Micromax founder and Executive Director Rahul Sharma in an interaction with Surbhi Chawla of B&E
B&E: Recently there were rumours that your dealers were not happy with you stating that there were no stocks. How have you sorted that out?
VJ: We have believed in growing prudently with our dealers and would do that. Most of the dealers that were there with us from the start continue to be with us but there is no wide spread dissatisfaction, although we have been out of stock from time to time. Yes, we have added new distributors and dealers from time to time, which was a natural progression for us. For example, we had only one dealer in MP when we started; but in this market, we are now number one and selling 1,12,000 units. There is also this dealer in Bihar who I remember wrote the first cheque to us for Rs.1,36,000 and now does a RTF of 4 crores as he realizes that cheque takes three days to clear. We have cautiously adopted this strategy to grow the entire ecosystem with us and that’s what we would continue to do.
B&E: How do you see competition in the segment?
VJ: I will think of competition only when I am not growing month on month. Another plus is that now we see a lot of Indian brands also fighting it out with the MNC’s so that’s also a good sign. I have utmost respect for Nokia; they are the leaders and have a wonderful portfolio and it isn’t that they are not competent. What we are seeing is the maturing of the market. A similar thing happened in the auto industry. Earlier we had just Maruti but with privatization, Hyundai and Tata Motors came in and slowly Maruti’s share has come down; but it continues to be the leader. Similarly Nokia will continue to be number one; only the difference between number one and two would become lesser & more legitimate.
B&E: Recently there were rumours that your dealers were not happy with you stating that there were no stocks. How have you sorted that out?
VJ: We have believed in growing prudently with our dealers and would do that. Most of the dealers that were there with us from the start continue to be with us but there is no wide spread dissatisfaction, although we have been out of stock from time to time. Yes, we have added new distributors and dealers from time to time, which was a natural progression for us. For example, we had only one dealer in MP when we started; but in this market, we are now number one and selling 1,12,000 units. There is also this dealer in Bihar who I remember wrote the first cheque to us for Rs.1,36,000 and now does a RTF of 4 crores as he realizes that cheque takes three days to clear. We have cautiously adopted this strategy to grow the entire ecosystem with us and that’s what we would continue to do.
B&E: How do you see competition in the segment?
VJ: I will think of competition only when I am not growing month on month. Another plus is that now we see a lot of Indian brands also fighting it out with the MNC’s so that’s also a good sign. I have utmost respect for Nokia; they are the leaders and have a wonderful portfolio and it isn’t that they are not competent. What we are seeing is the maturing of the market. A similar thing happened in the auto industry. Earlier we had just Maruti but with privatization, Hyundai and Tata Motors came in and slowly Maruti’s share has come down; but it continues to be the leader. Similarly Nokia will continue to be number one; only the difference between number one and two would become lesser & more legitimate.
Source : IIPM Editorial, 2012.
An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).
For More IIPM Info, Visit below mentioned IIPM articles.
An Initiative of IIPM, Malay Chaudhuri
and Arindam Chaudhuri (Renowned Management Guru and Economist).
For More IIPM Info, Visit below mentioned IIPM articles.
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IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face
IIPM – FLP (Flexi Learning Program)
Ranked 1st in International Exposure (ahead of all the IIMs)
Ranked 6th Overall
Zee Business Best B-School Survey 2012
Prof. Arindam Chaudhuri’s Session at IMA Indore
IIPM IN FINANCIAL TIMES, UK. FEATURE OF THE WEEK
IIPM strong hold on Placement : 10000 Students Placed in last 5 year
IIPM’s Management Consulting Arm-Planman Consulting
Professor Arindam Chaudhuri – A Man For The Society….
IIPM: Indian Institute of Planning and Management
IIPM makes business education truly global
Management Guru Arindam Chaudhuri
Rajita Chaudhuri-The New Age Woman
IIPM B-School Facebook Page
IIPM Global Exposure
IIPM Best B School India
IIPM B-School Detail
IIPM Links
IIPM : The B-School with a Human Face
IIPM – FLP (Flexi Learning Program)
