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Business Disruption In IndiaPresented By - Shruti Bal, Prajakta Shinde

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IntroductionWhat is Business Disruption?

•Minimum use of resources

•Threatens the existing business

•Causes economic shift

•Destabilizes the current trend

•Creates sustainable economic value

•Triggers Innovation

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An Opportunity Or Threat?

•Disruptor that unfreezes a stable industry

•To recognize potential market

•Microeconomic driver

•Technology

•Business Model

• Industry dynamics

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Customer’s In India

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Disruptions Due To Technology In India

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According To NASSCOM’s report

9 Indian start-ups valued over $1bn

125% increase in funding since 2014

123% increase over 2014 in active investors

$2.5 – $2.7 mn-avg valuation of Start-ups

1,200 start-ups were born in 2015

28 yrs is the avg age of new entrepreneurs

40% increase in no. of Start-up Incubators & Accelerators

80,000 – 85,000 directly employed by Start-Ups

8 out of 10 VCs & PEs operating in India are foreign companies2015- e-commerce companies invested $600 mn in ad & marketing

No. 3 ranking in the Global Start-up Ecosystem, Also 9% of the start-up founders in India are females

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Reason for growth of Start-ups•Risk taking abilities

•Favorable economic environment

•Availability of funds

•Vibrant ecosystem

• Improving financial system

•A failure in start-up is no more a failureCountry No of start-ups

US 47,000-48,000

Great Britain 4,500-5000

India 4,200-4,000

Israel 3,900-4,100

China 3,300-3,500

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Blue Ocean Strategy

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Disruptions In Indian Market -Examples

1. Nirma• Stole the market of HUL’s Surf

2. Ola cabs• Started in Nov’2014• Smartphone given to drivers• App runs in English, Hindi and Kannada• No need to negotiate

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3. Digital Disruption :• e-Newspapers, e-books, e-invitations, music apps• Less investment, easier to read, carry and reliable

a. Amazon• Revolutionized the way of shopping• Succeeded in OCSE• Media group, web services and firetv have

also added revenue which poises it to be the number 2 spot in 2018 2nd to Walmart

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b. Google• Dominated the market • Focus on the search engine & continuous improvement• 63.9% market share in India• Play store• People refer to search as ‘googling’• Teaming up with android and windows smartphone to

introduce’ ‘Andromeda’

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• Orkut lost it’s market when Facebook entered

• Unbundled the Facebook messenger• Farmville and other social games• Increasing popularity of Whatsapp

compelled Facebook to acquire it

c. Facebook & Whatsapp

4. Patanjali products• Big disruptor with a turnover of $740 million• Continuously launching new products • Significant position in the herbal market

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5. Apple

• Utilized strategy, innovation, planning & ethics

• Mixture of disruption and value innovation along with proper strategy and planning leading to championing

• Apple’s iPod and iTunes created a lot of buzz

• Newly created marketplace helped in creating new innovations, jobs & products, which had a direct, positive effect on job growth and society as a whole

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RELIANCE JIO – ON VERGE OF DISRUPTION

• Offers all domestic voice calls for free• Main principle - data must be affordable• Launched a handset at ₹2,999 under the LYF

brand• Data consumption patterns not only changed,

but also have moved to next levels

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Conclusion :• India is the youngest country in the world and a

booming economy• Continuous innovation, new ideas, clarity of

customer understanding, creating value for the customer lead to success in business

• Need to see disruption as a virtue• Need to make the private and public policy

changes• Increasing competition in the market-benefits

the consumer “Small is beautiful”- E.F. Schumacher

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Thank you