Chapter 1: Eentreprenuer
Introduction:Entrepreneur are the backbone of a nation’s progress. They organise different
factors of production like land, labour and capital and in this process, provide
goods and services to the people.
Entrepreneur creates wealth and gives employment to large sections of the
society. The economically developed nations provide ample evidence to the
emergence of entreprenurial class in those countries. Many underdeveloped
countries have realised the fact that the governments in these countries are
unable to produce goods and services needed by the people and offer
employment.
India requires a good entrepreneurial class for developing small scale and large-
scale Industries. Government at the centre and states are unable to solve the
problem of teeming unemployed. Besides, liberalisation has given an added
impetus to entrepreneurs to start industries in small scale and large-scale
sectors.
Therefore the government both at the central level and the state level are taking
increased interest in promoting the growth of entrepreneurship. Individuals are
being encouraged to form new businesses and are being provided such
governmnent support as tax incentives, buildings, roads and a communication
system to facilitate this creation process. The encouragement given by the
central and state government should continue in future as it realized that the
new entreprises creates jobs and increase the economic output of the region.
Meaning:The word entrepreneur is drived from the French word ‘enterprendre’. It means
to undertake. An entrepreneur is a person who has a possession of new
entreprise, venture or idea and assume a greater significance in inheriting risk
and outcome of the business.
The main reson for an entrepreneur to start a busines entreprise is because he
comprehence the venture for his individual satisfaction and has personal stake
in it.an entrepreneur differs in his standing towards the organisation. He is the
owner, bear risk and uncertanities involved in running up of business. An
entrepreneur objective is to be innovative, creative and act as a benefiter to the
organisation in short he is a chang agent.
Entrepreneur is faced with more income uncertanities as his income is
contingent on the performance of the firm. Entrepreneur is not indused to
involve in fradulant behaviour as a enterprise belongs to him and he cannot mis
practise with his own shares.
Entrepreneur is required to have certain qualifications and qualities like high
motivational power, innovative thinking, risk bearing ability etc. An
entrepreneur deals with frauds and failures as a part of his learning experience
for his entreprise.
Definitions:
The Oxford English Dictionary defines entrepreneur as “ One who
undertakes an business profitable by his skill, intellgence and wealth”.
According to Evans “ entrepreneurs are person who initiate, organise,
manage and control the affairs of a business unit that combines the factors
of production to supply goods and services whether business pertains to
agriculture, industry, trade or profession”.
According to Richard Cantillon “ the agent who buys means of
production at certain prices in order to combine them into a product that
he is going to sell at prices that are uncertain at the moment at which he
commits himself to his cost”.
Characteristics of a Good Entrepreneur
1.Creativity: Creativity is an ability to bring something new into existence. Innovation is the
process of doing new things, and creativity is a pre-requisite to innovation. An
entrepreneur should be creative, because ideas usually evolve through a
creative process whereby imaginative people bring them into existence,
nurture them and develop them successfully.
2.Mental Ability: An entrepreneur must be reasonably intelligent and should have creative
thinking and must be able to analyse various problems and situations. He
should be able to
anticipate changes and must be able to study the various situations under which
the decisions have to be made.
3.Human relation: An entrepreneur must maintain good relations with his customers. He must also
maintain good relations with his employees if he is to motivate them to perform
their jobs at a high level of efficiency. In order to maintain good human relation
he should have emotional stability, personal relations, tactfulness and
consideration.
4.Leadership: The qualities of leadership will enable a person to stand apart in whatever
profession he might be in. leadership is the basic quality of entrepreneurs. This
spirit keeps him forward in any field. The quality of his leadership is clear from
his personal relationship, mode of handling a problem, generating resources and
taking others in his own strides. Those, enterprises, which are endowed with a
resource of leadership, will always be prominent in the market.
5.Team building: An ideal entrepreneur is one who has the ability to build a team. A team is a
group of individuals with common purpose that is focused and aligned to
achieve a specific task or a set of outcomes. A good team will be able to share
knowledge, core competency, and goals.
6.Achievement, motivation: Entrepreneurs have a high need for achievement and are guided by their inner
self, motivating the behavior towards the accomplishment of goals. Most of the
successful entrepreneurs are attracted to this innovative career, because it is
challenging and demands a high degree of intelligence and involvement.
Achievement, motivated entrepreneurs are the doers. They always accept any
challenge and take a calculated risk to do something worthwhile. In India, we
have a number of such entrepreneurs who are achievement motivated.
7.Problem solving: An entrepreneur should learn to face problem and not avoid them. He should
define the problem, gather information, identify various solutions, evaluate
alternatives and select the best option, take action, and finally evaluate the
action taken.
8.Communication ability: An entrepreneur should have the ability to communicate effectively. Good
communication means both the sender and the receiver of the message
understand each other. An entrepreneur is more likely to succeed if he can
communicate effectively with his employees, creditors, suppliers and
customers.
9.Goal orientation:
Human behavior is goal oriented. Therefore, goal setting is a necessary part of
all the activities. Without goals, different members may go in directions. A
successful entrepreneur is goal oriented. The goals must be as specific as
possible so that all employees can feel a sense of achievement when goal is
attained.
10. Risk taking and decision-making ability:Entrepreneurs are persons who take decisions under the conditions of
uncertainty, and therefore they are willing to bear risk.
Qualities of entrepreneur
1. Creative
2. Innovative
3. Risk taker
4. Capital generator
5. Leader
6. Motivator
7. Energetic
8. Commited
9. High perseverance person
10. Able to assume responsibility
11. Able to deal with failure
12. Good manager
13. Self confidence
14. Flexible to change
15. Dynamic
16. Profit oriented
17. Optimist Versatile
18. Achiever
19. Resourceful
20. Goal directed
21. Low need for status and power
22. Problem solver
23. Knowledgeable in technology
An entrepreneur should have qualities of many individuals in one. He should be
resourceful to bring capital and management. He should have a vision for
future. He should be an example setter and a good leader. He should be
energetic, yet flexible to environmental changes. A good entrepreneur should
have good knowledge of product and technology. He should have a quest for
success and achievement. He should have capability to build an organization
culture.
Chapter 2: Ratan Tata:
Ratan Naval Tata, KBE, is an Indian businessman who became chairman of the
Tata Group in 1991, a Mumbai-based conglomerate. He is a member of a
prominent Tata family of Indian industrialists and philanthropists.
Born: December 28, 1937 (age 74) Mumbai.
Education: Harvard Business School, Cornell University, Harvard University.
Residence: Colaba, Mumbai, India.
Nationality: Indian.
Ethnicity: Parsi.
Occupation: Chairman of Tata group.
Year active: 1962-present.
Religion: Zoroastrian.
Awards: Lifetime Achievement Award(2012),
Padma Bhushan (2000),
Padma Vibhushan (2008).
Siblings: Noel Tata
Among many other honors accorded him during his career, Tata received the
Padma Bhushan, one of India’s most distinguished civilian awards, in 2000 and
Padma Vibhushan in 2008 and Lifetime Achievement Award awarded by
prestigious Rockefeller Foundation in 2012. He has also been ranked as
India's most powerful CEO.
Early life:Ratan is the great-grandson of Tata group founder Jamsetji Tata. Ratan's parents
separated in the mid-1940s, when he was seven and his younger brother Jimmy
was five years old. Their mother moved out and both boys were raised by their
grandmother Lady Navajbai.
Tata started sol in Bombay at Campion School, Bishop Cotton School, and
Shimla and finished at Cathedral and John Connon School. Ratan Tata
completed his B.S. in architecture with structural engineering from Cornell
University in 1962, and the Advanced Management Program from Harvard
Business School in 1975. He is a member of the Alpha Sigma Phi fraternity.
Ratan Tata profile…Ratan Tata is presently the Chairman of Tata Sons, the holding company of the
Tata Group. Ratan Naval Tata is also the Chairman of the major Tata companies
such as Tata Steel, Tata Motors, Tata Power, Tata Consultancy Services, Tata
Tea, Tata Chemicals, Indian Hotels and Tata Teleservices. He has taken Tata
Group to new heights and under his leadership Group's revenues have grown
manifold.
Ratan Tata was born on December 28, 1937, in Bombay. He received a
Bachelor of Science degree in architecture from Cornell University in 1962.
Ratan Tata had a short stint with Jones and Emmons in Los Angeles, California,
before returning to India in late 1962. He joined the Tata Group and was
assigned to various companies before being appointed director-in-charge of The
National Radio & Electronics Company (NELCO) in 1971. Ratan Tata was
appointed Chairman of Tata Industries in 1981. He was assigned the task of
transforming the company into a Group strategy think-tank, and a promoter of
new ventures in high technology businesses, in 1991, Ratan Tata took over the
Chairmanship from JRD Tata. Under him Tata Consultancy Services went
public and Tata Motors was listed in the New York Stock Exchange. In 1998,
Tata Motors came up with Tata Indica, the first truly Indian car. The car was the
brainchild of Ratan Tata.
Ratan Tata was honored with Padma Bhushan, one of the highest civilian
awards in 2000. He was also conferred an honorary doctorate in business
administration by Ohio State University, an honorary doctorate in technology
by the Asian Institute of Technology, Bangkok, and an honorary doctorate in
science by the University of Warwick.
Career at Tata Sons : Tata began his career at the Tata Empire in 1962; he initially worked on the
shop floor of Tata Steel, shoveling limestone and handling the blast furnace. In
1971, he was appointed the Director of National Radio and Electronics (Nalco),
which was in dire straits when he came on board: with losses of 40% and barely
2% share of the consumer electronics market. However, just when he turned it
around from 2% to 25% market share, the Emergency was declared. A weak
economy and labour issues compounded the problem and Nalco was quickly
near collapse again.
For his next assignment, in 1977 he was asked to turn around the sick Empress
Mills, which he did. However, he was refused an Rs 50 lakh investment
required to make the textile unit competitive. Empress Mills floundered and was
finally closed in 1986.
In 1981, JRD Tata stepped down as Tata Industries chairman, naming Ratan as
his successor. He was heavily criticized for lacking experience in running a
company of the scale of Tata Industries.
In 1991, he was appointed group chairman of the Tata group. As group
chairman, he has been responsible for converting "the corporate
commonwealth" of different Tata-affiliated companies into a cohesive
company. He has been responsible for the acquisition of Tetley, Jaguar Land
Rover and Corus, which have turned Tata from a largely India-centric company
into a global business, with 65% revenues coming from abroad. He also pushed
the development of Indicia and the Nano. He
is widely credited for the success of the Tata Group of companies, especially
after the liberalization of controls after the 1990s.
In August 2007, Ratan Tata led Tata Group's acquisition of British steel
maker Corus. At that time, this was the largest takeover of a foreign company
by an Indian company, and resulted in Tata Group becoming the fifth largest
steel producer in the world. According to the BBC, however, some
analysts criticized the move, saying that Tata Group had overpaid for Corus and
had prioritized national pride before its shareholders.
Tata is set to retire in 28 December 2012 to be succeeded by Cyrus Mistry, the
44-year-old son of Pallonji Mistry and managing director of Shapoorji Pallonji
Group.
Qualities of Ratan Tata as an Entrepreneur…..
1.Visionary :
“One hundred years from now, I expect the Tata’s to be much bigger than it is
now. More importantly, I hope the group comes to be and regarded as being the
best in India…..best in the manner in which we operate, best in the products we
deliver and best in our values system and ethics. Having said that, I hope that a
hundred years from now we will spread our wings far beyond India”.
2. Risk taker:
“If you put a gun to my head, you had better take the gun away or pull the
trigger because I’m not moving”.
3. Strategist: “He is a deep thinker and extremely strategic. He is always 2-3 steps ahead”.
4. Change champion: “Ratan Tata was the chief architect of the Corus deal. I was worried about
the magnitude and the amount of money. But he instilled confidence”.
5. A man of integrity:
“Tata has shown that there is no other way he will do business other than do it
ethically”.
6. Expertise:
“When you come to him for a critical decision, he will give you a very quick
answer, his responses would be crisp, and leaving no room for doubts…His
involvement in cross-border deals could be quite significant. And that’s
precisely what gives the CEOs the confidence to move ahead with doubts”.
Ratan Tata’s contribution towards Corporate Social Responsibility (CSR)“CSR is contributing responsibility, commitment of business to behave ethically
and contribute to economic development while improving the quality of life of
the work force and their families as well as community and society at large.
Therefore it is clear that meaning of CSR is twofold on one hand it exhibits the
ethical behavior in an organization towards internal and external stakeholders
on the other hand it denotes the responsibilities of an organization towards the
environment and society in which it operates”
The simplest and most significant definition of CSR was given by Mahatma
Gandhi who said “Wealth created from the society has to be ploughed back
into society”. The term CSR was in common use only after 1970s after many
multi National Corporation coming forward and thinking beyond profit for the
benefit of the stakeholders. ISO 26000 is a recognized international standard for
CSR.
CSR makes a society socially responsible, makes it strive to make profit, makes
it obey the law, be ethical, be a good corporate citizen.
The concept of social responsibility for business is probably most advance in us
and in western societies then in developing and emerging economies. Thus to
sum up CSR can be defined as the ethical behavior of a company towards
society. It means engaging directly with local communities, identifying their
basic needs and
integrating their needs with business. The government perceives CSR as the
business contribution to the nation’s sustainable development; it directs
business how to take into account the economic, social and environmental
impact. CSR is a concept which suggests that commercial co-corporation must
fulfill their duties providing cause to the society.
CSR is also known as corporate responsibility, corporate citizenship,
responsible business, sustainable responsible business (SRB) or corporate social
performance. CSR focuses on business with perception of society. It promotes
public interest by encouraging community growth and development and
voluntarily eliminating practices that harms public share regardless of legality.
CSR focuses on benefit of triple bottom line, people, planet and profit. However
practices of CSR are subject to much debates and criticism. Critics argue that
CSR distract fundamental economic role of business. It is nothing more than
super ficial window dressing of financial statements to avoid the interference of
government, to which act as a watchdog over multinational companies. CSR is
essential to avoid organization mission as well as guides the company to stand
for the consumers.
Approaches of Corporate Social Responsibility:
Philanthropy:
There are others who view SR as philanthropy. In India it is widely recognized
fact that house of Tata’s is more for its act of philanthropy for more than a
century. Tata’s was the first industrialist to come to rescue of Gujarat
earthquake divested people. When Gujarat was shattered by the worst
earthquake, companies provided most immediate emotional relief for the people
who were encious for their news of their families. Medical assistance provided
and services were also provided by such companies.
Sponsoring social and charitable causes:
Some entrepreneur had not only built in industrialist empires but also
contributed individually to certain social and charitable cause. JRD Tata’s
contribution to the growth of Indian airlines population related research
education of the under privilege has set an example for various industrial houses
in India.
Chapter 3: Tata Industry….
India’s largest business group
With businesses in seven
sectors,
And operations in over 80 countries;
With products and services available in over 85
countries
And over 456,000 employees.
Group revenue of $ 100.09
bn;
58% in geographies other than India.
Founder and Chairman Established by Jamsetji Tata in 1868.
Head quarter Mumbai and Navi Mumbai, Maharashtra, India.
Ratan N Tata is the chairman of Tata sons, the Tata promoter company.
Revenues us$ - 62.50 billion 9th (Feb. 2008).
Brand finance, uk- based consultancy firm, recently valued the Tata
brand at $ 11.4 billion and ranked it 57th among the world’s top 100
brands.
Introduction:Tata Group is an Indian multinational conglomerate company headquartered
in Mumbai, Maharashtra, India. It encompasses seven business sectors:
communications and information technology, engineering, materials, services,
energy, consumer products and chemicals. Tata Group has operations in more
than 80 countries across six continents and its companies export products and
services to 80 nations. It has over 100 operating companies each of them
operates independently out of them 31 are publicly listed. The major Tata
companies are Tata Steel, Tata Motors, Tata Consultancy Services (TCS), Tata
Power, Tata Chemicals, Tata Global Beverages, Tata Teleservices, Titan
Industries, Tata Communications and Taj Hotels. The combined market
capitalization of all the 31 listed Tata companies was $89.88 billion as of March
2012. Tata receives more than 58% of its revenue from outside India.
The group takes the name of its founder, Jamsetji Tata, a member of whose
family has almost invariably been the chairman of the group. The current
chairman of the Tata group is Ratan Tata, who took over from J. R. D. Tata in
1991. The company is currently in its fifth generation of family
stewardship. Tata Sons is the promoter of all key Tata companies and holds the
bulk of shareholding in these companies. The chairman of Tata Sons has
traditionally been the chairman of the Tata group. About 66% of the equity
capital of Tata Sons is held by philanthropic trusts endowed by members of
the Tata family.
The 2009, annual survey by the Reputation Institute ranked Tata Group as the
11th most reputable company in the world. The survey included 600 global
companies. The Tata Group has helped establish and finance numerous quality
researches, educational and cultural institutes in India. The group was awarded
the Carnegie Medal of Philanthropy in 2007 in recognition of its long history of
philanthropic activities.
History:The Tata Group was founded as a private trading firm in 1868 by entrepreneur
and philanthropist Jamsetji Nusserwanji Tata. In 1902 the group incorporated
the Indian Hotels Company to commission the Taj Mahal Palace & Tower, the
first luxury hotel in India, which opened the following year. After Jamsetji
death in 1904, his son Sir Dorab Tata took over as chair of the Tata Group.
Under Dorab’s leadership the group quickly diversified, venturing into a vast
array of new industries, including steel (1907), electricity (1910), education
(1911), consumer goods (1917), and aviation (1932).
Following Dorab’s death in 1932, Sir Nowroji Saklatwala became the group’s
chair. Six years later Jehangir Ratanji Dadabhoy Tata (J.R.D.) took over the
position. His continued expansion of the company into new sectors—such as
chemicals (1939), technology (1945), cosmetics (1952), marketing, engineering,
and manufacturing (1954), tea (1962), and software services (1968)—earned
Tata Group international recognition. In 1945 Tata Group established the Tata
Engineering and Locomotive Company (TELCO) to manufacture engineering
and
locomotive products; it was renamed Tata Motors in 2003. In 1991 J.R.D.’s
nephew, Indian business mogul Ratan Naval Tata, succeeded him as chairman
of the Tata Group. Upon assuming leadership of the conglomerate, Ratan
aggressively sought to expand it, and increasingly he focused on globalizing its
businesses. In 2000 the group acquired London-based Tetley Tea, and in 2004 it
purchased the truck-manufacturing operations of South Korea’s Daewoo
Motors. In 2001 Tata Group partnered with American International Group, Inc.
(AIG) to create the insurance company Tata-AIG.
Bombay House, the head office of Tata Group
Type Private
Industry Conglomerate
Founded 1868
Founder(s) Jamsetji Tata
Headquarters Mumbai, Maharashtra, India
Area served Worldwide
Key people Ratan Naval Tata(Chairman)Cyrus Pallonji Mistry(Deputy Chairman)
Products Automotive, steel, information technology, electricity generation, chemicals, beverages, telecom, hospitality, retail, consumer goods, engineering goods
Revenue US$ 100 billion (2011-12)
Profit US$ 5.23 billion (2011-12)
Total assets US$ 77.7 billion (2011-12)
Owner(s) Tata Sons
Employees 455,947 (2011-12)
Subsidiaries List of subsidiaries
Website www.tata.com
The Tata Group of Companies has always believed strongly in the concept of
collaborative growth, and this vision has seen it emerge as one of India's and the
world's most respected and successful business conglomerates. The Tata Group
has traced a route of growth that spans through six continents and embraces
diverse cultures. The total revenue of Tata companies, taken together, was $83.3
billion (around Rs3, 796.75 billion) in 2010-11, with 58 per cent of this coming
from business outside India. In the face of trying economic challenges in recent
times, the Tata Group has steered India’s ascent in the global map through its
unwavering focus on sustainable development. Tata companies employ over
455,947 people worldwide. It is the largest employer in India in the Private
Sector and continues to lead with the same commitment towards social and
community responsibilities that it has shown in the past.
The Tata Group of Companies has business operations (114 companies and
subsidiaries) in seven defined sectors – Materials, Engineering, Information
Technology and Communications, Energy, Services, Consumer Products and
Chemicals. Tata Steel with its acquisition of Corus has secured a place among
the top ten steel manufacturers in the world and it is the Tata Group’s flagship
Company. Other Group Companies in the different sectors are – Tata Motors,
Tata
Consultancy Services (TCS), Tata Communications, Tata Power, Indian Hotels,
Tata Global Beverages and Tata Chemicals.
Tata Motors is India’s largest automobile company by revenue and is among
the top five commercial vehicle manufacturers in the world. Jaguar and Land
rover are now part of Tata Motor’s portfolio.
Tata Consultancy Services (TCS) is an integrated software solutions provider
with delivery centres in more than 18 countries. It ranked fifth overall, and
topped the list for IT services, in Bloomberg Business week's 12th annual 'Tech
100', a ranking of the world's best performing tech companies.
Tata Power has pioneered hydro-power generation in India and is the largest
power generator (production capacity of 2300 MW) in India in the private
sector.
Indian Hotels Company (Taj Hotels, resorts and palaces) happens to be the
leading chain of hotels in India and one of the largest hospitality groups in Asia.
It has a presence in 12 countries in 5 continents.
Tata Global Beverages (formerly Tata Tea), with its major acquisitions like
Tetley and Good Earth is at present the second largest global branded tea
operation.
Type Public
Traded as BSE: 500570 (BSE SENSEX Constituent)NSE: TATAMOTORSNYSE: TTM
Industry Automotive
Founded 1945
Founder(s) J. R. D. Tata
Headquarters Mumbai, Maharashtra, India.
Area served Worldwide
Key people Ratan Tata (Chairman)Karl Slym (Managing Director)
Products AutomobilesCommercial vehiclesAutomotive parts
Services Vehicle leasingVehicle service
Revenue US$ 34.575 billion (2012)
Profit US$ 2.821 billion (2012)
Total assets US$ 28.540 billion (2012)
Total equity US$ 6.507 billion (2012)
Employees 59,759 (2012)
Parent Tata Group
Divisions Tata Motors Cars
Subsidiaries Jaguar Land RoverTata DaewooTata Hispano
Tata Steel Limited
Type Public
Traded as NSE: TATASTEEL,BSE: 500470
(BSE SENSEX Constituent)
Industry Steel
Founded 1907
Founder(s) Dorabji Tata
Headquarte
rs
Mumbai, Maharashtra, India [1]
Area served Worldwide
Key people Ratan Tata (Chairman)
Hemant M. Nerurkar (MD)
Products Steel, flat steel products, long
steel products, wire products,
plates
Revenue US$ 27.738 billion (2012)
Profit US$ 1.125 billion (2012)
Total assets US$ 28.904 billion (2012)
Total equity US$ 8.445 billion (2012)
Employees 81,622 (2012)
Parent Tata Group
Subsidiaries Tata Steel Europe
Website www.tatasteel.com
Type Public
Traded as BSE: 532540
NSE: TCS
BSE SENSEX Constituent
Industry IT services, IT consulting
Founded 1968
Founder(s) J R D Tata
Headquarters Mumbai, Maharashtra, India
Area served Worldwide
Key people Ratan Tata
(Chairman)
N. Chandrasekaran
(CEO & MD)
Services IT, business consulting and
outsourcing services
Revenue US$ 10.17 billion (2011/12
Profit US$ 2.2 billion (2011/12
Employees 254,076 (Sep 2012)
Parent Tata Group
Subsidiaries CMC Limited
TCS China
TRDDC
Website www.tcs.com
Type Public (BSE: 500770)
Industry Chemicals
Founded 1939
Founder(s) Dorabji Tata
Headquarters Mumbai, India
Area served Global
Key people Ratan Tata, Murali Sastry (Chief
Innovation Officer)
Products Basic and industrial chemicals,
nitrogenous and phosphaticfertilizers,
industrial finishing
products, coatings and crop nutrition’s
Revenue 95.43 billion (US$1.74 billion)
(2009-2010)
Operating
income
15.59 billion (US$283.74 million)
Profit 7.23 billion (US$131.59 million)
Employees 4,645 (2011)
Parent Tata Group
Subsidiaries Tata Chemicals Europe
Website www.tatachemicals.com
Tata Teleservices Limited
Type Public (BSE: 532371)
Industry Telecommunications
Founded 1996
Headquarter
s
Mumbai, Maharashtra, India
Key people Ratan Tata
(Chairman)
Srinath Narasimhan
(MD & CEO)
Products Fixed-line and telephony,
broadband and fixed-line
internet services, digital
television and network servic
es
Revenue 3,191 crore (US$580.76
million)(2011)
Parent Tata Group
Divisions Tata Do Como (CDMA/GSM)
Virgin Mobile
India (CDMA/GSM)
Website www.tatateleservices.com
Tata Global Beverages Limited
Type Public
Traded as BSE: 500800,NSE: TATAGLOB
AL
Industry Non-alcoholic beverages
Founded 1964 (Calcutta)
Founder(s) JRD Tata
Headquarter
s
Kolkata, West Bengal, India
Key people Percy T. Siganporia (CEO &
MD)
Products Tea, coffee, dairy products,
water, pepper and other
plantation crops
Revenue US$ 1.16 billion (2011-12)
Employees 3,166 (2011)
Parent Tata Group
Subsidiaries Good Earth Teas
Tata Coffee
Tetley
Website www.tataglobalbeverages.co
m
Vision, Mission and Values..
Mission: to be a competitive values provider in international business for
group companies and all our partners.
Vision: become a globally networked enterprise seizing opportunities
worldwide to generate USD 25 million annual profits by 2012.
Values: Integrity, spirit, ability, passion for excellence, unity.
Ranks Achieved
TATA Steels: 5th largest steel maker in the world.
TATA Motors: Among the top five commercial vehicle
manufactures in the world.
TCS: Leading global software company.
TATA Tea: 2nd largest branded tea company in the world.
TATA Chemicals: world’s 2nd largest manufacturer of soda ash.
TATA Communication: world’s largest wholesale voice carriers.
Mergers and Acquisitions
TATA communications acquired CEC (china enterprises communication)
with 50% stake in June 2008.
TATA motors acquired jaguar and land rovers (UK based) with a value of
$ 2.3 billion in March 2008.
Telco construction Equipment Company acquired huge telecom India
(Spain based) with 79% stake in March 2008.
Strategies
Expending globally (globalization strategy)
Acquiring other companies in different countries.
No frill strategy ; “ a low frill strategy combine a low price and low
values added, low perceived products/ services benefits and a focus on a
price sensitive market segments.
Maintain the cost of raw materials as lowest as possible and achieve the
lowest cost of final products.
Invested a huge amount in research and development in order to achieve
the highest degree of quality at lowest price.
SWOT Analysis
Strength: Resources and capabilities (people and raw materials)
Vast experience (steel and automobiles)
The business model (TBEM is a model determining the quality
movement in the group)
Weaknesses: Distribution
Value chain innovation
Macro environment
In order to serve the global markets with high quality and low price.
Opportunities: New markets
Exports
Acquisitions
E.g. Jaguar and land rover.
Threats: India’s recent mergers of global markets
E.g. vodafone, reliance.
Products and Services for CONSUMERS
Agriculture Automobiles Beverages
Charter flights Cooling appliances Crockery
DTH television Financial services Food
Holidays homes Hotels Housing
Jewelry Leathers Retail
Solar appliances Telecommunications Watches and clocks
Products and Services for BUSINESSES
Advanced composites Aerospace Agricultural products
Automotive industry Beverages Books
Chemicals Construction Consultancy
Defense Design service E-learning
E-trading Energy Engineering
Financial services Food products IT
Hospitality Industrial equipments Funding
Chapter 4: Review of Literature
1. Law of the land should have sanctity; No
restropective tax: Ratan Tata
December 9, 2012 | PTI
MUMBAI: The outgoing Chairman of the Tata group Ratan Tata is "rattled" by
India's current image emerging from scams and retrospective taxation, and
wants the government to give an "irreversible commitment" that law of the land
has sanctity. "Never before has India had that kind of image," he said in a
freewheeling interview to PTI three weeks ahead of his retirement on December
28 after serving the group for 50 years including 21 years as Chairman.
2. Tata’s won't get into airline business: Ratan
Tata
December 9, 2012 | PTI
MUMBAI: Once pioneers in civil aviation, the Tata group are unlikely to get
into the sector because of "destructive competition", its outgoing Chairman
Ratan Tata indicated today. Recalling the group's proposal for a tie up with
Singapore International Airlines (SIA) for a domestic carrier in India in the mid-
1990s, the
Tata patriarch pointed out, "it is a different sector today than it was at that
time.”It is somewhat like telecom. It is proliferated by many...
3. Tata group leaders praise Ratan Tata's
leadership
June 23, 2011 | PTI
NEW DELHI: In the midst of an ongoing search process to find Ratan Tata's
successor to head the country's biggest corporate house, top leaders from the
group have heaped lavish praise on his leadership style. Ratan Tata has been
heading the group since 1991 as Chairman of the group's promoter company
Tata Sons and is scheduled to retire in December next year. A search committee
has been tasked to find Ratan Tata's successor to head the salt-to-software...
4. Group not pushing me out, my desire to quit:
Ratan Tata
September 3, 2010 | PTI
NEW DELHI: Asserting that he was not being pushed out as chairman of the
$71 billion conglomerate Ratan Tata said that he opted out of the selection
committee to avoid giving the impression that he is influencing the succession
plan. "I don't want to leave the company in a wheel chair or in a box," Ratan
Tata told news
channel ET Now in an interview. "The company is not pushing me out. It is my
desire," he said. The comments come in...
5. Tata’s name members of search panel to find
Ratan's successor
August 7, 2010 | PTI
NEW DELHI: Aiming to find a successor to 72-year-old Chairman Tata Group
today named five members of a search panel that includes N A Soonawala . The
panel includes two other senior group directors R K Krishnakumar and Cyrus
Mistry, and group adviser and lawyer Shirin Bharucha and influential British
businessman Lord Bhattacharya. Tata’s had announced on August 4 that a
search panel would be set up to find the next leader for the USD 71 billion...
6. Ratan Tata denies 'venal' business environment
comment
December 8, 2012 | AFP
NEW DELHI: Tycoon Ratan Tata denied on Saturday calling India's business
environment "venal" or accusing the government of "inaction" in media
interviews. A statement by the tea-to-steel group said Tata has always supported
Congress
Prime Minister Manmohan Singh and the "last thing" he would wish to do is to
be a critic as had been reported by a number of media outlets. In Tata's
interviews, he spoke about "coherence in implementation of government...
7. Lack of government support preventing Indian
industry from competing with China, says
Ratan...
December 7, 2012 | AFP
MUMBAI: The outgoing head of the Tata business empire, Ratan Tata warned
on Friday that a lack of government support was preventing Indian industry
from competing with China and lashed out at a "venal" business environment.
In interviews published ahead of his retirement as chairman this month, Ratan
Tata criticized what he called a lack of coherence in government policy and said
the Mumbai-based group's ethical standards had...
8. Relationship with Tata Motors goes much
higher and much deeper: Mike Manley, COO,
and Fiat and...
December 6, 2012 | Ketan Thakkar & Satish John, ET Bureau
MUMBAI: Mike Manley, 48, steered the Jeep brand for Fiat Chrysler to its
preeminent position today. In September 2011, Manley was given the dual
charge of the Asia-Pacific region, with a key mandate to turnaround Fiat in
India. Manley has come with his India plan. India will be "fundamental" for us,
says Manley on whether it is make or break time for Fiat in India. Manley, chief
operating officer of Fiat and Chrysler in Asia has...
9. British industry hurt by costs, 'dying' supply
chain: Ratan Tata, chairman of Tata Group
December 5, 2012 | Reuters
LONDON: Ratan Tata, the chairman of Tata Group, has said that British
industry is being hit by costs and a "dying" supply chain, in an interview with a
British newspaper published on Wednesday. Tata group owns Jaguar Land
Rover , Tata Steel and Tetley Tea in Britain , and operates 19 companies with a
45,000-strong workforce across Europe, according to its website. "The...
10.LSE confers fellowship to Ratan Tata
July 13, 2007 | PTI
NEW DELHI: Tata Sons Chairman Ratan Tata has been given honorary
fellowship of the London School of Economics and Political Science for his
contribution to
the global industry. "We honor Ratan Tata for his achievements in the fields of
entrepreneurship, industrial leadership, building up knowledge economy. Tata is
an iconic name in India, thanks to Ratan Tata's efforts around the world," LSE's
Professor Desai said in a statement. Honorary fellowships are awarded by LSE
each...
Chapter 5: Research Methodology Used
The purpose of methodology is to describe the process in research work. This
includes the overall research design, data collection, the field survey &analysis
of data.
RESEARCH DESIGN:
Research design is the arrangement of conditions for data collection & analysis
of data in a manner that aims to combined relevant to research purpose with
economy in procedure.
A research design is the master plan or model for conduct of formal
investigation. It is blue print that is followed in completing study.
The research conducted by me is BASIC RESEARCH. Often basic research is
called theoretical, pure or fundamental research. It is not directly concerned
with solving marketing problems. The main aim is to improving academic
knowledge about the subject matters. Basic research is conducted for the sake of
knowledge. Basic research does not deal with commercial problems.
DATA COLLECTION:
1. Primary Data :
Is Ratan Tata is an idol for upcoming Entrepreneur?
It has been represented in the below chart.
It has been cleared in the above chart that
Yes - 32%
No – 18%
32% people say yes it is an example for upcoming entrepreneur as the way Ratan Tata has made his courier and build an empire in current scenario.
18% people say that there are many entrepreneurs from which we can gain the knowledge.
Secondary Data:
The secondary data has been collected from the following source:
Books
Data through internet source
SAMPLE SIZE:
Sample size refers to the number of items to be selected from the universe to
constitute a sample. The concept of sample size is a relative one as it depends
on the size of the population. The sample selected by me is random sampling of
50.
Chapter 6: Appendix
Tata Steels:
Tata Steel will redeem all its convertible alternative reference securities (CARS)
at a premium of 123 per cent by September 5. This will result in an outgo of Rs
2,602 crore.
Tata Steel is paying off its liability due under CARS to the extent of $471
million for the principal amount, along with accrued interest of $1.9 million for
the last six months on the maturity date (September 5), the company said in a
statement.In 2007, Tata Steel, in a bid to part-finance the Corus acquisition,
raised $875 million through issue of CARS which matured in 2009. The
company came up with an exchange offer for CARS holders in 2009.
According to the offer, the investors had the option of switching over new
foreign currency convertible bonds (FCCBs) maturing in November 2014 or
stick with the
Tata Motors:
India's Tata Motors on Thursday reported full year profit more than trebled,
driven by higher sales in its home market and improved profitability at its UK-
based Jaguar and Land Rover unit.
The company, India's largest truck and bus maker, reported a consolidated net
profit of 92.74 billion rupees ($2.05-billion U.S.) for the year ended March,
compared with 25.71 billion rupees a year ago.
Tata Global Beverages:
We recommend a buy in the stock of Tata Global Beverages from a short-term
perspective. It is seen from the charts of the stock that it has been on an
intermediate-term uptrend since its 52-week low registered at Rs 80 in late
November 2011. However, the stock encountered resistance at Rs 128 in
February and went through a corrective decline until it found support at Rs 100
in early May. There is an increase in daily volumes over the past six trading
sessions. The daily relative strength index has entered the bullish zone from the
neutral region and weekly RSI is moving higher in the neutral region. The daily
moving average convergence divergence indicator has signaled a buy and is
likely to enter the positive territory. The intermediate-term uptrend line is still in
place. We are bullish on the stock from a short-term perspective. We expect its
uptrend to carry forward and reach our price target of Rs 118.5 or Rs 122 in the
days ahead. Traders with short-term perspective can buy the stock with stop at
Rs 111.5.
Tata Teleservice:
Balance sheet - Tata Global Beverages Ltd.
Particulars Mar'12 Mar'11 Mar'10 Mar'09 Mar'08
Liabilities 12 Months
12 Months
12 Months
12 Months
12 Months
Share Capital 61.84 61.84 61.84 61.84 61.84
Reserves & Surplus 2,148.27 1,972.75 1,994.14 1,715.61 1,720.35
Net Worth 2,210.11 2,056.45 2,077.84 1,799.32 1,804.05
Secured Loans 366.85 505.47 496.44 445.36 542.51
Unsecured Loans 0.00 0.00 3.21 309.64 215.00
TOTAL LIABILITIES 2,576.96 2,561.92 2,577.50 2,554.32 2,561.55
AssetsGross Block 246.21 224.39 210.89 192.37 180.76
(-) Acc. Depreciation 106.12 112.37 105.10 95.32 87.24
Net Block 140.09 90.16 83.93 75.20 71.66Capital Work in Progress. 2.69 3.03 5.57 6.90 4.57
Investments. 2,205.70 2,290.91 2,309.05 2,073.67 2,193.77
Inventories 453.47 429.91 378.14 291.10 195.83
Sundry Debtors 90.64 101.90 116.39 91.84 63.50
Cash And Bank 47.47 6.87 5.36 45.65 14.04
Loans And Advances 225.52 160.61 165.38 424.74 523.20
Total Current Assets 817.10 699.29 665.27 853.33 796.57
Current Liabilities 324.29 365.45 319.14 334.93 265.06
Provisions 264.33 177.87 189.04 149.31 278.19Total Current Liabilities 588.62 543.32 508.18 484.24 543.25
NET CURRENT ASSETS 228.48 155.97 157.09 369.09 253.31
Misc. Expenses 0.00 0.00 0.00 7.60 16.38TOTAL ASSETS (A+B+C+D+E) 2,576.96 2,561.92 2,577.50 2,554.32 2,561.55
Tata chemicals:
Tata Consultancy Services On the last trading day of 2011, Tata Consultancy Services (TCS) became the
largest Indian company by market capitalization overtaking Reliance Industries.
The market capitalization of TCS stood at Rs 2.27-lakh crore, against RIL's Rs
2.26-lakh crore. On Friday, RIL touched a 52-week low for the second
consecutive day at Rs 690 in intra-day trade.
Chapter 7: Conclusion
In today’s world every Indian and every entrepreneur is familiar with the big
name called “RATAN TATA”. He is one of the biggest souls of Indian
economy. But there are many facts and figure that made him the souls of our
economy. Every small or big businessman would feel privileged to called Rata
Tata. Earlier in his carrier Mr. Ratan Tata has faced many down comes, he was
not a successful businessman as he is today, and he also made losses with his
companies. But with his strong willpower and eagerness to concern the world
made him what he is today.
After coming in the Tata Empire because of his shire mindset and goal
achieving power he turned around the face of the whole empire. It was his
ability that allowed a common man to buy a car. It was his thought that made
him own the foreign companies and merge them into Tata Empire. Every
entrepreneur must get the full taste of Mr. “RATAN TATA” to make name of
himself and his enterprise.
Chapter 8: Refrences
BIBLIOGRAPHY
- Romeo S. Mascarenhans, Entrepreneurship Management, Vipul
prakashan 161, Shankar Seth Road, Mumbai-400 004.Pg No. 02.
- Riya Rupani, Business Ethics and Corporate Social Responsibility,
Himalaya Publishing House, Super Art Home, Mumbai- 440 044 Pg No.
161.
WEBLIOGRAPHY - www.tata.com
- www.wikepidea.org .
- www.tatasteels.com