker.
Peter Drucker7 (n entrepreneur searches for change, responds to it and exploits
opportunities. -nnovation is a specific tool of an entrepreneur hence an effective
entrepreneur converts a source into a resource.
Kilby: ;mphasi1es the role of an imitator entrepreneur who does not innovate but
imitates technologies innovated by others. (re very important in developing economies.
lbert Shapero7 ;ntrepreneurs take initiative, accept risk of failure and have an internal
locus of control.
!. Pinchot7 -ntrapreneur is an entrepreneur within an already established organi1ation.
Peter Drucker ;ntrepreneurship is defined as 8a systematic innovation, which consists in
the purposeful and organi1ed search for changes, and it is the systematic analysis of the
opportunities such changes might offer for economic and social innovation."
;ntrepreneurship can be described as a process of action an entrepreneur undertakes to
establish his enterprise. ;ntrepreneurship is a creative activity. -t is the ability to create
and build something from practically nothing. -t is a knack of sensing opportunity where
others see chaos, contradiction and confusion. ;ntrepreneurship is the attitude of mind to
seek opportunities, take calculated risks and derive benefits by setting up a venture. -t
comprises of numerous activities involved in conception, creation and running an
enterprise.
;ntrepreneurship is a discipline with a knowledge base theory. -t is an outcome of
complex socio0economic, psychological, technological, legal and other factors. -t is a
dynamic and risky process. -t involves a fusion of capital, technology and human talent.
;ntrepreneurship is e5ually applicable to big and small businesses, to economic and non0
economic activities. Different entrepreneurs might have some common traits but all of
them will have some different and uni5ue features.
-f we just concentrate on the entrepreneurs then there will be as many models as there
are ventures and we will not be able to predict or plan, how and where, and when these
entrepreneurs will start their ventures.
;ntrepreneurship is a process. -t is not a combination of some stray incidents. -t is the
purposeful and organi1ed search for change, conducted after systematic analysis of
opportunities in the environment. ;ntrepreneurship is a philosophy0 it is the way one
thinks, one acts and therefore it can exist in any situation be it business or government or
in the field of education, science and technology or poverty alleviation or any others.
R"#$ "% $&'R$PR$&$(R )& $C"&"M)C D$*$#"PM$&'
3he industrial health of a society depends on the level of entrepreneurship existing in it.
( country might remain backward not because of lack of natural resources or dearth of
capital 9as it is many times believed: but because of lack of entrepreneurial talents or it
inability to tap the latent entrepreneurial talents existing in that society. ;ntrepreneurs
historically have altered the direction of national economies, industry or markets0 <apan,
/ingapore, 2orea, 3aiwan to name a few.
$conomic Development + ;ntrepreneurship is basically concerned with creating wealth
through production of goods and services. 3his results in a process of upward change
whereby the real per capita income of a country rises overtime or in other words
economic development takes place. 3hus entrepreneurial development is the key to
economic development. -n fact it is one of the most critical inputs in the economic
development of a region. -t speeds up the process of activating factors of production
leading to a higher rate of economic growth, dispersal of economic activities and
development of backward regions. -f a region is unable to throw up a sufficient number
of entrepreneurs then alien entrepreneurs usually step in to provide goods and services
needed by the people. ,owever the profits earned by these entrepreneurs are usually not
ploughed back but repatriated to their place of origin. (s a result development in that
region cannot take place. Dr. M.M. (khori refers to this practice as 83he .eech ;ffect".
3he above reiterates the importance of entrepreneurship development for fuelling
economic growth of a region.
;ntrepreneurship begets and also injects entrepreneurship by starting a chain reaction
when the entrepreneur continuously tries to improve the 5uality of existing goods and
services and add new ones. ;.g. when computers came into the market there was
continuous improvement in the models, their functions etc. like first generation
computers, personal computers, laptops, palmtops etc.
!ot only had this fostered the development of the software industry, computer education
institutes, computer maintenance and stationery units etc. but also other industries like
banking, railways, education, travel, films, medical and legal transcriptions, business
process outsourcing 9'*s: etc. -n this manner by harnessing the entrepreneurial talent a
society comes out of traditional lethargy to modern industrial culture. -ndia needs
entrepreneurs to capitali1e on new opportunities and to create wealth and new jobs.
$ducation + 3owards the end of the sixties, two significant contributions were made in
the field of entrepreneurship .*ne was that there is a positive linkage between
entrepreneurship and economic development and the other was regarding the emergence
of a strong hypothesis that entrepreneurship can be developed through planned efforts=.
6onse5uently planners reali1ed that absence of a strong entrepreneurial base acts as a
serious handicap in the industrial development of a region. 3he identification and
development of first generation entrepreneurs through ;ntrepreneurial Development
rogrammes is an important strategy.
3here is a growing reali1ation that presence of resources and favourable government
policies cannot automatically manufacture economic development. -t is the
entrepreneurial spirit of the people, which can transform the economy of that region.
'oth the 5uantity and 5uality of entrepreneurs are of utmost significance for achieving
the goal of economic development. 3he myth that entrepreneurs are born with some
innate traits is fortunately no longer held. You will learn more about this in the lesson on
motivation. Many research studies have brought out that entrepreneurship can be taught
and learned. ;ntrepreneurship is a discipline and like all disciplines it has models,
processes and case studies, which can help an individual to study this subject. 3he
necessary competencies re5uired of a successful entrepreneur can be ac5uired through
training and development. !umerous courses in entrepreneurship are being taught all
over the world in schools and colleges, seminars and conferences are being organi1ed and
;Ds are being conducted. 3he thinking today is why just create managers why not
create people who can absorb managers. *ne can ac5uire the traits and learn the skills for
becoming an entrepreneur .
FUNCTIONS OF ENTREPRENEUR
(n entrepreneur fre5uently has to wear many hats. ,e has to perceive opportunity, plan,
organi1e resources, and oversee production, marketing, and liaison with officials. Most
importantly he has to innovate and bear risk. 3he main functions of an entrepreneur are as
follows7
,. )nnovation7 -nnovation is one of the most important functions of an entrepreneur
according to /chumpeter. (n entrepreneur uses information, knowledge and intuition to
come up with new products, new methods of reducing costs of a product, improvement in
design or function of a product, discovering new markets or new ways of organi1ation of
industry. 3hrough innovation, an entrepreneur converts a material into a resource or
combines existing resources into new and more productive configurations. -t is the
creativity of an entrepreneur that results in invention 9creation of new knowledge: and
innovation 9application of knowledge to create new products, services or processes.:
/ystematic innovation means monitoring the following for innovative opportunity7
3he unexpected success or failure or any unexpected outside event, >e.g. when the -3
bubble burst the -3;/ sector started growing.?
-nnovation based on process need 9e.g. plate based cameras, film based cameras, digital
cameras:
6hanges in industry and market structure 9e.g. video cassette @6D, D@D, 'lue ray disc:
Demographics changes >e.g. increasing number of working women and nuclear families
in most metropolitan cities?
!ew knowledge >e.g. entium chip?
-. Risk and uncertainty bearin.: (ccording to ,o1elist an entrepreneur performs the
function of risk and uncertainty bearing. ;very decision pertaining to development of
new products, adapting new technologies, opening up new markets involves risk.
Decision0making in an environment of uncertainty re5uires anticipation of risk. rofit is
said to be the reward for anticipating and taking such risks. ,owever it is pertinent to
mention that the entrepreneur is not a gambler, he only takes calculated risks. (n
entrepreneur develops the art of decision0making under conditions of uncertainty as a
matter of survival.
/. "r.ani0ation buildin.: (n entrepreneur has to organi1e men, material and other
resources. ,e has to perform the functions of planning, co0ordination and control. ,e has
to use his leadership 5ualities to build a team, generate resources and solve problems.
Aith his organi1ational skills an entrepreneur builds an enterprise from scratch, nurtures
it and makes it grow. ,is vision sows the seeds for a sound and vibrant organi1ation and
synergies are built in he enterprise. (ccording to 2ilby in a developing country even the
imitator entrepreneurs are very important and the entrepreneurial role encompasses the
following7
erception of market opportunities
4aining command over scarce resources
urchasing inputs
Marketing the products
Dealing with bureaucrats
Managing human relations within the firm
Managing customer and supplier relations
Managing finance
Managing production
(c5uiring and overseeing assembly of the factory
-ndustrial engineering
Bpgrading process and product.
ENTREPRENEURSHIP AS CAREER OPTION
3he vast majority of human beings direct their activities towards earning a living,
generating wealth and improving their standard of living. You can choose your career
from two broad categories of options C Aage ;mployment or ;ntrepreneurship. 3he term
8career"
signifies a continuous, ever evolving, ever expanding opportunity for personal as well as
business growth and development. Ae may define entrepreneurship as a career in your
own business 9Y*': rather than wage employment 9<*': .-f you opt for a job then you
ill work for others. -n case you opt for entrepreneurship you will be your own boss.
-n case of wage employment one is engaged in routine work carried on for others for
which he receives salary or wages. ,e has to follow instructions and execute plans laid
down by his superior. *ne can choose to be employed in 4overnment /ervice or the
ublic /ector or the rivate sector. /ome of the main differences between
entrepreneurship and wage employment career options are as under7
1a.e $mployment $ntrepreneurship
Aork for *thers *wn 'oss
+ollow -nstructions Make own plans
#outine <ob 6reative activity
;arning is fixed, 6an be negative
never negative sometimes, generally surplus
Does not create wealth 6reates Aealth,
contributes to 4D.
6an choose from0 6an choose from0
4overnment service -ndustry
ublic /ector 3rade or
rivate /ector /ervice ;nterprise
-n the context of employment generation the three terms0 -ncome generation, /elf
employment and ;ntrepreneurship are often used interchangeably.
)ncome .eneration is the initial stage in the entrepreneurial process in which one tries to
generate surplus or profit. 3hey are often taken on part0 time or casual basis to
supplement income e.g. a man with some surplus money might put his money in a fixed
deposit account in a bank or a chit 0fund to earn some interest.
Sel2+employment is the second stage in the entrepreneurial process and refers to an
individual"s fulltime involvement in his own occupation. e.g. a person who starts a tea
shop and remains happy and satisfied and has no plans to add on any other items like
samosas, buns, soft drinks etc. or to grow in any other manner9e.g. supplying
teaDcoffeeDsandwiches to others in the vicinity:.
$ntrepreneurship is the terminal stage of the entrepreneurial process wherein after
setting up a venture one looks for diversification and growth. (n entrepreneur is always
in search of new challenges. (n entrepreneur is not a routine businessman he might not
have resources but he will have ideas. ,e is innovative and creative. ,e can convert a
threat into an opportunity. /mall businessmen might shut0down or change his business if
he anticipates losses but an entrepreneur will try again after analy1ing the situation. *n
the other hand an entrepreneur can leave a perfectly running business to start another
venture if he so desires.
+unctionally all entrepreneurs are self0employed and income generating persons but the
reverse is not true0 all self0employed and income generating persons are not
entrepreneurs. -f seen on a continuum, income generation, self0employment and
entrepreneurship can be considered as the initial, middle and final stages of the
entrepreneurial growth process. -ncome generating experience encourages self0
employment, which in turn facilitates graduating into entrepreneurship.
)&'R"D(C')"&
3hings are easier said than doneE 3o reali1e our dreams and that also in such a grand
manner is really a tough task. 3he founders of +lipkart have probably con5uered their
dreams with the ama1ing success of +lipkart. +lipkart is something which has really
opened up the -ndian e0commerce market and that also in a big way.
+lipkart was co0founded by /achin 'ansal and 'inny 'ansal in *ct $&&F. 'oth are
graduates from --30Delhi and have prior work experience in (ma1on.com 3hey both
were solid coders and wanted to open a portal that compared different e0commerce
websites, but there were hardly any such sites in -ndia and they decided to give birth to
their own e0commerce venture 0 +lipkart.com
3hus was born +lipkart in *ct $&&F with an initial investment of G lac >co0founders
savings?. -t was never going to be easy since -ndia has had bad past experiences with e0
commerce trading. -t was not an easy segment to break into, people were very particular
in paying money for something which they had not seen and received. 3he trust was
missing in the -ndian customers. /o what +lipkart had to do was to instill trust and faith
in their customers. (nd they did exactly the same, will discuss more on how they did so
later in the post.
+lipkart began with selling books, since books are easy to procure, target market which
reads books is in abundance, books provide more margin, are easy to pack and deliver, do
not get damaged in transit and most importantly books are not very expensive, so the
amount of money a customer has to spend to try out oneHs service for one time is very
minimal. +lipkart sold only books for the first two years.
+lipkart started with the consignment model >procurement based on demand? i.e. they had
ties with $ distributors in 'angalore, whenever a customer ordered a book, they used to
personally procure the book from the dealer, pack the book in their office and then
courier the same. -n the initial months the founderHs personal cell numbers used to be the
customer support numbers. /o, in the start they tried their best to provide good service,
focus on the website 0 easy to browse and order and hassle0free, and strove hard to
resolve any customer issues. /ince there were not any established players in the market,
this allowed them a lot of space to grow, and they did in fact grew very rapidly.
+lipkart had a revenue of G crore in +Y $&&I 0 $&&J, $& crore in +Y $&&J 0 $&=&, F% crore
in +Y $&=& 0 $&==, and the revenue for +Y $&== 0 $&=$ which ends on )= Mar $&=$ is
expected to be %&& crore. 3his is indeed a massive growth. 3he company targets revenues
of %&&& crore by $&=%.
3he company started from $ employees and now has around G%&& employees.
+lipkart started with consignment model as discussed above, since most of the customer
issues like delivery delays etc. result from procurement model, the company started
opening its own warehouses as it started getting more investments. 3he company opened
its first warehouse in 'angalore and later on opened warehouses in Delhi, 2olkatta and
Mumbai. 3oday the company works with more than %&& suppliers. (s on date more than
I&K orders of +lipkart are handled via warehouses which help in 5uick and efficient
service.
( humble beginning from books, +lipkart now has a gamut of products ranging from7
6ell phones, laptops, computers, cameras, games, music, audio players, 3@Hs, healthcare
products, washing machines etc. etc. /till, +lipkart derives around %&K of its revenue
from selling books online. +lipkart is the -ndian market leader in selling books both
offline and online, it enjoys an online share of around I&K. 3he electronic items have a
large number of players like !aaptol, .etsbuy, -ndiapla1a, 3radus, -nfibeam, Yebhi etc.
3he electronic market share is distributed among them in different unknown proportions.
-ndia has around =).% crore internet users today where as the number of homes with
6able and /atellite >6L/? television is =&.% crore. 3he expected internet users will reach
a figure of )& crore by $&=G and 6L/ homes are expected to be =G crore by $&=G. 3hus
-ndia has a tremendous internet growth and with the customers getting accustomed to e0
commerce, the future of e0commerce sector is definitely rosy. (n approximated $% lac
people have transacted online this year, the number is all set to increase with time.
(lso to mention most of the +lipkart customers use internet from 6HsD.aptops to order
goods. 3he use of mobile internet is very less at the moment, but with the advent of smart
phones the use of mobile internet for e0commerce transactions will soar with time. -ndia
has I crore mobile net users at the moment, the number is expected to swell to $$.% crore
by $&=G.
%undin.:
-nitially funded by the 'ansals themselves with G .akhs>-!#?.
+lipkart has since then raised two rounds of funding from venture capital funds (ccel
-ndia >in $&&J? and 3iger 4lobal Management >up to the tune of B/M=& million? >in
$&=&?.
rivate e5uity firms 6arlyle and 4eneral (tlantic are in talks to jointly invest about
M=%& million to M$&& million in +lipkart, according to sources.
c3uisitions:
-4,47 1$R$D, a social book discovery tool. 3he stated goal was to give +lipkart a
social recommendation platform for buyers to make informed decisions based on
recommendations from people within their social network.
-4,,7 Mime/54, a digital content platform company.
-4,,7 Chakpak.com is a 'ollywood news site that offers updates, news, photos and
videos. +lipkart ac5uired the rights to 6hakpak"s digital catalogue which includes G&,&&&
filmographies, =&,&&& movies and close to %&,&&& ratings. +lipkart has categorically said
that it will not be involved with the original site and will not use the brand name.
-4,-7 #etsbuy.com is -ndiaHs second largest e0retailer in electronics. +lipkart has bought
the company for an estimated B/M $% million.
%lipkart6s Success Mantra
4reat customer service7 +lipkart users are more satisfied than that of their competitors.
4reat customer service has been its hallmark.
;asy to use website, hassle free payment system7 3he user interface is sleek and easy to
use.
6ash on deliveryD6ard on delivery mode of payment7 3his has been a major instrument in
+lipkart"s success. (lmost N&K of its sales happen through this mode. 6ash on delivery
created trust in the minds of -ndian customers who were always weary of making payments
online.
+ocused on user experience7 ;very other e0commerce site, tried to cram the maximum
of amount of information possible into every single page whereas +lipkart focused on
providing only the relevant info
+uture #oad Map
3hey aim at =& times growth and eyes at M ='illion sales by $&=%.
3hey will look at bigger investments in their supply chain and technology.
-nvestment will be made in large warehouses and increased automation of their
process, so that the product is not delayed.
3hey intend to enter in to various new categories and expand their current categories
as well.
;verything except for groceries and automobiles will be available on +lipkart in
future.
3o go further in the value chain, +lipkart is looking at associations with a larger
number of suppliers and partners, both nationally and internationally.
'hreats in 2uture:
3here are no major foreseeable threats in the future. 3he company has built a great brand
name, they just have to maintain and enhance the same. !eed to keep introducing more
products, adapting to the changing needs of the customer with time. 3he entry of
(ma1on.com in $&=$ in the -ndian e0commerce space has been cited as a big challenge to
+lipkart. ,owever +lipkart is a respected 'rand name in -ndia and should be able to
compete with (ma1on. (ma1on being a very big company can bring in serious
competition to +lipkart, since (ma1on can bear more losses in the beginning to gain
customer base. 'ut again -ndian market is growing at a rapid pace as access to internet
increases and people become more aware of e0commerce sites and start trusting the sameO
hence -ndian market is sufficiently big at0least for these two giants to co0exist beneficiall
dvertisements (sed in &e7spapers and Ma.a0ines:
!ewspaper advertising works on the fundamental of building trust and confidence with
the readers.
!ewspapers have the greatest impact because of the following reasons7
=. ;xperts say the greater the exposure of the advertisement, the longer is the period of its
impact among the readers. 3herefore experts feel if an advertisement stays in the memory
of a consumer for a longer time, chances are 5uite probable that he might opt for
purchasing or availing your services as and when re5uired. 3his counts for higher sales
and brand awareness.
$. ( newspaper reader is so involved in his reading that sometimes the content in the
advertisements creates an emotional impact on him. -t is this power of being able to
evoke an emotional response with the reader that goes in favor of newspaper advertising.
). -n other media, especially online media, people get perturbed by the distractions in the
form of pop0ups and other advertisement forms that keep flashing on and off the screen.
-n fact experts" points out that instead of having any favorable impact, these ads serve to
distract the readers. ,owever newspapers, point out experts, involves a focused reading
where there are no disturbing and unwanted flashes of advertisements. (s there is no
distance between the reader and the story it seems that the reader actually undergoes all
the emotions in the story himself, leading to increase in the trust factor. 3aking advantage
of this trust 5uotient, advertisers cash on newspapers to send their messages loud and
clear among the readers.
,ence, +lipkart has used advertisements in newspapers and maga1ines which are
colorful, brightO most of the images consist of kids, and have clear messages. ,ere are
some of the advertisements used by +lipkart in !ewspapers and Maga1ines.
"nline dvertisin.
3he number of internet users is on a rapid rise worldwide and is used by people of all age
and types. -nternet has become a major medium for communication, entertainment and is
in the process of replacing traditional entertainment, promo products, and informative
Medias. /ome businesses are finding that handing out a promo product such as pens,
business cards, and mugs are too costly and yield little results. .ikewise, traditional
marketing forms such as television, radio, newspaper, maga1ines, etc., are becoming a
thing of the past.
-nternet has also become a major and effective medium for advertising and it has be
predicted that the online advertising and marketing is soon going to replace the
advertising through traditional medias such as television, radio, newspaper and
maga1ines. - have picked around =& advantages of online advertising >not in that order?
when compared with the traditional offline advertising.
=? Aider 6overage 03he online advertising gives your ads a wider coverage and this
globally wider coverage helps in making your advertisements reach more audiences,
which may ultimately help you in getting better results through your online advertising
campaign.
$? 3argeted (udiences when compared with offline advertising, online advertising always
helps you to reach the targeted audience and this helps in making your campaign more
profitable and getting more relevant leads.
)? (ffordable 0(nother main advantage of online advertising or marketing is the much
affordable price when compared with the traditional advertising costs. Aith a much lesser
cost you can advertise on the net for a wider range of audience and geographical
locations.
G? ;asy to 3rack and Measure 6onversion 0
Measurability and easiness to track the conversion makes online advertising miles ahead
on the traditional advertising methods. ( lot of effective analytics tools are available to
measure online advertising campaigns which help in more improvisation of the ads.
%? /peed 0*nline advertising is much faster than offline advertising and you can start
sending out your ads to a wider audience, the moment you start your advertising
campaign.
N? -nformative 0-n online advertising, the advertiser is able to convey more details about
the advertisement to the audience and that too at relatively low cost. Most of the online
advertising campaigns are composed of a clickable link to a specific landing page, where
users get more information about the product mentioned in the ad.
F? +lexible ayment 0ayment flexibility is another added advantage of online
advertising and marketing. -n offline advertising you need to pay the full amount to the
advertising agency irrespective of the results. 'ut in online advertising there is the
flexibility of paying for only 5ualified leads, clicks or impressions.
I? 'etter #*- 0/ince online advertising is mainly focused on performance based
payment, you #*- is sure to be far better when compared with offline advertising.
J? ;asy (udience ;ngagement 0*nline advertisement makes is easy for the audience to
engage with your ads or products. (s an advertiser we would be able to get more
feedback from the audience and thereby improve the 5uality of our ads going forward.
=&? 'etter 'randing 0(ny form of advertising helps in improving the branding and online
advertising stands a notch high in improving the branding of your company, service or
product.
+lipkart being an online mega store advertises its products and the offers in different
internet sites, screenshots of which are being shown below
Su..estions:
+lipkart has successfully placed itself into the prospects mind making it the -ndia"s largest
online store with huge range of products. 'ut +lipkart still needs to work on their core
competence that is books and stationery items.
Aith the entry of (ma1on.com it will be a huge competitive market for +lipkart and
hence will have to position itself better, as we still see that huge percentage of females are
still unaware of +lipkart. 3hose female who purchase, has a very less fre5uency which
has remained unchanged. 3herefore they need to get aggressive at providing better
services which can be fulfilled by reducing the delivery time, selling second hand
products which will increase consumers" affordability much more and enhance
penetration into the market.
3hey can even have their retail stores which can give an access to consumers to feel and
analy1e the products, which will help them win the consumers faith.
rice will still be a factor as ama1on being a huge company will use its economies of
scale to remove their competitors from the marketO therefore they need to be more
competitive on that aspect. 'e very focused on consumers and build ama1ing experiences
for the customers.
,. 8)S'"R9
2ishore 'iyani is the person whose talent is transforming -ndia #etail and -ndian
;conomy with his vision and power to grow. ,e is the person, who stood up and is going
well to break the parameters of -ndian #etail. ,e is known by several names7 the king of
retail the unstoppable -ndian the man who saw the future.
2ishore 'iyani belongs to a trading family from #ajasthan settled in Mumbai for more
than N& years now. ,e was never interested in studies but did complete his commerce
graduation and always had ambition of making it big in business. ,e didn"t join the
family trading business but rather than tried out different things on his own, like
readymade garments, textile production, creating brands before he ventured in retail
business of selling garments. he is true visionary when he started selling readymade
garments when nobody preferred ready0to0wear shirts or trousers.
Kishore Biyani is an -ndian businessman. ,e is chief executive officer >6;*? of +uture
4roup, and Managing Director of antaloon #etail. 'iyaniHs +uture 4roup has over =F
million s5uare feet of retail space in J& cities and N& rural locations. ,e managed to raise
M=F& million by taking venture capital arm +uture @entures public in March $&==. 'iyani
is married to /angita 'iyani and they have $ children and are based in Mumbai. ,is older
daughter (shni is a director of +uture -deas, groupHs innovation and incubation cell.
2ishore is the co0author of the book P-t happened in -ndiaP. -t is the story of antaloons,
'ig 'a1aar, 6entral, and the 4reat -ndian 6onsumer, co0authored with Dipayan 'aishya.
3he book has sold some =&&,&&& copies, more than any other business book published in
-ndia so far.
-. 189 D)D 9"( C8""S$ '8' P$RS"&#)'9:
2ishore 'iyani isn"t 5uite the poster boy of -ndia"s organi1ed retail industry. ,e lives its
periphery ever willing to take extraordinary bets. ,is peers dismiss him as compulsive
risk taker. ,e was first who dared to try out the hypermarket model. During his initial
struggle period, the press fed up with his recalcitrance to meet or talk, largely ignores
him. ,e is seldom invited for retail seminars. 'ut 'iyani didn"t care. ,e was 5uite
content being outsider who at the end built up his #s$$& crore business in nascent -ndian
retail sector.
'orn in a middle class trading family 2ishore 'iyani started his career selling stonewash
fabric to small shops in Mumbai. Years later, with the launch of antaloons, 'ig 'a1aar,
+ood 'a1aar, 6entral and many more retail formats, he redefined the retailing business in
-!D-(. -ndiaHs retail c1ar, 2ishore 'iyani, replaced conventional wisdom with Pguts and
instinctsP to create +uture 4roup, a M= billion company that includes antaloon #etail, a
department store groupO 'ig 'a1aar, the companyHs name for hypermarketsO +ood 'a1aar
supermarkets, and 6entral Mall, a more upscale aggregation of merchandise. 2nown for
his insights into -ndian consumer behavior, 'iyani also represents an enigma to the
countryHs emerging retail players, both domestic and foreign.
,e trusted his own ability so strongly from day one that he never needed to be on the side
of established hero. .ike while playing game of cricket, he was ever willing to take up
the opponent"s challenge in spite of a weak team. *ut of his own confidence he
encouraged his team members to give it their best, even if they were destined to lose the
match. (nd he did everything to win the match. Ahile in college he organi1ed Disco
Dandiya in his own locality first of its kind in south Mumbai. -t was first popular trend
that he picked on early and was able to capitali1e on it.
/o as one grows and starts to learn and understand life, he starts to 5uestion as well. (t a
very early stage, one starts creating mental models to interpret various observations. (t
that point if one finds that what he has learnt on his own is different from what is being
practiced in reality. ,e tries to distinguish the right from the wrong. ,e soon starts to
seek answer to everything and then life transforms. /o attitude of 5uestioning is very
important. Bntil one 5uestions the establish way of doing things, one won"t be able to
come up with something new.
3hus he left his family business and started his own journey0 entrepreneurial journeyQ..
,e kept looking for beachheads to reali1e his dreams. ,e tried multiple things that could
be ideal for 8new" -ndia that was emerging.
/. DR$M "% '8$ #$D$R
,is dream was to make a place on a simple idea7 #ewrite rules, retain values. ,is
fundamental belief created a new kind of marketplace, forever transforming -ndian retail.
3oday his core values continue to guide how he does business and improve the 5uality of
life of the people they serve.
(t his +uture 4roup they are committed to being a catalyst of positive change in the
communities, societies, and business sectors in which they operate. 3hey envision -ndia"s
transformation into the legendary HSone Ki ChidiyaH >golden bird?, taking wings once
again to reach greater heights.
,e takes pride in being -ndian. 3heir belief in inclusiveness for long0term sustainable
growth and economic prosperity evokes trust among consumers, employees, suppliers,
partners, shareholders and the community.
,e even mentioned in his interview with +*#';/ -!D-(...R - believe that what
differentiates us from animals is imagination and fear. *ne of my own observations on
life is that F out of =& thoughts an average person has is negative. /o the big 5uestion
becomes C ,ow do we use reduce our fears and increase our imagination? - dream of
being able to reduce the fear 5uotient and convert negative thoughts through imagination.
Ae are a nation that doesn"t believe in ourselves as much as we should. ;ven with our
rich history and knowledge, we have yet to produce strong thought leaders out of -ndia. -f
we are to prosper and grow, we need to plan future scenarios that not only look at
economic indices but also take into account the measures of happiness, culture, and
values. 3his is a long0term approach to planning the future of -ndia.R
;. S1"' &#9S)S
<. S'!$ "% B(S)&$SS =C(RR$&' S'!$>
;very day, +uture 4roup brings multiple products, opportunities, and services to millions
of customers in -ndia. 3hrough over =F million s5uare feet of retail space, we serve
customers in J) cities and N& rural locations across the country. Most of all, we help -ndia
shop, save and reali1e dreams and aspirations to live a better 5uality of life every day.
+uture 4roup understands the soul of -ndian consumers. (s one of -ndia"s retail pioneers
with multiple retail formats, we connect a diverse and passionate community of -ndian
buyers, sellers, and businesses. 3he collective impact on business is staggering7 (round
)&& million customers walk into our stores each year and choose products and services
supplied by over )&,&&& small, medium and large entrepreneurs and manufacturers from
across -ndia. (nd this number is set to grow.
+uture 4roup employs )%,&&& people directly from every section of our society. Ae
source our supplies from enterprises across the country, creating fresh employment,
impacting livelihoods, empowering local communities, and fostering mutual growth.
Ae believe in the 8-ndian dream" and have aligned our business practices to our larger
objective of being a premier catalyst in -ndia"s consumption0led growth story. Aorking
towards this end, we are ushering positive socio0economic changes in communities to
help the -ndian dream fly high and the Sone Ki Chidiya soars once again. 3his approach
remains embedded in our ethos even as we rapidly expand our footprints deeper into
-ndia.
B(S)&$SS$S:
5. S'R'$!9 =8"1 '8$ R$S"(RC$S R$
M"B#)S$D>
( new normal is being defined in the -ndian consumer market every day. Aith far0
reaching socio0economic changes that -ndia has undergone in the last decade, the
drivers in urban and rural -ndia are maturing fast.
Aith a growth strategy tempered with locali1ation and an inclusive business model,
+uture 4roup is the only pure play local retailer poised to lead -ndia"s consumption
story with sustainable value creation.
*ur multi0format retail strategy captures almost the entire consumption basket of -ndian
customers. (s modern retail drives new demand, efficiency and consumption in new
categories, our strategy is based on our deep understanding of -ndian consumers. Ae
understand the varied buying behavior of the -ndian consumer across regional ethnicities
and are constantly innovating to craft strategies that address the subtle differences.
%uture !roup?s strate.y is aimed at achievin. inclusive@ sustained@ and pro2itable
.ro7th 7ith three levers
3hey believe that modern -ndian retail rests on the strength of two pillars C scale and
efficiencies. (s front0runners in both areas, they firmly believe their core responsibility
lies in providing protection to customers from the overall rate of inflation. Ahile the scale
and si1e of our operations helps them improve efficiencies, it also ensures they deliver
greater value to their customers.
3heir retail thrust is focused on four principal verticals of +ood, +ashion, 4eneral
Merchandise, and ,ome. 3hese four categories together account for nearly N%K of the
consumption in the country and represent mass consumer aspirations. (cknowledging
this, they are creating retail pure play through divestment and demerger of non0retail
businesses to concentrate our efforts on these verticals.
-ndia"s retail boom is being driven by resurgence in the economy. Modern retail still has
around NK share of the total retail spend in the country that is estimated at around B/ M
G&& billion. 3hus, the potential for modern retail growth in -ndia is huge. 6urrently,
leading retailers in mature markets occupy the top three slots by turnover, employment,
and value creation. (s the -ndian economy matures, it is upon us to make the same
happen in their country.
+uture 4roup was conceived as a force to drive domestic consumption and capture every
addressable need of -ndian consumers.
3hey have different braches like7
R$')#
+uture 4roup makes every effort to delight its customers, tailoring store formats to
changing -ndian lifestyles and adapting products and services to their desires.
Ae operate some of -ndia"s most popular retail formats. (cross value and lifestyle
segments, our multi0format retail strategy caters to the complete consumption needs of a
wide cross0section of -ndian consumers.
(s modern retail drives fresh demand and consumption in new categories, our strategy is
based on a deep understanding of -ndian consumers, the products they want, and making
these products available in every city, in every store format. +uture 4roup offers
innovative offerings at affordable prices tailored to the needs of every -ndian household.
ioneers in the -ndia"s retail space, our formats are household names in more than
J) cities and N& rural locations across the country
*ur stores cover around =F million s5uare feet of retail space and attract around
)&& million customers each year
antaloon #etail >-ndia? .imited focuses on the lifestyle retail segment led by the
Pantaloons and Central formats
+uture @alue #etail focuses on the value retail segment through the Bi.
Ba0aar, %ood Ba0aar@ and KB6s %airprice formats.
%)&&C$
6reated on the foundation of our belief to help the -ndian dream fly high, our finance
business aims to empower people to pursue their dreams. *ur finance solutions, an
important component of our business portfolio, aim to help enterprises transform and
differentiate their offerings.
+uture 4roup has broadened its finance services portfolio to strengthen its position in the
highly competitive consumer market through user0friendly and dynamic services based
on -ndian consumer needs. *ur group companies provide consumer finance and
insurance to customers besides offering corporate loans and e5uity investments to
companies engaged in consumer businesses.
3he key aspect of our business model is to provide a uni5ue personali1ed customer
experience to expand and capture a greater share in the highly competitive finance market
and help people reali1e the -ndian dream.
+inancing Dreams
+uture 4roup"s financial arm 0 +uture 6apital ,oldings .imited >+6,? is a provider of
financial services across consumer and wholesale businesses, with aspirations to grow
into a significant financial conglomerate.
6onceptuali1ed around a uni5ue positioning of a financial services business, integrated
with a retail chain, +uture 6apital is establishing financial superstores within the #etail
stores of +uture 4roup such as 'ig 'a1aar, ;01one and ,ome 3own to create -ndia"s first
8consumer0centric" retailer of financial products and services
/ecuring .ives
+uture 4roup"s foray into life and non0life insurance services and products is led through
+uture 4eneral -ndia .ife -nsurance 6ompany and +uture 4eneral -ndia -nsurance
6ompany, respectively.
3hese ventures are in partnership with -taly"s 4eneral 4roup that is amongst the three
largest insurance companies in ;urope and is ranked amongst the 3op %& on the +ortune
%&& list.
;nabling ;ntrepreneurship
+uture @entures promotes and participates in innovative and emerging business ventures
in -ndia. Ae aim to empower entrepreneurship by focusing on consumption0led sectors in
the country such as +ashion, +M64, +ood rocessing, ,ome roducts, #ural
Distribution, and @ocational ;ducation.
Ae also participate in businesses where we can exercise control and add value as an
active shareholder by utili1ing the experience and knowledge of +uture 4roup.
S$R*)C$S
-n a highly competitive retail marketplace with changing consumer preferences, different
formats and large geographical spread, retail logistics is a critical business activity.
(t +uture 4roup we believe the viability of a retail operation hinges as much on
achieving efficient logistics and supply chain as it does on attaining success at the front
end.
( seamless logistics function to move our products from the manufacturer to our store
shelves is at the heart of our retail operations. *ur robust presence in logistics and supply
chain helps us move millions of products to customers each day of the year across -ndia
in the most efficient and cost0effective manner
+uture /upply 6hains, a speciali1ed subsidiary, offers a strategic, focused, and
consolidated approach to meet the group"s large supply chain re5uirements as well as
those of select suppliers and business partners.
+uture /upply 6hains provides integrated end0to0end supply chain management,
warehousing and distribution, multi0modal transportation and container freight stations.
*perates % major verticals7 Aarehousing, 3ransportation, -nternational .ogistics,
'rand Distribution and #everse .ogistics
6urrent warehouse footprint of over ).% million s5uare feet with NF warehouses
across )$ locations.
Dedicated fleet of over G&& vehicles and an outsourced fleet of G&& trucks that
move goods across -ndia in the most efficient and cost0effective manner
.i L +ung, the ,ong 2ong0based largest retail supply chain company, is an
investor and partner of +uture /upply 6hains.
P9BCK #"9#'9 PR"!RMM$
+uture 4roup has taken the whole concept of customer loyalty to the next level by joining
hands with (Y'(62. (Y'(62 is -ndia"s largest and one of ;urope"s most successful
multi0partner loyalty programs. Aith (Y'(62, customers can shop, save and get
rewarded. 3his program enables consumers to collect millions of points across online and
offline partners C with just a single card. 6ustomers can accumulate points across +uture
4roup formats, thereby making Sshopping rewardingR.
A. #$D$RS8)P S'9#$
/ince his young age, he had a rational thinking. ,e would 5uestion each and everything
and do it if he found some logic behind it. ,e was an introvert and shy person at young
age. ,e believed in the ideology i.e. create and destroy. ,e would observe people, judge
them and then accordingly associate or dissociate from them. ,e has got following
characteristics7
@-/-*!(#Y0,e is a true visionary when he started selling readymade garments
when nobody preferred ready0to0wear shirts or trousers. !ow his vision is serving
-ndian society and which is unchallenged.
#-/2 3(2;#0,e tried out different things on his own, like readymade garments,
textile production, creating brands before he ventured in retail business of selling
garments.
/-M.-6-3Y0You"ll never catch him in a tie and jacket. ,e doesn"t drive
expensive cars.
,e has got all the 'R)'S "% & $%%$C')*$ #$D$R:
B. 1RDS &D R$C"!&)')"&
/tarting from $&&) they have been awarded many a times like in $&&)0
-ndian ;xpress (ward and -dusland 'ank>-ndia brand summit?
-mages +ashion (ward in the year $&&I, $&&J, $&=&, $&==, L $&=$.
-mages #etail (ward in the year $&&G, $&&%, $&&F
#eid L 3aylor and D.+ (wards in the year $&&G, $&&N, and $&&I
#etail (sia acific 3op%&& (wards in $&&N L $&&I,
/ingapore, (sia Money (wards$&&N,
;rnest (nd 3he Young ;ntrepreneur *f 3he Year (ward$&&N,
6!'6 -ndian 'usiness .eaders (ward $&&N
6!'6 (wa1 6onsumers (wards -n $&&N,$&&I,$&&J,$&=&.$&==
Aorld #etail 6ongress 'arcelona (ward$&&F L$&&J ,
6oca 6ola 4olden /poon (wards in the year $&&I, $&&J L $&=&
3he -ndia /tar (ward $&&I,
3he 4urukul (wards $&&J
(sia"s 'est ;mployer 'rand (wards$&=&
4olden /poon (wards in the Year $&=& (nd $&==.
-6(- awards $&==, +ood retail L /6M and (gro .ogistics /ummits L (wards
$&==
/tar !ews 'rand ;xcellence (wards $&==
D!( L /tars *f 3he -ndustry 4roup -nnovative '0/6,**. (ward $&==,
(nd recently he has been awarded in the year of $&=$ with
6-/* (wards,
4olden /poon (wards,
-mages +ashion (ward,
;3 #etail (wards
'loomberg B3@ '0/chool ;xcellence (ward.
conclusion
'usiness organi1ation is living, breathing entities which grow organically. (nd he also
believe that there is lot that org can learn from understanding nature. !ature is the best
designer and very often they have been inspired nature work. -n nature, there are no
fundamental tension between conservation change, *rder and freedom, organi1ed and
disorgani1ed. 6omplex city and simplicity co exist in nature, there is continues fight for
survival and yet there is harmony interdependence among all living organism
3he idea of flow is extremely for any business organi1ation and it part of their
organi1ation"s core value. if one believes in the idea of flow one always move on rather
than getting stuck and wasting time in making decision . -n most org manager keep
working in circle discussing and re0discussing everything from every possible angle. (nd
yet of the =& decision they make only I turn out to right. 3wo still go wrong. (n
organi1ation never has perfect info or complete consensus before leading a new initiative.
3here will always be some amount of conflict and a lot of certainty. 'ut the movement it
stops to resolve each issue and make everything certain, it moves towards stagnation.
;veryone in their organi1ation, irrespective of what level they work is encouraged to take
initiative and make decision.