Book Review IT HAPPENED IN INDIA

Prepared By

Mr. Nishant Agrawal

KISHORE BIYANI

•Kishore Biyani: New face of Indian retail, 52, is

CEO, Future Group, which is designed to cater to

the entire Indian consumption space.

•After graduating in commerce, Biyani joined the

family textiles business.

•He launched the first branded ready-made

trouser, called Pantaloon, marketed through The

Pantaloon Shoppe.

• Food Bazaar, a supermarket chain,

“Indian bazaar with western

hygiene”  

•The Future Group operates through six

verticals:-

Future Retail ,

Future Capital,

Future Brands,

Future Logistics,

Future Media.

DIPAYAN BAISHYA

•Dipayan Baishya is a business writer, and has been associated with the Economic Times and Business Today.

•His articles have also appeared in Media, a Hong Kong based fortnightly and Knowledge at Wharton.

•He was awarded the Don Sheehan International Journalist Fellowship by the Wharton School in 2005.

Made in India

• This Chapter is all about KB way of understanding Indian retail

market!

• There are couple of emotions that determine shopping

behavior which includes greed, unselfishness, fear and jealousy.

•Predicting Indian consumer behavior becomes important in

retailing

•The most interesting thing about our country is that our growth will

be based on ideas and solutions rather than physical assets.

*REWRITE RULES, RETAIN VALUES*

KB is inspired by Sam Walton. KB strongly believes that consumer is always right!

Retail is like riding a bicycle up the hill, if you stop pedaling, you will slide down .

Made in India

•KB believes in 3C theory : Confidence and Changes bringing in

an unique era of Consumption.

•He used to observe people coming in his stores, to know more

about their demands.

•He maintained the balance between confidence in making

choices and humility in learning.

•Always believed in doing new things, process is :

“LEARNING, UNLEARNING ,AND RELEARNING”

Made in India

Built from scratch

•He had the attitude of challenging and was keen observer from very

beginning.

•He had this attitude of pursuing with his own ideas, and never had

expected any support from the family..There his entrepreneurial

journey began….!!!

•KB quotes “I created my own ‘mental’ mentors, studied various

subjects and eagerly sought knowledge. I strongly believe that there

is a hard and arduous journey that one has to undertake alone.

Built from scratch

“Entrepreneurship is about thinking big , believing in your own

ability and going ahead with huge risks even if you are aware

that some of the ventures not be successful. “

“It’s also about making decision, leadership, and about making

your colleagues believe in your DREAM “

Defying the odds

•This chapter is about KB’S struggles and success story of pantaloons.

•He came up with the brand WBB , went on for advertising worth few

lakhs, and also hired an ad agency, which was new and innovative in that

time and then established the brand.

•One day, inspired from Italian fashion for ready made garments .He had

explored into this business of ‘Manz wear’(which came to be known as

Pantaloon)

•He emphasized in the popularity of pantaloons.

• First franchise shop: in Goa called as Pantaloon Shoppe.

• In 1992 to raise more fund KB approaches the stock market and

announced IPO and he raise 225 lakh rupees by diluting his 60 % holding.

• Then he came across the idea of making pantaloons a one-stop

destination for all apparel products for men: shirts, ties, trousers etc.

• And this way, he moved ahead with pace.

Continue….

•Kb always updates himself with knowledge of fashion and fabric by visiting the

NIFT.

•He realized the need to scale up all these successful businesses.

•Finally, his business was enjoying the goodwill, even over the Raymond's, but for

that he had to defy many odds.

•ITS DUE TO HIS AMBITION, POSITIVE ATTITUDE, CREATIVITY, and STRONG

DETERMINATION he has become SUCCESSFUL.

Continue….

The new, new thing

“ Despite all the difficulties, all the frustrations, there is a joy in having done

something as well as you could and better than others thought you could “

•Kb decided to design Pantaloon Shoppe in the provided large space in Kolkata.

•Some important points about retailing are as follows:

Fashion for the matter of retailing, is not selling products, its selling of ideas.

Customers wants to experience everything when they shop rather than just wasting

money in shopping.

• The crucial aspect in retailing is to make customers relate to every

product that are being sold. Store environment also matters.

• Kb had used the concept of visual merchandising which enables a

retailer to talk more to customers.

• Moreover it requires a deep understanding of local tastes and

preferences.

The new, new thing

•KB believes : CUSTOMER IS THE KING

•Customers should be given a comfortable environment and personal

shopping experience.

•For KB achievement was more important than money. he drive himself by

what percentage of the consumer’s wallet he was going to attract!

•For him, Growth is important.

•Honesty helped him win the trust of investors.

He was the only one in the industry who was betting on the

future, rather than the present

The new, new thing

For god, country & Big Bazaar

• KB’s philosophical thinking makes him totally a unique personality.

•KB follows the Indian consumer with passion and retail ,according to him is about heart.

•Inspired from Saravana stores in Chennai, KB had decided to open up a hypermarket. Less profit, more turnover.

•KB had given full liberty to his employees to take risk and move on with business. KB

explain “ Never fear of mistake ,if you have made one get out of it fast . “

•Another successful model: food bazaar. It was established on The principle of not

slicing the current opputunity, but growing it further.

•Big bazaar and food bazaar, were the greatest part of kb’s success.

•However ONE question aroused, Would kiranas survive with the arrival of modern retail

outlets? It is not possible for Hyper mart’s to serve like ‘Kiranas’.

•As kiranas have personal relation with customer . “they know what a regular customers

wants even before she enters the store “

For god, country & Big Bazaar

Bollywood calling

• KB is always advertisement on big scale. Famous one liner are :

• “Channe ke bhaw me kaaju” ,“Is se sasta aur accha kahin nahi”

• KB explained about how he tried to enter into movie making in the bollywood but

could not produce a huge success there. The movie was “Na Tum Jano Na Hum “

• What makes Film Making is more challenging is that no one get a chance to correct

the mistake.

• Well, what I have learned in this section is ACCEPTING THE MISTAKE, And not

losing hope. KB still wishes to be great filmmaker in the industry.

Business @ the speed of Thought

•KB is little uncertain about hiring people. He never expected anything from those

MBA’s. Not everyone can fit into his organization. He wants his employees are willing to

go through the continuous process of learning, unlearning and relearning.

"As members of organizational for family, it becomes important for us to ensure that

everyone who joins him, understands the soul of organization and he would help

achieving him his potential".

•He finds the people first, and then the job. He wanted such people because a stable

team ensures speed and continuity of the business.

•For Location , the team used to undertake a survey in the local markets/residential

places to know about the product & taste of consumers.

•Then to the prices for land. KB did not bargain, he either said yes or no and due to this

attitude, the dealers used to quote him the correct, reasonable price.

•Malls are new emerging face of Indian retail. However consumers feel difficult or

inconvenient to visit each stores. So KB thought of establishing a mall without doors.

There the concept of departmental store emerged.

•Then they created a group-Future group which is an umbrella entity which includes

every undertakings.

Business @ the speed of Thought

The business of life

“managing the family is no less important than managing the business.”

•One of the most necessary step they took was to completely separate ownership,

governance and execution.

•Within organization their family members mostly concentrate on building and

encouragement relationships with business partners and providing an overall

guidance to the business.

“True failure happens only when individuals stop trying to

achieve their personal best “

Who says elephants can’t dance?

•Every three years they have destroyed their existing organizational design.

•they started of as a garment manufacturer and launched a few brands.

•The next step was to establish their own retail chain for their fashion products and

slowly they built multiple retail chain.

•Reaching out direct to the customer required a thorough understanding of

different customer segments.

•His views on Trust & Relationships is significant.

“If you approach your business with this framework in mind, then you shall see

benefit in all interactions.”

Most businessmen make the mistake of creating an environment wherein only

then win. They see life only as a competitive arena & not a co-operative one.

Relationships are built on principles, and not on the basis of power &

position.

However, this is not as easy as it sounds. To get to that level, every person’s

aspirations & dreams have to be understood & more importantly, addressed

appropriately. Therefore, to build great relationships, sacrifices will have to

be made.

Thanks